How to File Your South Carolina Tax Return for 2015: Income Tax, Sales Tax, and Tax Credit Guide

Filing your 2015 South Carolina tax return is still essential if you lived there and earned income during that year. Whether you are a full-time resident, a part-year resident, or a nonresident who worked in the Palmetto State, your tax obligations remain enforceable. Many South Carolina residents are unaware that they are still responsible for submitting an individual income tax return if they met filing requirements in 2015, especially if they had South Carolina tax withheld or owed a tax bill.

Failing to file can lead to penalties, interest, or delays in receiving a refund. The South Carolina Department of Revenue uses data from federal taxes, W-2s, and other income sources to verify who must file. Even if you believe you are exempt, submitting the proper forms ensures compliance and protects your rights. Understanding your taxable income and deductions can lower your tax liability.

This guide will walk you through each step—from verifying your filing status to calculating your adjusted gross income—while explaining how to pay any balance due and claim any refund owed. It also addresses sales tax, property taxes, tax credits, and how your savings account might impact your state return for the 2015 tax year.

Who Needs to File a 2015 South Carolina Tax Return?

Understanding who must file a 2015 South Carolina tax return depends on income type, residency status, and how much you earned during the taxable year. South Carolina, nonresidents, and part-year residents may all be required to file, depending on their adjusted gross income, exemptions, and whether any South Carolina taxes were withheld. Filing is mandatory if you meet certain thresholds, regardless of whether you expect a refund or owe a tax bill.

You are required to file if any of the following applied in 2015:

• Residents under age 65: You filed a federal return and earned income taxable by South Carolina, or had state income taxes withheld from your wages.
  
  
• Residents age 65 or older: Your gross income exceeded the federal filing requirement plus $15,000, or you had South Carolina tax withheld.
  
  
• Part-year or nonresidents: You earned South Carolina-source income that exceeds the federal personal exemption amount, or had state tax withheld.
  
  
• Self-employed individuals: You operated a business in South Carolina or earned income subject to state tax reporting requirements.

Many taxpayers mistakenly assume they are exempt from state filing because they moved or did not work for part of the year. However, income earned in the state is still subject to taxation. South Carolina also applies residency and taxable income rules, which differ from federal guidelines. Confirming your filing status, calculating your total income, and determining if your tax obligation meets the state’s thresholds is critical.

Additional filing situations where a return is required:

• You received a South Carolina income tax refund in a prior year and were issued a Form 1099-G.
  
  
• You had South Carolina withholding on a 1099 form, such as interest from a retirement or savings account.
  
  
• You qualified for state tax credits and want to claim them by filing an individual income tax return.
  
  
• You paid estimated tax payments throughout the year and must reconcile them on your return.
  
  
• You owe a tax bill after calculating deductions, credits, and exemptions.

Filing a state return can be beneficial even when not explicitly required. It may lead to a refund, allow you to document tax credits for future years, and prevent issues with the South Carolina Department of Revenue. For complete information on who must file, visit the SCDOR individual filing page.

South Carolina Tax Rates and Brackets for 2015

The 2015 South Carolina income tax system used a progressive rate structure, which means your tax rate increased as your taxable income increased. These tax rates applied to South Carolina residents, part-year residents, and nonresidents who earned income in the state. Each filing status—single, married filing jointly, or head of household—was subject to the same income tax brackets but calculated based on individual income tax return details, deductions, and adjustments to federal taxable income.

2015 South Carolina Tax Rates by Income Level

• 0% on the first $2,910 of taxable income
  
  
• 3% on income between $2,911 and $5,820
  
  
• 4% on income between $5,821 and $8,730
  
  
• 5% on income between $8,731 and $11,640
  
  
• 6% on income between $11,641 and $14,550
  
  
• 7% on income over $14,551

Each taxpayer must calculate their adjusted gross income, subtract allowable deductions, and apply these rates to determine their state tax. South Carolina also allowed reductions through credits and exemptions that lowered your tax bill.

Understanding Your Taxable Income

• Adjusted gross income starts with federal income but excludes items like tax-exempt interest.
  
  
• Taxable income in South Carolina is calculated after applying state-specific additions and subtractions.
  
  
• Deductions and exemptions such as retirement income, Social Security benefits, and certain property-related costs may reduce your liability.
  
