SC Senate ups ante to $2 billion in income tax cut debate

February 17, 2022

Hannah Patrick, Associated Press,

Tax forms and money (Photo: Pictures of Money / Flickr / CC BY 2.0)

COLUMBIA, SC (AP) — The financial leader in the South Carolina Senate has proposed nearly $2 billion in income tax cuts and rebates.

The plan by Senate Finance Committee Chairman Harvey Peeler adds an even larger number to the debate on cutting taxes heating up in the General Assembly.

Peeler’s plan would drop the state’s top tax rate of 7% down to 5.7% when people file their returns next year.

That would cost nearly $900 million. Peeler also wants to give $1 billion of one-time rebates to taxpayers, but the Gaffney Republican said he is still working on those details.

Gov Henry McMaster and Republican House leaders proposed cutting the top state income tax rate from 7% to 6.5% on Tuesday.