Bill > H4046

This bill amends several sections of the South Carolina Code of Laws related to the withholding of income taxes. The key provisions are: 1. Changing the withholding rate from a flat 7% to a percentage equal to the maximum individual tax rate for payments made to individuals, partnerships, trusts, or estates, and maintaining a 5% rate for payments made to corporations or other entities. 2. Updating the references to the maximum individual tax rate throughout the relevant sections. 3. Clarifying the withholding requirements for payments to nonresident sellers of real property, including allowing the seller to elect out of installment sales treatment to remit the entire tax due. 4. Requiring withholding agents to withhold state income tax at the maximum individual income tax rate for payments to individuals who have failed to provide a valid taxpayer identification number or social security number. The bill is intended to align the withholding requirements with any changes to the state's maximum individual income tax rate.