South Carolina does not tax Social Security benefits and grants deductions for other retirement income, Kiplinger magazine said in summarizing the state’s tax policy for retirees. Retired military personnel also qualify for deductions.
Published Sept. 7, 2012
“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 over 65.
Some other points noted by Kiplinger include: