Earned Income Tax Credit^
Income Tax Rate: Graduated, 0-7 percent
State EITC: No
Notes/News: Like other states, South Carolina is facing a large budget shortfall, which makes discussions about a state EITC difficult. Organizations are focusing on maintaining the gains made so far in social service programs while laying the groundwork for a state EITC campaign coalition.
Reports/Materials:“South Carolina State & Local Taxes,” from Who Pays? A Distributional Analysis of the Tax Systems in All 50 States, Institute on Taxation and Economic Policy, January 2013
South Carolina: State and Local Taxes in 2007, Institute on Taxation and Economic Policy, November 2009
A South Carolina Working Families Tax Credit: Rewarding Work and Building Wealth, South Carolina Fair Share, August 2008
Child Tax Credit^
State Credit: No
Child and Dependent Care Tax Credit^
State Credit: Yes
Eligibility: Same as federal child and dependent care requirements
Formula: 7 percent of eligible expenses. For 2010, filers were instructed to calculate the credit by multiplying the expenses claimed for the federal CDCTC by .07.
News/Notes: Since the state doesn’t vary this percentage inversely with income, this credit doesn’t target the most relief to lower-income filers.
Property Tax Circuit Breaker^
Circuit Breaker: No
Reports/Materials: “Idea 9: Enact a Property Tax Circuit Breaker,” Sarah Beth Coffey and Alan Essig, Center for a Better South, Doing Better: Progressive Tax Reform for the American South, June 2006