  
• Tax rates are applied only after all deductions and exemptions are calculated, affecting your final percentage owed.

Compared to the national average, South Carolina’s tax rates remained relatively low, especially for taxpayers with modest incomes. However, taxation rules varied based on income source and category. Property taxes and sales tax, although separate from income tax, also affect the overall tax burden for residents of the Palmetto State. You can refer to the Tax Foundation's 2015 breakdown for a comparison with other states.

Forms and Documents Required for Your State Return

First, finalize your federal return to accurately complete your 2015 South Carolina individual income tax return. Your adjusted gross income, taxable income, and credits reported federally will directly impact your state return. The South Carolina Department of Revenue requires specific forms based on residency status, income type, and applicable deductions.

Essential Forms to File:

• SC1040 – Main return for South Carolina residents and those with state-source income
  
  
• Schedule NR – Required for nonresidents or part-year residents
  
  
• SC1040TC – Used to claim credits such as tuition or child care
  
  
• I-335 – For small business income deduction
  
  
• SC4868 – For requesting an extension to file
  
  
• SC1040-V – Payment voucher if paying by check
  
  
• SC1040X – For amending a previously filed return

Required Supporting Documents:

• W-2s showing South Carolina tax withholding
  
  
• 1099s for interest, retirement, or contract work
  
  
• Federal return (Form 1040 and schedules, if applicable)
  
  
• Receipts for deductible expenses
  
  
• Savings account interest documentation.
  
  
• Records for credits or exemptions claimed

Incomplete returns, unsigned forms, or missing schedules may delay processing or trigger penalties. Visit the SCDOR Forms page to access official instructions and download the correct forms for your situation.

Step-by-Step: How to File Your South Carolina Income Taxes for 2015

Begin by preparing your federal return since your adjusted gross and taxable income from that filing will be transferred to your South Carolina individual income tax return. Gather all relevant documents, including W-2s, 1099s, expense receipts, and records supporting deductions or tax credits. For consistency and accuracy, your filing status must match your federal return.

Use Form SC1040 to file your state return. Enter your personal information, report your federal taxable income on Line 1, and make adjustments allowed under South Carolina law. These may include subtractions for retirement income, out-of-state earnings, or savings account interest. Use the South Carolina tax tables to apply the correct tax rates, then subtract any applicable tax credits. Report payments made through withholding or estimated tax to determine whether you owe a balance or qualify for a refund.

If paying by check, attach Form SC1040-V. Payments of $15,000 or more must be made electronically via the DORePay portal. The South Carolina Department of Revenue also offers Free File services for online submission. Filing electronically helps reduce errors and speed up refunds.

Property Taxes, State Sales Tax Rate, and Other State-Level Considerations

In South Carolina, property taxes are separate from your individual income tax, yet they significantly influence the total cost of living. Each county determines its property tax rates, applying a millage rate to the assessed value of real property. The final tax bill can vary widely depending on where you live. Although South Carolina’s average property taxes are among the lowest in the country, exemptions are available for owner-occupied residences, seniors, and specific disabled individuals, helping reduce overall taxation.

The state sales tax rate was 6% in 2015, but counties could add local sales taxes, pushing the total state sales tax rate to as high as 7% or 8% in some areas. These taxes applied to most consumer goods and selected services. Some essential items—such as unprepared food—were exempt. Combined with state income taxes, the overall tax burden was meaningful, particularly for residents on limited budgets.

While not filed as part of your individual income tax return, both property taxes and the state sales tax rate play a key role in financial planning. South Carolina residents should contact their local county offices to confirm rates, deadlines, and exemptions. Accurate knowledge ensures better savings and avoids penalties related to late payment.

Tax Credits and Deductions for 2015 You Shouldn’t Miss

For the 2015 tax year, South Carolina offered valuable credits and deductions that lowered individual income tax bills. Deductions reduce your adjusted gross income, lowering your overall taxable amount. Tax credits were even more powerful, subtracting directly from your final tax liability. Reviewing these can help if you missed them or filed without claiming eligible benefits.

One key credit applied to tuition and fees paid to eligible South Carolina institutions during 2015. Married couples could claim a wage-earner credit based on the lower earner’s income. A state-level child and dependent care credit mirrored the federal version for daycare costs. These credits directly reduced tax owed and benefited many qualifying taxpayers.

