Current Status Bill Number:3850 Ratification Number:243 Act Number:114 Type of Legislation:General Bill GB Introducing Body:House Introduced Date:19970409 Primary Sponsor:Robinson All Sponsors:Robinson and Vaughn Drafted Document Number:bbm\9151mm.97 Date Bill Passed both Bodies:19970604 Date of Last Amendment:19970604 Governor's Action:S Date of Governor's Action:19970613 Subject:Income tax returns, signatures; Taxation, Revenue Department; Estates, Rulemaking, Ethics, special recreation tax
Body Date Action Description Com Leg Involved
______ ________ _______________________________________ _______ ____________
------ 19970630 Act No. A114
------ 19970613 Signed by Governor
------ 19970609 Ratified R243
Senate 19970604 Concurred in House amendment,
enrolled for ratification
House 19970604 Senate amendments amended,
returned to Senate with amendment
Senate 19970604 Amended, read third time,
returned to House with amendment
Senate 19970603 Amended
Senate 19970522 Read second time, notice of
general amendments
Senate 19970521 Committee report: Favorable 06 SF
Senate 19970501 Introduced, read first time, 06 SF
referred to Committee
House 19970430 Read third time, sent to Senate
House 19970429 Read second time
House 19970424 Committee report: Favorable 30 HWM
House 19970409 Introduced, read first time, 30 HWM
referred to Committee
View additional legislative information at the LPITS web site.
(A114, R243, H3850)
AN ACT TO AMEND SECTION 1-23-120, AS AMENDED, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO RULEMAKING, SO AS TO UPDATE REFERENCE TO INTERNAL REVENUE CODE; TO AMEND SECTION 4-20-40, AS AMENDED, RELATING TO RECREATION SPECIAL TAX DISTRICTS, SO AS TO PROVIDE FOR LOCAL FUNDING AND SERVICES; TO AMEND SECTION 8-13-725, RELATING TO DISCLOSURE OF CONFIDENTIAL INFORMATION, SO AS TO PROHIBIT CERTAIN DISCLOSURES BY PUBLIC OFFICIALS, MEMBERS, AND EMPLOYEES AND TO PROVIDE FOR CRIMINAL PENALTIES AND IMMEDIATE DISCHARGE; TO AMEND SECTION 8-21-790, AS AMENDED, RELATING TO THE DISPOSITION OF FEES FOR SETTLEMENT OF ESTATES, SO AS TO REQUIRE NO LESS THAN MONTHLY PAYMENTS BY THE DEPARTMENT OF REVENUE; TO AMEND SECTION 12-2-75, RELATING TO REQUIRED SIGNATURES ON TAX RETURNS, SO AS TO OMIT REFERENCE TO SOUTH CAROLINA CODE AND TO ADD REFERENCE TO THE DEPARTMENT OF REVENUE; TO AMEND SECTION 12-21-2738, AS AMENDED, RELATING TO THE PENALTY FOR FAILURE TO COMPLY WITH LICENSING OF GAMING MACHINES, SO AS TO REQUIRE THAT THE PENALTY BE CREDITED TO THE GENERAL FUND; TO AMEND SECTION 12-36-2120, AS AMENDED, RELATING TO SALES AND USE TAX EXEMPTIONS, SO AS TO CHANGE REFERENCE TO "GAS AND OTHER FUELS" TO "MOTOR FUEL, BLENDED FUEL, AND ALTERNATIVE FUEL" IN THE EXEMPTION PERTAINING THERETO; TO AMEND SECTION 12-54-40, AS AMENDED, RELATING TO PENALTY FOR FAILURE TO MAKE A TIMELY PAYMENT OF TAX DUE THE STATE BECAUSE OF NEGLIGENCE OR FRAUD, SO AS TO UPDATE REFERENCE TO SOUTH CAROLINA CODE; TO AMEND SECTION 12-60-30, AS AMENDED, RELATING TO DEFINITIONS IN THE REVENUE PROCEDURES ACT, SO AS TO CLARIFY THE MEANING OF "ASSESSMENT"; AND TO AMEND SECTION 56-31-50, AS AMENDED, RELATING TO PRIVATE CAR RENTAL SURCHARGES, SO AS TO MAKE THEM PAYABLE TO THE DEPARTMENT OF REVENUE, NOT TO THE STATE TREASURER'S OFFICE.
