South Carolina Income Tax Rates, Brackets, and Calculator for 2026
South Carolina has two income tax brackets with income tax rates from 1.99% to 5.21% for 2026. Compare SC state tax at $75,000, $100,000, and other income levels. See how filing status changes the results and where South Carolina ranks among states.
South Carolina has two individual income tax brackets with rates of 1.99% and 5.21% for 2026. Its progressive system applies each rate only to the portion of taxable income within that bracket. All filing statuses use the same bracket thresholds, including Single and Married Filing Jointly. The calculator and tables below compare South Carolina taxes across income levels, filing statuses, and states, with examples showing how the income-adjusted deduction and Two Wage Earner Credit affect the results.
The South Carolina General Assembly establishes the income tax rules, while the South Carolina Department of Revenue administers them and publishes the tax forms and instructions. Act No. 110 introduced the two-bracket schedule and South Carolina Income Adjusted Deduction (SCIAD) for 2026. The Department's 2026 tax tables and related guidance provide the rates and deduction rules we use in our calculations. For calendar-year filers, federal Form 1040 series returns and South Carolina Form SC1040 tax returns for income earned in 2026 are generally due April 15, 2027.
South Carolina's SCIAD replaces the standard and itemized deductions and decreases as income rises through its phaseout range. Our calculator includes this deduction and the Two Wage Earner Credit for eligible married couples filing jointly. The credit reduces the couple's tax, but the shared bracket thresholds still produce a marriage penalty in our equal-income comparison. The step-by-step examples show how the deduction reduces South Carolina taxable income and the credit reduces the final amount of state tax.
Tax Calculator
South Carolina Income Tax Calculator for 2026
Enter annual household income and select a filing status to estimate South Carolina income tax for 2026. Results open in our All 50 States income tax calculator with South Carolina highlighted. The table below shows South Carolina income tax for a Single filer earning $50,000 to $150,000 annually. Notice that the effective rate rises across this range even though the marginal rate stays at 5.21%. The state's income-adjusted deduction decreases as income rises, which also affects the results.
How Much Will You Pay in South Carolina?
| Household Income | State Tax | Marginal Rate | Effective Rate | State Rank |
|---|---|---|---|---|
| $50,000 | $999 | 5.21% | 2.00% | 14 |
| $75,000 | $2,657 | 5.21% | 3.54% | 29 |
| $100,000 | $4,244 | 5.21% | 4.24% | 34 |
| $125,000 | $5,547 | 5.21% | 4.44% | 32 |
| $150,000 | $6,849 | 5.21% | 4.57% | 33 |
South Carolina moves from the low income tax range nationally at $50,000 to the moderate range at higher incomes, with rankings from 14th to 34th across these examples. At $100,000 of annual income, a Single filer pays an estimated $4,244 in South Carolina state income tax for 2026. The marginal tax rate reached is 5.21%, while the effective tax rate is 4.24%. The income-adjusted deduction has fully phased out at this income, but income taxed in the lower bracket keeps the effective rate below the marginal rate.
The ranked estimates assume full-year South Carolina residency, Single filing status, wages only, no dependents, and a taxpayer under age 65 who is not blind or claimed as another taxpayer's dependent. They include the South Carolina Income Adjusted Deduction where available, with no other deductions, income adjustments, or tax credits. Federal, payroll, and local taxes are excluded. The step-by-step examples further down the page explain how South Carolina income tax is calculated for Single and Married Filing Jointly households.
Tax Rates
South Carolina Income Tax Rates
South Carolina's two individual income tax rates are 1.99% and 5.21% for 2026. The same rates apply to Single, Married Filing Jointly, Married Filing Separately, and Head of Household statuses. The taxable-income thresholds are also identical across filing statuses, so the brackets do not widen for married couples filing jointly. This can create a marriage penalty when a couple owes more tax filing jointly than they would as two single filers with the same individual incomes. The Two Wage Earner Credit can offset part of that difference for eligible couples with income from both spouses. Each rate applies only to the portion of taxable income within that bracket.
2026 South Carolina Income Tax Brackets
| Bracket | Rate | Single | Married Filing Jointly | Married Filing Separately | Head of Household |
|---|---|---|---|---|---|
| 1 | 1.99% | $0 - $30,000 | $0 - $30,000 | $0 - $30,000 | $0 - $30,000 |
| 2 | 5.21% | $30,001+ | $30,001+ | $30,001+ | $30,001+ |
South Carolina is restructuring its individual income tax system. Act No. 110 introduced these two brackets in 2026 and replaced the federal standard and itemized deductions with the South Carolina Income Adjusted Deduction. The effect on a household's tax depends on both the new rates and the deduction available to it. The $30,000 threshold shown in the table is subject to annual inflation adjustments under the new state law. Further rate reductions can begin in 2027 if state revenue growth meets the law's requirements. These future cuts are conditional, not guaranteed each year.