Additional deductions included $3,000 for volunteer firefighters and retirement income deductions up to $15,000 for seniors. Social Security income was fully exempt from South Carolina income tax. A 44% deduction on net capital gains from long-term investments was also available. You could amend your return using Form SC1040X if you missed these deductions.

How to Make a Payment or Set Up a Payment Plan

If you owed taxes to the state for the 2015 tax year, the South Carolina Department of Revenue offered several secure and flexible payment methods. Paying the full balance by the filing deadline helped taxpayers avoid additional interest, fees, and penalties. Depending on how much you owed and your preferred method, you could submit your payment online, by mail, or through an electronic transfer. Payments exceeding $15,000 were required to be made electronically.

Accepted Payment Methods

• Electronic Funds Withdrawal (EFW): This option allows you to authorize a direct debit from your savings or checking account when filing your return electronically.
  
  
• DORePay Portal: The DORePay system supports secure transactions for individuals and businesses and allows you to pay online using a credit card or bank account.
  
  
• Check or Money Order: If filing by paper, complete Form SC1040-V and include it with your payment. Make checks payable to SCDOR and write your Social Security number and “2015 SC1040-V” on the check.

Even if you requested an extension to file, you still needed to pay at least 90% of your total tax liability by April 15, 2016, to avoid penalties. Late payments were subject to monthly interest and fees based on the unpaid balance.

How to Request a Payment Plan

• Installment Agreement Request: If you cannot pay your full tax bill immediately, apply for a payment plan through the South Carolina Department of Revenue.
  
  
• Eligibility Requirements: Installment agreements were generally granted if you filed all prior tax returns and agreed to make regular monthly payments. Additional fees and interest continued to accrue during the plan.

Taxpayers were encouraged to resolve any outstanding balance as quickly as possible. Through your MyDORWAY portal, you may also check your account status or verify payment history. Keeping up with state payments helps maintain compliance and prevent collection actions.

How to Track Your Refund or Balance Due

After filing your 2015 South Carolina individual income tax return, you can track the status of your refund or confirm any balance due using the tools provided by the South Carolina Department of Revenue. Timely tracking helps you avoid missed payments, unexpected fees, or delays in receiving funds owed to you. You will need specific details from your filed return to access your account and review any outstanding obligations or refund updates.

How to Track Your Refund

• Use the SCDOR Refund Status Tool: Visit the “Where’s My Refund?” page and enter your Social Security number and amount on your return.
  
  
• Understand the Refund Timeline: Most electronically filed returns are processed within eight weeks, depending on review time and identity verification. Paper returns may take longer, particularly if incomplete forms contain errors.

How to Check Your Balance Due

• Log in to MyDORWAY: You can access your account using the secure portal at dor.sc.gov to view your current balance, prior payments, and interest accrued.
  
  
• Review Notices: The department will issue a balance-due notice if you owe additional taxes. This notice includes payment instructions and a breakdown of your tax liability, interest, and penalties.

Refund delays are often caused by filing errors, missing forms, or identity protection reviews. Maintaining accurate records and checking your account periodically can help you avoid issues and ensure you receive your refund or resolve your balance promptly.

Final Filing Checklist for Your South Carolina State Return

Filing your 2015 South Carolina individual income tax return accurately helps avoid delays, penalties, and refund issues. Use this final checklist to confirm that all forms, schedules, and required information are complete before submitting your return to the South Carolina Department of Revenue.

• Verify all personal details: Ensure that your full name, Social Security number, and current address are correctly entered on every return page.
  
  
• Complete your federal return first: Your adjusted gross income, taxable income, and deductions are pulled from your federal return and used as the basis for your state return.
  
  
• Attach all required documents: W-2s, 1099s, Schedule NR (if applicable), and an AX credit or deduction form. Missing forms can delay processing or result in penalties.
  
  
• Sign and date your return: Unsigned returns will be rejected. If you are filing jointly, both spouses must sign.
  
  
• Include your payment or Form SC1040-V: If you owe money, include a payment by check or money order with the appropriate voucher.
  
  
• Double-check your refund and balance due calculation: Ensure all math is correct and verify any carryover credits or exemptions claimed.
  
