A new income tax credit goes into effect in January 2018 which is intended to offset the increased gas tax established by the legislature this past spring.
South Carolina residents can begin saving receipts starting in January to claim a new motor fuel income tax credit.
State Department of Revenue (SCDOR) spokeswoman Bonnie Swindle told South Carolina Radio Network the tax credit will be given when 2018 state income taxes are filed in 2019. “Beginning on January 1, 2018, taxpayers who are interested in claiming this tax credit need to start saving their receipts or their invoices or any credit card statements that show fuel purchases.”
The tax credit is only for South Carolina residents who buy gas in the state. “This is only for gas purchase in South Carolina,” Swingle said.
It can only be filed on a South Carolina income tax return, it is not a federal deduction