Compare States
Compare South Carolina to Other States
The next table compares South Carolina with its neighbors, North Carolina and Georgia, plus five other southeastern states at $75,000 of annual income for a Single filer. States appear from lowest to highest state income tax, with the difference measured against South Carolina. The marginal rate identifies the tax bracket reached, while the effective rate is state income tax divided by $75,000 of household income, expressed as a percentage. Notice that a lower marginal tax rate does not always mean a lower tax bill.
South Carolina vs Other States at $75,000 of Income (2026)
| State Name | State Tax | Difference | Marginal Rate | Effective Rate | State Rank |
|---|---|---|---|---|---|
| Florida | $0 | −$2,657 | 0% | 0.00% | 1 |
| Tennessee | $0 | −$2,657 | 0% | 0.00% | 1 |
| North Carolina | $2,484 | −$173 | 3.99% | 3.31% | 22 |
| Kentucky | $2,507 | −$150 | 3.5% | 3.34% | 23 |
| South Carolina | $2,657 | $0 | 5.21% | 3.54% | 29 |
| Georgia | $2,994 | +$337 | 4.99% | 3.99% | 36 |
| Alabama | $3,127 | +$469 | 5% | 4.17% | 38 |
| Virginia | $3,498 | +$841 | 5.75% | 4.66% | 45 |
Four of the seven comparison states have lower estimated state income tax than South Carolina at this income level. South Carolina's $2,657 tax is about $173 higher than North Carolina's and $150 higher than Kentucky's. It is about $337 lower than Georgia's, even though South Carolina's 5.21% marginal rate exceeds Georgia's 4.99% rate. South Carolina's income-adjusted deduction and lower first bracket help explain that result. Florida and Tennessee have no state income tax.
Examples
South Carolina Income Tax Calculation Examples
The goal of these examples is to compare Single and Married Filing Jointly statuses at the same $75,000 annual income per person. The Single example uses $75,000 of household income, while the Married Filing Jointly example assumes each spouse earns $75,000, for a combined $150,000. The results match our 2026 income tax calculator using these income amounts and the corresponding filing status.
To simplify the calculations, both examples assume full-year South Carolina residency, W-2 wages only, no dependents, and taxpayers under age 65 who are not blind or claimed as dependents. In the comparison table, we first reduce household income by the South Carolina Income Adjusted Deduction (SCIAD). We then apply the state brackets and subtract the Two Wage Earner Credit for the married couple to calculate South Carolina state income tax. No other state deductions or tax credits are included.
2026 South Carolina Filing Status Comparison
| Tax Metric | Single | Married Filing Jointly |
|---|---|---|
| Household Income | $75,000 | $150,000 |
| Income Adjusted Deduction | $5,460 | $10,910 |
| Taxable Income | $69,540 | $139,090 |
| Tax Before Credit | $2,657 | $6,281 |
| Two Wage Earner Credit | $0 | −$350 |
| State Income Tax | $2,657 | $5,931 |
| Effective Tax Rate | 3.54% | 3.95% |
| Marginal Tax Rate | 5.21% | 5.21% |
Looking at the table above, we can see that both households reach the 5.21% bracket, but the married couple has a higher effective tax rate. South Carolina's $30,000 bracket threshold does not double for joint filers, so the couple receives the benefit of the lower bracket only once. The deduction's rounding rule also leaves the joint deduction $10 below twice the Single amount. Even after the $350 credit, the joint tax is about $616.52 more than the combined tax of two single filers, based on unrounded calculations. Next, we will review the step-by-step calculations for each filing status.
Step-by-Step Example 1: Single
For a single filer earning $75,000, household income equals federal adjusted gross income under these assumptions. The maximum $15,000 SCIAD decreases because income exceeds $40,000. After calculating the reduction and rounding it down to the next lower $10, the available deduction is $5,460.
