SC SCH TC 66: Railroad Expenditures Credit (2024)
South Carolina · South Carolina DOR · Used for tax years 2024
South Carolina Schedule TC-66 calculates the nonrefundable Railroad Expenditures Credit. It reports the credit approved by the South Carolina Department of Commerce, credits carried forward from prior years, the amount available against current-year tax liability, and any unused
Who files this form
Use SC SCH. TC-66 to claim the Railroad Expenditures Credit if you are an eligible taxpayer with qualified railroad reconstruction or replacement expenditures.
You must receive a Tax Credit Certificate from the South Carolina Department of Commerce (SC Commerce) approving the credit. Without that certificate, you do not qualify.
The credit is nonrefundable and may be claimed against South Carolina Individual Income Tax, Corporate Income Tax, Bank Tax, Savings and Loan Tax, or Insurance Premium Tax.
When it's due
The 2024 form lists these credit availability dates, but does not state a tax return filing deadline:
- The credit is available for tax years beginning after December 31, 2023, which includes tax year 2024.
- The credit is repealed on December 31, 2028.
What you'll need
- Verification of qualified expenditures to submit to SC Commerce after the work is completed. SC Commerce provides the reporting form.
- Your Tax Credit Certificate from SC Commerce showing the approved credit for the tax year.
- A completed TC-66.
- The amount of any credit carried forward from prior years.
- Your current-year tax liability from your tax return.
- Your name and SSN or FEIN. Individual taxpayers must provide their Social Security Number.
How to file
- After completing the qualified expenditures, submit verification to SC Commerce using its reporting form. SC Commerce will issue a Tax Credit Certificate within 30 days of receiving the information.
- Enter the approved credit on line 2 and any prior-year carryforward on line 3. Add them on line 4.
- Enter your current-year tax liability on line 5. On line 6, enter the smaller of line 4 or line 5.
- Subtract line 6 from line 4 to calculate the carryforward on line 7.
- Individuals and fiduciaries enter the credit on SC1040TC. Corporations enter it on SC1120TC.
To claim the credit, attach a copy of your Tax Credit Certificate and a completed TC-66 to your tax return. For a paper return, attach TC-66 to your Income Tax return. If filing electronically, include the information from TC-66 when filing your return.
Keep a copy of the form for your tax records. No mailing address is provided in the supplied text.
Common mistakes
- Claiming the credit without approval: If you did not receive a Tax Credit Certificate from SC Commerce, stop. You do not qualify.
- Leaving out required attachments: Attach your Tax Credit Certificate and completed TC-66 to claim the credit.
- Claiming more than your tax liability: Line 6 must be the smaller of your total credit on line 4 or your tax liability on line 5.
- Carrying unused credit forward too long: Unused credit can be carried forward for up to five years.
- Not keeping a copy: Keep the form for your tax records.
Questions people ask
Can I claim the credit without a Tax Credit Certificate?
No. You must receive a Tax Credit Certificate from SC Commerce to qualify.
Can the credit exceed my current-year tax liability?
No. The credit is nonrefundable, and the amount you can claim for a year is limited to your tax liability.
What happens to unused credit?
You can carry unused credit forward for up to five years. Line 7 calculates this amount by subtracting line 6 from line 4.
Where can I find more information about the credit rules?
SC Commerce administers the credit guidelines. The form also directs taxpayers to SC Code Section 12-6-3820, available at dor.sc.gov/policy.