Be it enacted by the General Assembly of the State of South Carolina:
Updates reference to Internal Revenue Code
SECTION 1. Section 1-23-120(G)(3) of the 1976 Code, as last amended by Act 181 of 1993, is further amended to read:
"(3) by the South Carolina Department of Revenue to adopt regulations, revenue rulings, revenue procedures, and technical advice memoranda of the Internal Revenue Service so as to maintain conformity with the Internal Revenue Code as defined in Section 12-6-40;"
Provides for funding and services to a recreation special tax district
SECTION 2. Section 4-20-40 of the 1976 Code, as last amended by Act 273 of 1996, is further amended to read:
"Section 4-20-40. County council shall by ordinance provide for the operations of the community recreation special tax district which shall include the creation of a commission consisting of three to seven members appointed by the county council. Appointments by county council to the commission shall be in accordance with any written agreement entered into between the county and any municipality having any part of its territory within the district. County council shall set the term of office for the members of the commission. All members appointed by the county council to the commission must reside in the district, and no member of the commission shall receive compensation for service on the commission. The public works department, with county council approval, may provide services to a recreation special tax district at the same cost as incurred and charged for those same services in nonrecreation special tax districts. County council may provide funding from general fund tax revenue to a recreation special tax district at the same level and for the same purposes as for nonrecreation special tax districts."
Prohibits disclosure of certain information by public official, member, or employee and immediate discharge
SECTION 3. Section 8-13-725 of the 1976 Code, as added by Act 248 of 1991, is amended to read:
"Section 8-13-725. (A) A public official, public member, or public employee may not use or disclose confidential information gained in the course of or by reason of his official responsibilities in a way that would affect an economic interest held by him, a member of his immediate family, an individual with whom he is associated, or a business with which he is associated.
(B)(1) A public official, public member, or public employee may not wilfully examine, or aid and abet in the wilful examination of, a tax return of a taxpayer, a worker's compensation record, a record in connection with health or medical treatment, social services records, or other records of an individual in the possession of or within the access of a public department or agency if the purpose of the examination is improper or unlawful.
(2) A person convicted of violating this subsection must be fined not more than five thousand dollars, or imprisoned not more than five years, or both, and shall reimburse the costs of prosecution. Upon conviction, the person also must be discharged immediately from his public capacity as an official, member, or employee."
Requires estate settlement payments at least monthly
SECTION 4. Section 8-21-790 of the 1976 Code, as last amended by Act 470 of 1994, is further amended to read:
"Section 8-21-790. The office of the probate court must also be paid fees according to the following schedule for each estate settled:
On the first $100.00 of tax collected5%
Above $100.00 and up to $1,000.00 2%
Above $1,000.00 and up to $10,000.001 1/2%
Above $10,000.00 and up to $50,000.001%
Above $50,000.00 and up to $100,000.003/4 of 1%
Above $100,000.00 and up to $300,000.00l/2 of 1%
Above $300,000.00 1/4 of 1%
If the probate judge fails or neglects to perform a duty required under Chapter 16 of Title 12, the Department of Revenue may withhold any or all of the fees provided for in the schedule and shall credit the withheld fees to the general fund of the State Treasury. All fees allowed under this schedule must be paid out of the taxes collected by the Department of Revenue no less than monthly upon receipt of them and the receipt of the County Treasurer is sufficient voucher for paying same."
Adds reference to Department of Revenue
SECTION 5. Section 12-2-75 of the 1976 Code, as added by Act 431 of 1996, is amended to read:
"Section 12-2-75. (A) Returns filed by taxpayers with the department must be signed by the following:
(1) corporate returns by an authorized officer of the corporation;
(2) partnership returns by a general partner;
(3) trust and estate returns by the trustee, personal representative, executor, or administrator, whichever is applicable;
(4)(a) except as provided in subsections (b) and (c), individual returns must be signed by the individual;
(b) deceased individual returns for individuals who would have been required to file a state tax return while living by the personal representative, administrator, or executor of the decedent's estate and the tax must be levied upon and collected from the estate;
(c) if an individual is unable to make a return or payment, including an estimated tax payment, it must be made by an authorized agent, a guardian, or other person charged with the conduct of the business of the taxpayer.