- Income-adjusted deduction: Multiply the maximum deduction by the fraction of income above $40,000 over the $55,000 phaseout range. $15,000 × (($75,000 − $40,000) ÷ $55,000) ≈ $9,545.45 Round the reduction down to $9,540, then subtract it from the maximum deduction. $15,000 − $9,540 = $5,460
- South Carolina taxable income: Subtract the income-adjusted deduction from household income. $75,000 − $5,460 = $69,540
- Tax on the first bracket: Apply 1.99% to the first $30,000 of taxable income. $30,000 × 1.99% = $597.00
- Tax on the second bracket: Subtract $30,000 from taxable income and apply 5.21% to the remainder. ($69,540 − $30,000) × 5.21% = $2,060.034
- Estimated South Carolina income tax: Add the tax from both brackets, then round to cents. $597.00 + $2,060.034 = $2,657.03
To calculate the South Carolina effective tax rate, we divide $2,657.03 of state income tax by $75,000 of household income. The result is 3.54%, rounded. The calculated state income tax rounds to $2,657 in the comparison table.
The South Carolina statutory marginal tax rate is 5.21%, the rate applied to additional taxable income in this example. However, the income-adjusted deduction decreases as wages rise through the phaseout range. Losing part of the deduction can increase state tax by more than 5.21% of the additional wages.
Step-by-Step Example 2: Married Filing Jointly
Now let's apply the calculation to a married couple filing jointly. Each spouse earns $75,000, for a combined household income of $150,000. Their maximum $30,000 SCIAD decreases because income exceeds the $80,000 joint threshold. The available deduction is $10,910, and both spouses have enough qualifying earned income for the full $350 Two Wage Earner Credit.
- Income-adjusted deduction: Multiply the maximum joint deduction by the fraction of income above $80,000 over the $110,000 phaseout range. $30,000 × (($150,000 − $80,000) ÷ $110,000) ≈ $19,090.91 Round the reduction down to $19,090, then subtract it from the maximum deduction. $30,000 − $19,090 = $10,910
- South Carolina taxable income: Subtract the joint income-adjusted deduction from household income. $150,000 − $10,910 = $139,090
- Tax on the first bracket: Apply 1.99% to the first $30,000, using the same bracket threshold as the Single example. $30,000 × 1.99% = $597.00
- Tax on the second bracket: Subtract $30,000 from taxable income and apply 5.21% to the remainder. ($139,090 − $30,000) × 5.21% = $5,683.589
- South Carolina income tax before credit: Add the tax from both brackets. $597.00 + $5,683.589 = $6,280.589
- Two Wage Earner Credit: Use the lesser of $50,000 or the lower-earning spouse's qualifying earned income. Each spouse earns $75,000 in this example. $50,000 × 0.7% = $350
- Estimated South Carolina income tax: Subtract the credit, then round to cents. $6,280.589 − $350 = $5,930.59
To calculate the South Carolina effective tax rate, we divide $5,930.59 of state income tax by $150,000 of household income. The result is 3.95%, higher than the Single example's 3.54%. The calculated state income tax rounds to $5,931 in the comparison table.
The South Carolina statutory marginal tax rate is 5.21%, the same bracket rate as the Single example. The income-adjusted deduction is still decreasing, while the Two Wage Earner Credit has reached its $350 maximum. As in the Single example, losing part of the deduction can increase tax by more than 5.21% of additional wages.
These examples calculate tax by applying each bracket rate to the taxable income within that bracket. South Carolina requires its income-band tax table when taxable income is below $100,000, so the Single filer's tax when filing may differ slightly from this calculation.
Takeaway
South Carolina Income Tax Takeaways
Effective rate is lower than the bracket rate
Our Single example at $75,000 produces an estimated $2,657 in state income tax and a 3.54% effective rate. The Married Filing Jointly example at $150,000 produces $5,931 and a 3.95% effective rate. Both remain below the 5.21% statutory marginal rate because the income-adjusted deduction and lower first bracket reduce the overall tax, with an additional credit for the married couple.
The Two Wage Earner Credit reduces the marriage penalty
South Carolina uses the same $30,000 bracket threshold for Single and Married Filing Jointly taxpayers. The married couple receives the benefit of the lower bracket only once, while two single filers receive it separately. The $350 credit offsets part of that difference, but the couple still owes about $616.52 more than two single filers earning $75,000 each. Other earnings splits, deductions, and credits can change this comparison.
A shrinking deduction increases tax
The South Carolina Income Adjusted Deduction decreases as income rises through its phaseout range. Additional wages increase taxable income both directly and by reducing the deduction. This can increase state tax by more than 5.21% of the additional wages in both examples, even while the statutory bracket rate stays at 5.21%. The deduction is fully eliminated at $95,000 of income for Single filers and $190,000 for joint filers under these assumptions.
