The South Carolina Department of Revenue (SCDOR) began accepting Individual Income Tax returns for tax year 2022 on January 23, 2023, consistent with the date announced by the IRS. The filing deadline for both state and federal 2022 income tax returns is Tuesday, April 18, 2023.
Last year, more than 93% of IIT returns were filed electronically. Approximately 87% of refunds were issued by direct deposit.
“We are pleased that so many South Carolinians have accepted online filing and direct deposit,” said SCDOR Director Hartley Powell. “It’s the safest, most accurate way to file and the fastest way to receive refunds.”
File online.
Filing online with a reputable provider is convenient, secure, and accurate. Many South Carolinians are eligible to file online for free with easy-to-use tax preparation software. Visit dor.sc.gov/iit-filing to view all of your filing options. Make sure you have all W-2s, 1099s, and other necessary documents before you file. Year-end pay stubs may not match what your employer reports to us, which can slow down processing.
Choose direct deposit.
Direct deposit is the fastest and safest refund option. Your refund is deposited directly into your bank account, so there’s no need to worry about lost or stolen checks and no waiting on delayed or returned mail. Learn more about why direct deposit is the preferred refund option at dor.sc.gov/refund.
Allow time for processing
and fraud prevention.
We will begin processing returns February 6, 2023 to allow employers time to meet the January 31 W-2 submission deadline. Fighting fraud to protect taxpayer dollars is our priority. Tax return and refund processing is expected to take 6-8 weeks from February 6 or the date you file, whichever is later, to allow the SCDOR to use all available tools to check for fraud and protect your refund.
Track your refund.
Check your refund status anytime using the Where’s My Refund tool at dor.sc.gov/refund. You can track which of the four stages your refund is in – fraud check, accuracy review, final verification, refund approval and preparation – and the estimated timeframe for each stage. Keep in mind that if you choose a paper check refund, your processing time may be longer.
New for the 2023 IIT season:
• Military retirement pay exclusion. Because of a new law enacted last year, all military retirement pay is excluded from South Carolina Individual Income Tax beginning in tax year 2022.
Reduce the retirement deduction and the age 65 and older deduction by the amount of military retirement deduction taken. For more information, refer to SC Revenue Ruling #22-11, available at dor.sc.gov/policy.
• Rebate recipients pay no state taxes on their payment. Those who received a state tax rebate in 2022 may receive a 1099G, but they owe no state taxes on their rebate, since it is considered a refund.
• An increase in the dependent exemption. The exemption amount for tax year 2022 is $4,430 and is allowed for each eligible dependent, including both qualifying children and qualifying relatives.
• An increase in the Motor Fuel User Fee Credit. The refundable credit increases from 9 cents per gallon to 11 cents per gallon for tax year 2022. Full or part-year resident taxpayers may claim the refundable credit for the lesser of the increase in South Carolina Motor Fuel User Fee they paid during 2022 or the preventative maintenance costs they incurred in South Carolina during the tax year.
• An increase in the Earned Income Tax Credit. Full-year residents may claim the South Carolina Earned Income Tax Credit if they are eligible for the federal credit. For tax year 2022, the non-refundable credit is equal to 104.17% of the Federal Earned Income Tax Credit allowed the taxpayer.
