Filing taxes in South Carolina: How and what to file, plus free return preparation options

Chalmers Rogland, Greenville News
·3 min read

The South Carolina Department of Revenue (SCDOR) began accepting 2022 Individual Income Tax returns on Monday and will continue accepting state and federal income tax returns until the filing deadline on Tuesday, April 18, 2023.

The SCDOR will begin processing returns Feb. 6 to allow employers to meet the Jan. 31 W-2 submission deadline.

Details for your 2023 filing are provided on the Internal Revenue Service's (IRS) website, including how to determine your filing status, which forms you will need, and free, reputable tax return preparation options for qualified individuals, both online and via in-person sites.

What will I need to file taxes?

In South Carolina, you will need to file both a federal and state income tax return. South Carolina is among the 41 states that enforces income tax.

You will file your annual income tax return via a Form 1040. Your employer should issue you a W-2 form, a wage and tax statement, by Jan. 31.

Additionally, common forms taxpayers may need to file, if applicable, include:

  • Unemployment compensation (1099-G)

  • Freelance and gig work or other forms of miscellaneous income (1099-K/1099-MISC)

  • Retirement and similar plans (1099-R)

  • Interest Income (1099-INT)

  • Dividend Income (1099-DIV)

  • Filers repaying more than $600 a year in student loan interest will be issued this form for deductions on their taxes (1098-E)

  • Tuition statement (1098-T)

How to file taxes

The IRS offers free online guided filing services for those with an adjusted gross income (AGI) of $73,000 or less. Filers can browse a number of IRS partner providers available.

For information on how to file as an individual, international taxpayer, self-employed or business, or nonprofit or charity, click here. If you need to check your filing status, click here.

Taxpayers who electronically file a tax return correctly and choose direct deposit should receive their refund within 21 days of the filing date. Returns that claim the Earned Income Tax Credit or Additional Child Tax Credit will not be issued before mid-February, but can be expected by Feb. 28.

To check the status of your filed return, click here.

Free assisted tax preparation for qualified individuals

Additionally, the IRS's Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE) programs offer free basic tax return preparation to qualified individuals. The link to locate a volunteer-staffed VITA or TCE site near you can be found here.

VITA assistance covers: people who generally make $60,000 or less, annually; persons with disabilities and limited English-speaking taxpayers.

The TCE program offers free tax help, particularly for those 60 years old and up, "specializing in questions about pensions and retirement-related issues unique to seniors," according to the IRS website.

The majority of TCE sites operate through the AARP's Foundation's Tax Aide program. The locator for AARP TCE Tax-Aide site can be found here.

What tax bracket are you in?

The IRS released a new bracket to account for inflation, credits and deductions taxpayers may be subject to while filing this year.

Below are the taxable income rates for both individual filers and married individuals filing jointly (MFJ):

  • 37% - Individual (over $539,900); MFJ (over $647,850)

  • 35% - Individual (over $215,950); MFJ (over $431,900)

  • 32% - Individual (over $170,050); MFJ (over $340,100)

  • 24% - Individual (over $89,075); MFJ (over $178,150)

  • 22% - Individual (over $41,775); MFJ (over $83,550)

  • 12% - Individual (over $10,275); MFJ (over $20,550)

  • 10% - Individual ($10,275 or less); MFJ ($20,550 or less)

This article originally appeared on Greenville News: Filing taxes in South Carolina: What to know, free preparation options