Reference is to the bill as introduced.
Amend the bill, as and if amended, by striking all after the enacting words and inserting:
/ SECTION 1. This act may be cited as the "South Carolina Giving Back to Our Veterans Act".
SECTION 2. Section 12-6-1140 of the 1976 Code is amended by adding a new item at the end to read:
"(12) for taxable years beginning after 2015, military retirement benefits attributable to service on active duty in the armed forces of the United States."
SECTION 3. Section 12-6-1170(A)(2) of the 1976 Code is amended to read:
"(2) The term 'retirement income', as used in this subsection, means the total of all otherwise taxable income not subject to a penalty for premature distribution received by the taxpayer or the taxpayer's surviving spouse in a taxable year from qualified retirement plans which include those plans defined in Internal Revenue Code Sections 401, 403, 408, and 457, and all public employee retirement plans of the federal, state, and local governments, including military retirement. After taxable year 2015, military retirement is not included as retirement income for purposes of the deduction allowed by this section."
SECTION 4. In addition to amounts allowed as a deduction pursuant to Section 12-6-1170 of the 1976 Code, there is allowed as a deduction from South Carolina taxable income of individuals for purposes of the South Carolina Income Tax Act a portion of otherwise taxable military retirement benefits attributable to service on active duty in the armed forces of the United States according to the following schedule:
Taxable Year Deduction
2014 33.33 percent
2015 66.67 percent.
SECTION 5. This act takes effect upon approval by the Governor and applies for taxable years beginning after 2013. /
Renumber sections to conform.
Amend title to conform.