South Carolina is one of the most retirement-friendly states in America. There are many retirement benefits available in South Carolina to retiree residents. If you are a South Carolina resident, these benefits may apply to you:
Homestead Tax Exemption
If you are 65 and older and lived in your house for at least one year, you are entitled to the Homestead Tax Exemption. This program exempts the first $50,000 of the value of your home from all property taxes. This also applies to property held in revocable trust, and is extended to a surviving spouse 50 years or older.
Income Tax Deductions
One of the best retirement benefits available in South Carolina is a $15,000 deduction from taxable income for taxpayers 65 years of age and older is available. Taxpayers under age 65 may exclude from taxes $3,000 of their qualified retirement income annually. At age 65, the deduction may be applied to any income up to $15,000.
Additional Retirement Benefits Available in South Carolina
▪Your choice to serve or not to serve on city, county or state jury duty after age 70.
▪Discounted admission fees to state park facilities.
▪Free hunting and fishing licenses (at least one year residency requirement).
▪Free tuition at state supported educational institutions (subject to space and availability).
▪Dependent care credit for families caring for an elderly relative in their home who must hire caregivers in order to work may deduct up to 7% of the amount claimed on their federal income tax against their state income tax.
▪Home Care or Nursing Home Credit Tax credit of 20%, not to exceed $300, of expenses paid for intermediate or skilled care to an institution is allowed. A credit of 20% on expenses, up to $300 annually, is allowed on state income tax for nursing home care at home or in a licensed institution.
▪Social Security and railroad retirement benefits taxed for federal purposes are not taxed in SC.
▪Seniors age 85 and older are exempt from the additional 1% sales tax. This exemption does not apply to the 3% tax on unprepared food.
▪Vehicle biennial registration fee for private passenger-carrying vehicles discounted to $20.
▪Car insurance credit is mandated for persons who are 55 years of age or older and have successfully completed a driver training course approved by the Department of Public Safety.
To see details of how these many retirement benefits available in South Carolina apply to you, please consult with your local tax expert and review the SC Dept of Revenue www.sctax.org for revisions in the South Carolina tax code each year.