South Carolina compares less favorably at higher incomes
For Single filers, South Carolina moves from 14th at $50,000 to 29th at $75,000, then ranges from 32nd to 34th across the $100,000 to $150,000 examples. These ranks compare all 50 states and the District of Columbia, with 1 representing the lowest effective rate. The declining deduction and growing share of income taxed at 5.21% raise its effective rate from 2.00% to 4.57% across the full range. At $75,000, South Carolina's estimated state tax is about $173 more than North Carolina's but $337 less than Georgia's.
FAQ
Frequently Asked Questions
What is the South Carolina income tax rate for 2026?
South Carolina has two individual income tax rates for 2026: 1.99% and 5.21%. The first $30,000 of taxable income is taxed at 1.99%, and taxable income above $30,000 is taxed at the 5.21% marginal rate. The same rate schedule applies to every filing status. Act No. 110 introduced these two rates in 2026, replacing the previous 0%, 3%, and 6% schedule.
Will South Carolina income tax rates decrease for 2027?
Possibly. Beginning in 2027, Act No. 110 allows the 5.21% top rate to decrease if the Board of Economic Advisors projects at least 5% growth in qualifying individual income tax revenue. The size of the reduction depends on the revenue forecast and the law's formula. These conditional cuts can eventually bring the top rate down to 1.99%, creating a single rate. A reduction is not guaranteed for 2027 or every year afterward.
How much is South Carolina income tax on $75,000?
A Single filer earning $75,000 in wages owes an estimated $2,657 in South Carolina state income tax for 2026. The $5,460 South Carolina Income Adjusted Deduction (SCIAD) leaves $69,540 of taxable income. The effective tax rate is 3.54%, and the statutory marginal rate is 5.21%. This calculation assumes full-year residency, a taxpayer under age 65, no dependents, and no other deductions or credits.
How much is South Carolina income tax on $100,000?
A Single filer earning $100,000 in wages owes an estimated $4,244 in South Carolina state income tax for 2026. The SCIAD is fully phased out at $95,000, leaving the full $100,000 taxable. The effective tax rate is 4.24%, while the statutory marginal rate remains 5.21%. This calculation assumes full-year residency, a taxpayer under age 65, no dependents, and no other deductions or credits.
What is the South Carolina marginal tax rate?
South Carolina's statutory marginal income tax rates for 2026 are 1.99% and 5.21%, depending on taxable income. The marginal rate applies to the next dollar of taxable income. Our Single example at $75,000 and Married Filing Jointly example at $150,000 both reach the 5.21% bracket. In both examples, additional wages also reduce the SCIAD, which can increase state tax by more than 5.21% of those wages.
What is the South Carolina effective tax rate?
The South Carolina effective income tax rate is state income tax divided by household income. Our 2026 Single calculations produce effective rates of 3.54% at $75,000 and 4.24% at $100,000. The Married Filing Jointly example at $150,000 produces a 3.95% effective rate after the Two Wage Earner Credit. The result depends on income, filing status, deductions, and credits.
Does South Carolina have a marriage penalty?
Yes, in our equal-income comparison. A married couple earning $75,000 each owes $5,930.59 in South Carolina income tax, about $616.52 more than two single filers earning $75,000 each, based on unrounded calculations. The $30,000 bracket threshold does not double for joint filers, and SCIAD rounding leaves the joint deduction slightly below twice the Single amount. The $350 Two Wage Earner Credit reduces the difference but does not eliminate it. Other earnings splits, deductions, and credits can change the result.
Does South Carolina have a standard deduction for 2026?
No, South Carolina uses the South Carolina Income Adjusted Deduction (SCIAD) instead of a traditional standard or itemized deduction for 2026. The maximum amounts are:
- Single: $15,000
- Married Filing Jointly: $30,000
- Married Filing Separately: $15,000
- Head of Household: $22,500
- Qualifying Surviving Spouse: $30,000
The deduction decreases when federal adjusted gross income exceeds $40,000 for Single and Married Filing Separately, $60,000 for Head of Household, or $80,000 for Married Filing Jointly and Qualifying Surviving Spouse. It is eliminated at $95,000, $142,500, or $190,000, respectively. The phaseout reduction is rounded down to the next lower $10 before subtraction from the maximum deduction.
Federal itemized deductions from Schedule A do not transfer to the South Carolina return. Taxpayers use the SCIAD and any other eligible South Carolina deductions instead.
Does South Carolina have a personal exemption?
No, South Carolina does not provide a personal exemption deduction or credit for the taxpayer or spouse. Filing status instead determines the maximum SCIAD and its income phaseout.