(B) The department may authorize taxpayers to sign returns by other means, including electronically."
Credits all of penalty to general fund
SECTION 6. Section 12-21-2738 of the 1976 Code, as last amended by Act 164 of 1993, is further amended to read:
"Section 12-21-2738. A person who fails, neglects, or refuses to comply with the terms and provisions of this article or who fails to attach the required license to a machine, apparatus, billiard, or pocket billiard table, as required by this article, is subject to a penalty of fifty dollars for each failure, and the penalty must be assessed and collected by the department.
If the violation under this section relates to a machine licensed pursuant to Section 12-21-2720(A)(3), the applicable penalty amount is two thousand five hundred dollars, a part of which may not be suspended. This penalty must be deposited to the credit of the general fund of the State."
Refers to motor fuel, blended fuel, alternative fuel
SECTION 7. Items (a) and (b) of Section 12-36-2120(15) of the 1976 Code, as last amended by Act 516 of 1994, are further amended to read:
"(a) motor fuel, blended fuel, and alternative fuel subject to tax under Chapter 28 of Title 12; however, gasoline used in aircraft is not exempt from the sales and use tax;
(b) if the fuel tax is subsequently refunded under Section 12-28-710, the sales or use tax is due unless otherwise exempt, and the person receiving the refund is liable for the sales or use tax;"
Updates code reference
SECTION 8. Section 12-54-40(b)(2)(c)(1) through (b)(2)(d)(3) of the 1976 Code, as last amended by Act 516 of 1994, is further amended to read:
"(1) If a part of an underpayment is due to negligence or disregard of regulations, or if a part of a claim for refund is due to negligence or disregard of regulations, there must be added to the tax an amount equal to the sum of five percent of the underpayment or negligently claimed refund and an amount equal to fifty percent of the interest payable under Section 12-54-25.
(2) There must not be taken into account under this subsection a portion of an underpayment attributable to fraud with respect to which a penalty is imposed under subsection (d).
(3) For purposes of this subsection, 'negligence' includes a failure to make a reasonable attempt to comply with the provisions of this title, and 'disregard' includes careless, reckless, or intentional disregard.
(d)(1) If a part of an underpayment of tax required to be shown on a return is due to fraud, there must be added to the tax an amount equal to the sum of seventy-five percent of the portion of the underpayment which is attributable to fraud and an amount equal to fifty percent of the interest payable under Section 12-54-25 with respect to that portion for the period beginning on the last day prescribed by law for payment of the underpayment, determined without regard to any extension and ending on the date of the assessment of the tax or, if earlier, the date of the payment of the tax.
(2) If the department establishes that any portion of an underpayment is attributable to fraud, the entire underpayment must be treated as attributable to fraud, except a portion of the underpayment which the taxpayer establishes is not attributable to fraud.
(3) In case of a joint return, this subsection does not apply to a spouse unless some part of the underpayment is due to the fraud of the spouse."
Redefines "assessment"
SECTION 9. Section 12-60-30(2) of the 1976 Code, as added by Act 60 of 1995, is amended to read:
"(2) 'Assessment' means the department's recording the liability of the taxpayer in the office of the department, subject to the restrictions in Section 12-60-440."
Requires private car rental surcharges be remitted to Department of Revenue
SECTION 10. Section 56-31-50(C) of the 1976 Code, as last amended by Act 459 of 1996, is further amended to read:
"(C) On February fifteenth of each year all rental companies engaged in the business of renting private passenger motor vehicles which collect surcharges pursuant to this section shall file a report with the department stating the total amount of South Carolina personal property taxes on private passenger motor vehicles paid in the previous calendar year, the total amount of private passenger motor vehicle rental revenues earned on rentals in South Carolina for the previous calendar year, and the amount by which the total amount of the surcharges for the previous year exceeds the total amount of personal property taxes on private passenger motor vehicles paid for the previous calendar year. All surcharge revenues collected in excess of the total amount of personal property taxes on private passenger motor vehicles must be remitted to the department's office for deposit in the state general fund."
Time effective
SECTION 11. This act takes effect upon approval by the Governor.
Approved the 13th day of June, 1997.