  
• Make a copy for your records: Keep a full copy of your return, including every form, schedule, and document submitted.

A complete and well-organized return improves your chances of a timely refund or a clear understanding of any balance due.

How a Savings Account Affects Your South Carolina Tax Filing

Interest earned from a savings account in 2015 may have affected your South Carolina individual income tax return, especially if it was reported on your federal return. While savings accounts are a standard financial tool, their income is taxable unless specifically exempt. The South Carolina Department of Revenue requires residents to report this income if it contributed to their adjusted gross income at the federal level.

Common ways savings account interest affects your return:

• Reportable income from interest: If you earned more than $10, your bank likely issued a 1099-INT form, which must be included with your tax documents.
  
  
• Impacts on adjusted gross income: Savings account interest increases your federal AGI, which can raise your South Carolina taxable income.
  
  
• Taxation across account types: Traditional savings, high-yield accounts, and money market savings are all subject to state tax unless excluded.
  
  
• Inclusion on SC1040: If the interest appears on your federal return, it should also be reflected in your South Carolina state return calculations.

If the interest qualifies as tax-exempt, such as from specific U.S. government obligations, you may subtract it from your South Carolina taxable income. However, most savings interest is not exempt at the state level, especially for South Carolina residents who maintain accounts with commercial banks.

Steps to correctly handle savings account interest:

• Include the total interest in your federal return: This is the baseline for South Carolina calculations.
  
  
• Review South Carolina-specific subtractions: Only interest from exempt sources may be deducted on Line 3 of Form SC1040.
  
  
• Maintain accurate records: Include bank-issued statements with your filing to support the interest income you report.
  
  
• Check for deductions: While savings interest is typically taxable, a deduction might apply under specific conditions if it is related to educational savings programs.

Understanding how interest income fits into your overall taxable income can help avoid errors, prevent audit flags, and ensure your tax return is accurate and complete.

Frequently Asked Questions

Get straightforward answers to common tax questions, including deductions, refunds, and filing rules, so you don’t miss a dollar or face costly mistakes on your return. 

What if I missed the 2015 South Carolina tax season deadline?

Even if you missed the original 2015 tax season deadline, you should file your individual income tax return immediately. Late filing may result in penalties and interest. However, submitting your return as soon as possible can reduce your tax bill and prevent further fees. Note that the state may still issue a refund if you are eligible.

Can I still qualify for 2015 tax credits if I file now?

You can still claim eligible 2015 tax credits by filing a timely return or submitting an amended one. These include tuition credits, child care credits, and more. Be sure to complete the correct form and provide documentation. The credit amount may result in a lower tax bill or a refund if your payments exceed your final liability.

How do I correct errors on a 2015 return I already filed?

You must file an amended return using Form SC1040X to correct any mistakes. This applies to changes in income, filing status, or credits. Including accurate information and supporting documents ensures prompt processing. Note: Improvements such as corrected deductions may reduce your taxable income and qualify you for a refund or lower balance.

How does savings account interest affect my South Carolina tax return?

Savings account interest is taxable income and must be included on your income tax return. Interest reported on your federal return should also appear on your state return unless it is from an exempt source. Most commercial savings account interest is taxable in South Carolina. Accurate reporting helps avoid underpayment penalties.

What if only one spouse was a South Carolina resident in 2015?

You can file a joint South Carolina return using Form SC1040 and Schedule NR. The resident spouse must report all income, while the nonresident spouse reports only South Carolina income. This approach helps ensure both spouses are taxed appropriately. Each filer’s portion of income must be reported equally and accurately based on residency status.

Do I still need to file if I only had part-time or freelance income?

You must file an individual income tax return if your income meets or exceeds the IRS filing threshold, which varies by age and filing status. Part-time, freelance, and gig income count toward your adjusted gross income (AGI). Filing helps ensure you receive proper credit for any tax payments already made, including withholding or estimated taxes. It also helps maintain compliance with federal and state tax laws, even if you’re not expecting a refund.

How can I reduce my tax bill in future years?

Keep organized records, track deductions, and stay current on tax changes. Opening a retirement account, making charitable donations, and contributing to education savings plans can lower your taxable income. Minor improvements in financial planning often result in equal or greater savings during future tax seasons. Note: Consult a tax professional for detailed advice.