SC Among Most Tax-Friendly States for Retirees

Kiplinger magazine has listed South Carolina among the 10 most tax-friendly states for retirees in its September issue.

“The state does not tax Social Security benefits and provides a generous retirement-income deduction when calculating state income tax. State income tax rates are reasonable, and property taxes are very low. Taxes are based on 4% of the market value of the home and senior homeowners qualify for a homestead exemption,” Kiplinger said in summarizing South Carolina’s tax policy toward people age 65 and over.

Some other points noted by Kiplinger include:

- People 65 and over may deduct up to $10,000 in qualifying retirement income, including public employee retirement plans, Keogh plans, IRA distributions and military retirement.

- People 65 and over can take a senior deduction of $15,000, for single filers, or $30,000, for married couples filing jointly. However, the $15,000 deduction must be offset by the amount taken with the retirement-income deduction.

- Retired military personnel 65 and older can deduct up to $10,000 of military retirement benefits.

Staff Report-Sept. 7, 2012

Photo by ThinkStock

 

Browse Some Charleston Areas

MountPleasantSlide

Mount Pleasant

With the third largest population among the municipalities of Greater Charleston (5th in the state), Mount Pleasant is arguably the most popular bedroom community in South Carolina. With the major container ship facility at the Wando Port and tourism providing the bulk of its industry, most Greater Charlestonians would agree that the real business of… Read More

Isle of Palms

Isle of Palms

The slender barrier island that is the Isle of Palms (IOP) is best known as Greater Charleston’s most popular public beach for tourists and families with small children, but it is also home to the Wild Dunes Resort, Marina, and its amazing golf courses. Sitting off the Mt. Pleasant coastline just north of its Sullivan’s… Read More

The Angel Oak on Johns Island

Johns Island

Located a 15 minute drive from downtown Charleston via West Ashley and over the Stono River lies Johns Island. This island is the second largest island on the eastern seaboard next to Long Island, NY. It can be described as the least developed land mass in the Charleston area. The locals of Johns Island are passionate… Read More

Seabrook Island

Seabrook Island

Seabrook Island has got to be Greater Charleston’s most enigmatic community. It is a true resort community known best for being Kiawah Island’s next door neighbor and is one of the most internationally recognized Islands in South Carolina, yet it’s not even an island, and though it’s a fully guarded and gated community, it’s also… Read More

See More Charleston Areas