What is South Carolina Income Tax? Rates & Tax Brackets

Updated for tax year 2025.

If you live or work in South Carolina, you’ll likely need to file a South Carolina state income tax return along with your federal return. The South Carolina income tax structure uses three tax rates that apply to the same income ranges regardless of filing status.

This guide explains South Carolina’s 2025 income tax rates and brackets, how the state handles deductions and exemptions, and the updates for the current tax year. When you’re ready to file, TaxAct® automatically applies South Carolina’s tax rules to help you accurately prepare your South Carolina return alongside your federal return.

What is the South Carolina state income tax?

South Carolina state income tax is a tax on income earned by individuals. It is collected by the South Carolina Department of Revenue (SCDOR) and helps fund state services.

South Carolina has a simplified income tax structure that follows the federal income tax laws. South Carolina accepts the adjustments, exemptions, and deductions allowed on the federal tax return with a few modifications. Your federal taxable income is the starting point in determining your South Carolina state income tax liability. Individual income tax rates range from 0% to a top rate of 6% on taxable income for 2025. Tax brackets are adjusted annually for inflation.

South Carolina income tax rates and tax brackets

To estimate your South Carolina tax bill or refund, it helps to understand the state’s income tax brackets. In the state of South Carolina, the amount of income tax paid depends on how much income a filer earns during the tax year. Below are the tax brackets for all income earners regardless of tax filing status.

Tax RatesIncome0%$0 to $3,5603%$3,561 to $17,8306%Over $17,830

If you need more information on how federal tax brackets work, you can use our tax bracket calculator for federal taxes. Use the 2025 South Carolina Individual Income Tax Tables (SC1040TT) to determine your tax based on your South Carolina income subject to tax.

South Carolina standard deduction

South Carolina does not have a separate state standard deduction amount. Instead, South Carolina uses your federal taxable income as the starting point for your state return, which generally reflects the federal standard deduction or itemized deductions you claimed on your federal return, along with other federal adjustments.

After starting with federal taxable income, you may have additional South Carolina subtractions or additions that affect your South Carolina income subject to tax. See the 2025 SC1040 instructions for details.

South Carolina exemptions

South Carolina offers several state-specific subtractions from federal taxable income that function similarly to exemptions and deductions. For tax year 2025, the South Carolina dependent exemption is $4,930 for each eligible dependent, including both qualifying children and qualifying relatives claimed on your federal return. You generally claim this amount on line w of Form SC1040.

South Carolina also allows other subtractions that may reduce your state taxable income, such as a retirement deduction (amount varies by age), a military retirement deduction, and an age 65 and older deduction of up to $15,000 for qualifying taxpayers. Eligibility and limits depend on your age, income sources, and other factors, so review SCDOR guidance or your SC1040 instructions before filing.

South Carolina tax changes for 2025

For tax year 2025, South Carolina’s top marginal individual income tax rate is 6%, down from 6.2% in 2024. Tax brackets continue to be adjusted annually for inflation. The South Carolina dependent exemption amount increased to $4,930 for 2025.

As of the 2025 legislative session, South Carolina conforms to the Internal Revenue Code as of December 31, 2024, except as otherwise provided. For a full list of 2025 legislative tax changes, see SCDOR’s individual income tax page and Information Letter 25-11.

FAQs

Does South Carolina have a state income tax?

Yes, South Carolina has a state income tax. South Carolina uses three income tax rates for tax year 2025 — 0%, 3%, and 6% — applied to the same income ranges regardless of filing status.

What is the South Carolina income tax rate?

South Carolina’s 2025 income tax rates are 0%, 3%, and 6%. The rate that applies to you depends on your South Carolina income subject to tax. The top marginal rate for 2025 is 6%.

What are the South Carolina income tax brackets for 2025?

South Carolina’s 2025 tax brackets are the same for all filers: 0% on income up to $3,560, 3% on income from $3,561 to $17,830, and 6% on income over $17,830. See the South Carolina income tax brackets table above.

How does South Carolina state income tax work?

South Carolina state income tax generally starts with your federal taxable income, then applies South Carolina-specific additions and subtractions to arrive at your South Carolina income subject to tax. South Carolina tax is then calculated using the state’s tax tables or brackets.

Do I have to file a South Carolina state tax return?

You may need to file a South Carolina state tax return if you are a South Carolina resident and required to file a federal return, or if you have South Carolina-source income as a nonresident or part-year resident. Filing requirements depend on your income, residency, and other factors, so check SCDOR guidance for your situation.

What is the South Carolina standard deduction for 2025?

South Carolina does not have a separate state standard deduction. The state uses your federal taxable income as a starting point, which generally reflects the federal standard deduction or itemized deductions you claimed on your federal return.

How much is South Carolina state income tax?

There isn’t one South Carolina state income tax amount that applies to everyone. How much you owe depends on your South Carolina income subject to tax, available subtractions such as the dependent exemption, and the 0%, 3%, and 6% tax rates. Use the brackets above and the SC1040TT tax tables as a starting point.

Why is my South Carolina tax return different from my federal return?

South Carolina generally follows federal tax law, but South Carolina has its own additions, subtractions, and credits that can make your South Carolina taxable income different from your federal return. For 2025, South Carolina conforms to the Internal Revenue Code as of December 31, 2024, except as otherwise provided, so recent federal changes may not always apply the same way on your South Carolina return.

The good news is that our tax software automatically applies South Carolina’s current tax rules when preparing your state return, so you don’t have to calculate these differences yourself.

For more information, visit the South Carolina Department of Revenue. If you’d like to learn more about recent federal tax law changes, see our OBBBA tax changes guide.

The bottom line

South Carolina has a simplified state income tax with three 2025 rates — 0%, 3%, and 6% — applied to the same income ranges for all filers. Knowing the brackets, how South Carolina uses federal taxable income as a starting point, and available subtractions like the dependent exemption can help you estimate what you may owe or get back.

When you’re ready to file, TaxAct can help you prepare your federal and South Carolina returns in one place so you can file with confidence.

Already filed your taxes and waiting for your refund? Learn more about where your South Carolina state tax refund is.

This article is for informational purposes only and not legal or financial advice.

All TaxAct offers, products and services are subject to applicable terms and conditions.

Citations

South Carolina Department of Revenue. “Individual Income Tax.” Accessed 23 July 2026.South Carolina Department of Revenue. “2025 South Carolina Individual Income Tax Tables (SC1040TT).” Revised 17 June 2025.South Carolina Department of Revenue. “2025 SC1040 Instructions.” Accessed 23 July 2026.

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