Are you a South Carolina taxpayer who would like to reduce your state income tax? If so, you may want to consider purchasing South Carolina tax credits.
Section 529 is part of the Internal Revenue Code that provides tax-free investment funding to help families pay for ever increasing college costs. Most states have their own plans set up for their residents, however we are very lucky. South Carolina was one of the last states to implement their plan. Therefore we were able to use the other states as guinea pigs and take the best features from each plan when implementing our plan.
Start with Federal Taxable Income: South Carolina starts with Federal Taxable Income and then makes their adjustments. First year must elect: South Carolina does not have a partial year resident return, but rather you must elect to be treated as a full year resident or a full year non-resident. This requires some careful analysis as to how long you remained in your departing state, the tax rates in both states, and the property tax amount on your new South Carolina home.
R.P. BOGGS & CO.
Paul Boggs, Derek Lewis and Sam Swisher are all financial planners working in Lake Wylie, South Carolina. It occurred to them that some very good ideas came from these discussions, so they decided to create this blog to share them with others.
With over 90 years of collective experience providing financial planning for individuals, families, and their businesses, and with a law degree, a masters degree in taxation, 2 CPA’s and 3 CFP®’s, they offer their wisdom and encourage you to contact them if you have thoughts you want to share.