summary
Introduced
01/16/2025
01/16/2025
In Committee
01/16/2025
01/16/2025
Crossed Over
Passed
Dead
Introduced Session
126th General Assembly
Bill Summary
Amend The South Carolina Code Of Laws By Amending Section 12-6-1120, Relating To Gross Income, Computation Of Gross Income, And Modifications To Gross Income For State Income Tax Purposes, So As To Exclude Tips From The Computation Of South Carolina Gross Income, And To Define Tips.
AI Summary
This bill modifies South Carolina's state income tax law by excluding tips from gross income calculations. Specifically, the bill defines "tips" as discretionary payments determined by a customer that an employee receives, which can include cash tips received directly from a customer or tips processed through electronic payment methods. The tips must be included on statements furnished to the employer as required by federal law to qualify for this tax exclusion. By removing these gratuities from taxable income, the bill aims to provide financial relief for service industry workers who rely on tips as a significant part of their earnings. The bill will take effect immediately upon the Governor's approval, allowing service workers to benefit from this tax exemption in the current tax year.
Committee Categories
Budget and Finance
Sponsors (14)
James Teeple (R)*,
Phillip Bowers (R),
Gary Brewer (R),
Mike Burns (R),
Joe Bustos (R),
Sylleste Davis (R),
Val Guest (R),
Brandon Guffey (R),
Tom Hartnett (R),
Jay Kilmartin (R),
Kathy Landing (R),
Blake Sanders (R),
Heath Sessions (R),
Mark Smith (R),
Last Action
Member(s) request name added as sponsor: Burns (on 05/28/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.scstatehouse.gov/billsearch.php?billnumbers=3779&session=126&summary=B |
| BillText | https://www.scstatehouse.gov/sess126_2025-2026/prever/3779_20250116.htm |
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