In South Carolina, taxpayers who qualify for the 20% federal income tax credit may also qualify for a state income tax credit of 10% or 25% (not to exceed $1 million for each certified historic structure) of their rehabilitation costs under the South Carolina Historic Rehabilitation Incentives Act. The federal and state tax credits reduce the amount of income taxes owed. In general, a dollar of tax credit earned reduces the amount of income taxes owed by one dollar. Each tax situation is different, however, and we advise you to check with a tax specialist to determine how the credits would affect your tax liability. To qualify for these tax credits, the building must be: - listed individually in the National Register of Historic Places, or - located within a National Register-listed historic district and certified by the National Park Service as contributing to the significance of the district.
