South Carolinas Recovered $ 1.8 Million From New Gasoline Tax, Report Says
Higher gas prices never seem attractive, but new credit in South Carolina will put some of that money back in your pocket.
COLUMBIA, SC – Higher gasoline prices never seem attractive, but new credit in South Carolina is starting to put some of that money back in your pocket.
In 2017, South Carolina passed a bill that increased gas prices to help fix the state’s roads and infrastructure. A year later, taxpayers see some benefits from the price hikes.
This is the state’s first gasoline income tax credit, and so far it has returned $ 1,834,727 to 120,585 South Carolina taxpayers. This averages out to about $ 23.65 per return and $ 15.21 per taxpayer.
And those numbers could increase, since taxpayers who file extensions have until Oct. 15 to file their returns.
Regardless, the total of $ 1.8 million is well below the $ 40 million cap set by lawmakers for 2018. The 2019 cap has already been set at $ 65 million.
The South Carolina Department of Revenue believes more people will apply for the credit next year as gasoline costs continue to rise. Under the Highways Bill, gas will increase another 2 cents per gallon each year:
According to a report, the State Infrastructure Maintenance Trust Fund received around $ 172.4 million in revenue from the increase in gas prices.
So if you want to claim this tax credit next year, the experts say save your revenue! You won’t need to return them, but you will need them to account for all of your gasoline purchases.
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For more information on the tax credit and the reporting process, visit the SC Department of Revenue website.