South Carolina

South Carolina Payroll Updates - November 2024

Week Of 11.21.2024

South Carolina Corporate Income Tax—South Carolina announces withholding tables for 2025.

The South Carolina Department of Revenue has issued the withholding tables for 2025. Employers, accountants, payroll providers, and software developers should begin using the 2025 South Carolina on January 1, 2025. (South Carolina Withholding Tables Updated, S.C. Dept. Rev. 11/18/2024; Formula for Computing SC 2025 Withholding (WH1603F), S.C. Dept. Rev., 11/12/2024; South Carolina Withholding Tax Tables 2025, S.C. Dept. Rev., 10/12/2024.)

South Carolina General Administrative Provisions—South Carolina announces interest rate for first quarter 2025.

The South Carolina Department of Revenue has announced the interest rate for overpayments and underpayments for January 1, 2025, to March 31, 2025. The interest rate will decrease to 7% from the previous quarter rate of 8%. For fiscal year 2024-2025 (July 1, 2024, through June 30, 2025), Budget Provisos 41.2 and 117.81 direct the DOR to reduce the rate of interest paid on eligible refunds by a total of three percentage points from the above listed rate. Therefore, the rate of interest on eligible refunds paid January 1, 2025, through March 31, 2025, will be 4%. (South Carolina Information Letter No. 24-19, 11/18/2024.)

South Carolina General Administrative Provisions—South Carolina provides XML payment guidelines.

The South Carolina Department of Revenue has issued a program guide for the Sales XML Program, which allows for the electronic payment and filing of sales and use tax, accommodations tax, and the maximum tax, in a large batch format. Electronic filing is required for taxpayers who have a liability of $15,000 or more during a filing period, or file accommodations tax or maximum tax returns. The Sales XML Program is currently designed for original returns only; amended returns cannot be filed via XML files. The guide discusses the ACH debit and credit payment options, filing requirements, and transmittal steps. (South Carolina XML Sales Program, S.C. Dept. Rev., 11/01/2024.)

South Carolina Personal Income Tax—South Carolina announces withholding tables for 2025.

The South Carolina Department of Revenue has issued the withholding tables for 2025. Employers, accountants, payroll providers, and software developers should begin using the 2025 South Carolina on January 1, 2025. (South Carolina Withholding Tables Updated, S.C. Dept. Rev. 11/18/2024; Formula for Computing SC 2025 Withholding (WH1603F), S.C. Dept. Rev., 11/12/2024; South Carolina Withholding Tax Tables 2025, S.C. Dept. Rev., 10/12/2024.)

South Carolina Sales & Use Taxes—South Carolina provides XML payment guidelines.

The South Carolina Department of Revenue has issued a program guide for the Sales XML Program, which allows for the electronic payment and filing of sales and use tax, accommodations tax, and the maximum tax, in a large batch format. Electronic filing is required for taxpayers who have a liability of $15,000 or more during a filing period, or file accommodations tax or maximum tax returns. The Sales XML Program is currently designed for original returns only; amended returns cannot be filed via XML files. The guide discusses the ACH debit and credit payment options, filing requirements, and transmittal steps. (South Carolina XML Sales Program, S.C. Dept. Rev., 11/01/2024.)

Week Of 11.11.2024

South Carolina Unemployment Tax Information for 2025 Released

The South Carolina Department of Employment and Workforce released unemployment tax information for 2025. Taxable wage base: $ 14,000 (unchanged from 2024).  Experienced employer tax rate range: 0.06% to 5.46% (unchanged from 2024). As with 2024, there will continue to be no solvency tax surcharge imposed on employers in 2024. For additional information on determining South Carolina unemployment tax rates, see Payroll Guide ¶15,305.