SC SCH TC 62: Preceptor Credit (2024)
South Carolina · South Carolina DOR · Used for tax years 2024
South Carolina Schedule TC-62 calculates the Preceptor Credit for physicians, advanced practice registered nurses, and physician assistants. It records preceptor service and patient information and calculates available credits, carryforwards, and applicable deductions.
Who files this form
Use the 2024 SC SCH.TC-62 to claim the Preceptor Credit if you are an eligible physician, advanced practice registered nurse, or physician assistant who served as a preceptor for qualifying clinical rotations.
To qualify, you must:
- Have received no compensation for serving as a preceptor.
- Have served at least two qualifying rotations during the year.
- Have a practice in which Medicaid-insured, Medicare-insured, and self-pay patients together make up at least 30% of patients.
Physicians may qualify for rotations required by medical schools, advanced practice nursing programs, or physician assistant programs. Advanced practice registered nurses and physician assistants may qualify for rotations required by advanced practice nursing or physician assistant programs.
What you'll need
Have the information requested by the schedule ready:
- Your name and SSN or ITIN.
- Your professional category and whether you were compensated for preceptor service.
- Total preceptor hours and number of rotations served during 2024.
- Total patients at your practice, plus separate counts of Medicaid-insured, Medicare-insured, and self-pay patients.
- Credit carryforwards from previous years and any deduction carryforward from tax year 2023.
- Your tax liability remaining after other credits are applied.
The schedule also directs you to report the credit used on SC1040TC and the total current-year deduction on line v of SC1040.
How to file
- Complete Part I and Table A. Add the Medicaid-insured, Medicare-insured, and self-pay patient counts, then divide by total patients to calculate the combined percentage.
- Complete Part II if you are a physician, or Part III if you are an advanced practice registered nurse or physician assistant.
- Use Table B or D for a patient percentage of 50% or greater. Use Table C or E for 30% to 49%.
- Follow the table calculations. Report the current-year credit used on SC1040TC and the total current-year deduction on line v of SC1040.
Paper return: Attach a copy of TC-62 to your tax return.
Electronic return: Include the information from TC-62 when filing electronically.
Keep a copy of the schedule for your records. The supplied text does not give a mailing address.
Common mistakes
- Using the wrong year's schedule. The instructions remind you to use the TC-62 for the correct tax year because credit amounts were phased in over time.
- Completing the wrong section. Use Part II for physicians and Part III for advanced practice registered nurses and physician assistants.
- Claiming the credit despite receiving compensation. The form says to stop if you were compensated for preceptor service.
- Claiming without meeting the minimums. You do not qualify with fewer than two rotations or with a combined Medicaid-insured, Medicare-insured, and self-pay patient percentage below 30%.
- Not keeping a copy. The instructions tell you to keep the completed form for your records.
Questions people ask
How much credit can I earn for 2024?
For physicians, the credit is $1,000 per rotation, up to $4,000, when the combined qualifying patient percentage is at least 50%. At 30% to 49%, it is $750 per rotation, up to $3,000.
For advanced practice registered nurses and physician assistants, the credit is $750 per rotation, up to $3,000, at 50% or greater. At 30% to 49%, it is $500 per rotation, up to $2,000. These are amounts earned, not necessarily amounts usable on the current return.
Can I claim the entire credit in the year I earn it?
No. You can claim 50% in the year the rotation is served and 50% in the following tax year. The total credit claimed is limited to 50% of your tax liability after all other credits are applied. Unused credits may be carried forward for up to 10 years after the year earned.
Can additional rotations qualify for a deduction?
Yes. If you earn the maximum credit, additional rotations that would otherwise qualify may earn a deduction equal to the credit amount for those rotations. The deduction may be earned for up to six additional rotations. You claim 50% in the year earned and 50% in the following tax year.
What counts as a qualifying clinical rotation?
The rotation must meet the instructions' program and institution requirements for a student enrolled in a South Carolina public teaching institution or qualifying independent institution of higher learning. It must include at least 160 hours of instruction under an eligible preceptor in family medicine, internal medicine, pediatrics, obstetrics and gynecology, emergency medicine, psychiatry, or general surgery.