Does South Carolina allow a dependent exemption?
Yes, South Carolina allows an indexed deduction for each eligible dependent, including qualifying children and qualifying relatives. A resident may claim an additional deduction of the same amount for each qualifying dependent under age six at year-end.
The published amount is $4,930 per dependent for 2025. The South Carolina Department of Revenue has not yet published the 2026 indexed amounts.
How much is the South Carolina Earned Income Tax Credit for 2026?
The South Carolina Earned Income Tax Credit (EITC) equals 125% of the federal EITC, up to $200 per return for 2026. It is nonrefundable and can reduce South Carolina income tax to zero but cannot by itself create a refund. A taxpayer must be a qualifying full-year South Carolina resident and qualify for the federal credit. Taxpayers claiming the federal credit with qualifying children generally complete federal Schedule EIC.
How much is the South Carolina Two Wage Earner Credit?
The South Carolina Two Wage Earner Credit provides up to $350 for married taxpayers filing jointly when both spouses have South Carolina earned income. The nonrefundable credit equals 0.7% of the lower-earning spouse's South Carolina qualified earned income, limited to the first $50,000. Our Married Filing Jointly example includes the maximum credit.
Does South Carolina have a Child and Dependent Care Credit?
Yes. South Carolina allows a nonrefundable Child and Dependent Care Credit equal to 7% of qualifying expenses under the federal rules that are attributable to South Carolina income. The maximum credit is $210 for one qualifying person or $420 for two or more. The percentage applies to eligible care expenses, not to the federal credit amount.
References:
- Information Letter 26-20: Individual Income Tax Reform (PDF). South Carolina Department of Revenue, August 31, 2026. Explains the 2026 rates, SCIAD amounts and phaseout rounding, replacement of federal standard and itemized deductions, and $200 EITC limit. Also describes the revenue trigger for potential rate reductions beginning in 2027. Retrieved October 21, 2026.
- Act No. 110 of 2026: Individual Income Tax Reform (H. 4216). South Carolina General Assembly, signed March 30, 2026. Establishes the two-bracket schedule, federal adjusted gross income starting point, SCIAD, and conditional future rate reductions used throughout this page. Retrieved October 21, 2026.
- 2026 South Carolina Individual Income Tax Tables (PDF). South Carolina Department of Revenue, revised June 17, 2026. Provides the income-band filing table and rate computations. Supports the distinction between official table results and our examples calculated directly from the bracket rates. Retrieved October 21, 2026.
- 2026 Individual Income Tax Return, Form SC1040 (PDF). South Carolina Department of Revenue, revised June 22, 2026. Shows the calculation from federal adjusted gross income through SCIAD and other subtractions to taxable income, followed by the EITC, Child and Dependent Care Credit, and Two Wage Earner Credit. Retrieved October 21, 2026.
- 2026 South Carolina Adjustments Schedule, Schedule ADJ (PDF). South Carolina Department of Revenue, revised June 24, 2026. Identifies separate subtractions for dependent exemptions and dependents under age six without specifying the indexed amount. Retrieved October 21, 2026.
- South Carolina Income Tax Act, Title 12, Chapter 6. South Carolina General Assembly. Section 12-6-520 provides for bracket indexing. Sections 12-6-3330 and 12-6-3380 establish the Two Wage Earner Credit formula and the Child and Dependent Care Credit based on 7% of qualifying expenses. Read the code together with Act No. 110 for the 2026 changes. Retrieved October 21, 2026.
- 2025 Individual Income Tax Instructions (PDF). South Carolina Department of Revenue, August 2025. Provides the published $4,930 dependent exemption and matching under-six deduction for 2025, plus credit eligibility and calculation instructions. The dependent amount is identified as prior-year data in the FAQ. The page uses the separate 2026 sources for rates, SCIAD, and the EITC cap. Retrieved October 21, 2026.
- Information about H. 4216. South Carolina Department of Revenue. Summarizes the enacted income tax changes and directs taxpayers to the agency's implementation guidance. Retrieved October 21, 2026.
- Software Developer Tax Forms: 2026 Individual Income Tax. South Carolina Department of Revenue. Lists publication and revision dates for the 2026 return, adjustments schedule, and tax tables. The SC1040 instructions remained under revision when checked for this page. Retrieved October 21, 2026.
- Individual Income Tax FAQs. South Carolina Department of Revenue. Explains residency and filing requirements, including the general April 15 deadline for calendar-year individual income tax returns. Retrieved October 21, 2026.