South Carolina continues to grow as a military-friendly state.
South Carolina has eight major military installations and more than 417,000 veterans, the eighth-largest total number of veterans in the nation. According to the U.S. Department of Veterans Affairs, this includes him one in ten adults in the state.
The South Carolina Military Bases Task Force, part of the South Carolina Department of Veterans Affairs, released a report in 2019, “The Economic Impact of the SC Military Community: 2019 Update.” The total economic impact of South Carolina’s military community was found to exceed $25.3 billion annually.
Earlier this year, the state took another step to strengthen military ties.
Gov. Henry McMaster signed into law the Workforce Enhancement and Military Authorization Act exempting all military retirement benefits included in South Carolina taxable income from state income taxes, regardless of the taxpayer’s age.
The new exemption is effective for the 2022 tax year. That means retirees can claim it the year after they fill out this year’s income tax return. This deduction can also be claimed by a surviving spouse receiving military retirement income from a deceased spouse.
According to the SCDVA, military retirees can use myPay, complete the DD Form 2866 Retiree Change of Address/State Tax Withholding Request, or start, stop, or change State Income Tax Withholding (SITW). can. Necessary information. If you choose to submit your DD Form 2866 or written request, mail it to: Defense Finance and Accounting Service, US Military Retirement Pay, 8899 E 56th Street, Indianapolis, IN 46249-1200. DO NOT SEND THIS DOCUMENT TO SC’S REVENUE DEPARTMENT.
Other income tax credits offered by the state are:
• A federal tax-exempt pension or award provided by the US Department of Veterans Affairs.
• Combat allowances and certain benefits not included in federal taxable income.
• Retirement income paid by the US government for service in the Reserves or National Guard.
• Income received for regular annual training, weekend training, and other inactive training in the National Guard or Reserves.
• Service pay for non-resident military personnel on active duty in South Carolina who are legal residents of another state.
The state also offers property tax exemptions to veterans deemed fully and permanently connected to service.
Military pay tax credits are another important way South Carolina serves the nation well. This is done by housing those who served and served with the military.
I want to say thank you to everyone today and every day.
— Times and Democrats, Orangeburg