Bill 4971

                    Current Status

Bill Number:               4971
Ratification Number:       679
Act Number                 554
Introducing Body:          House
Subject:                   Income tax returns

(A554, R679, H4971)

AN ACT TO AMEND SECTION 12-7-440, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO JOINT AND SEPARATE STATE INCOME TAX RETURNS OF SPOUSES, SO AS TO PROVIDE THAT A NONRESIDENT WHO RESIDES IN A STATE WHICH DOES NOT ALLOW A SOUTH CAROLINA RESIDENT TO FILE A JOINT RETURN WITH HIS SPOUSE MAY NOT FILE A JOINT RETURN WITH HIS SPOUSE IN THIS STATE AND TO PROVIDE THE METHOD FOR COMPLETING A SEPARATE RETURN AND TO PROVIDE THAT A NONRESIDENT WHO RESIDES IN A STATE WHICH DOES NOT ALLOW A SOUTH CAROLINA RESIDENT CREDIT FOR CHILD AND DEPENDENT CARE EXPENSES IS NOT ALLOWED CREDIT ON THE SOUTH CAROLINA INCOME TAX RETURN FOR SUCH EXPENSES.

Be it enacted by the General Assembly of the State of South Carolina:

Income tax returns

SECTION 1. Section 12-7-440 of the 1976 Code is amended by adding:

"(g) Notwithstanding the provisions of item (d) of this section, if a nonresident taxpayer is a resident of a state which does not allow a resident of South Carolina to file a joint return with his spouse, the nonresident taxpayer shall file a separate South Carolina income tax return from his spouse. The nonresident taxpayer shall calculate federal taxable income on a federal tax form as a married person filing a separate federal income tax return to determine how the separate federal taxable income was calculated. Likewise, if a nonresident taxpayer is a resident of a state which does not allow a resident of South Carolina credit for child and dependent care expenses, the nonresident taxpayer is not allowed credit on the South Carolina income tax return for child and dependent care expenses."

Time effective

SECTION 2. Upon approval by the Governor, this act is effective for taxable years beginning after 1990.

Approved the 6th day of June, 1990.