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Bill > H3125


SC H3125

SC H3125
Elimination of individual income tax


summary

Introduced
01/14/2025
In Committee
01/14/2025
Crossed Over
Passed
Dead

Introduced Session

126th General Assembly

Bill Summary

Amend The South Carolina Code Of Laws By Adding Section 12-6-511 So As To Eliminate The Imposition Of The Income Tax On Individuals, Estates, And Trusts; By Repealing Section 12-6-510 Relating To Tax Rates For Individuals, Estates, And Trusts; By Repealing Section 12-6-515 Relating To Income Tax Brackets; By Repealing Section 12-6-520 Relating To Annual Adjustments To Income Tax Brackets; And By Repealing Section 12-6-545 Relating To Income Tax Rates For Pass-through Trade And Business Income.

AI Summary

This bill proposes to completely eliminate individual income tax in South Carolina, effective for tax years beginning after 2024. Specifically, the legislation would add a new section to the state tax code (Section 12-6-511) that nullifies any tax on the South Carolina taxable income of individuals, estates, and trusts, and invalidates all related tax filing and withholding requirements. The bill also repeals several existing sections of tax law that previously established income tax rates, tax brackets, and annual adjustments to those brackets, including Sections 12-6-510, 12-6-515, 12-6-520, and 12-6-545. By removing these provisions, the bill effectively eliminates the state's individual income tax structure entirely. The legislation would take effect immediately upon receiving the Governor's approval, which would represent a significant change to South Carolina's tax policy by removing a major source of state revenue and fundamentally altering the state's approach to taxation.

Committee Categories

Budget and Finance

Sponsors (11)

Last Action

Member(s) request name added as sponsor: Ford (on 01/14/2026)

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