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1350 STATE OF SOUTH CAROLINA
DEPARTMENT OF REVENUE SC SCH.TC-29
(Rev. 3/22/23)
QUALIFIED RETIREMENT PLAN 3409
dor.sc.gov
CONTRIBUTION CREDIT 20
Name SSN
1. Total qualified retirement plan contributions taxed by another state ...................... 1. $
2. Total taxes paid to another state on the contributions reported on line 1 .................. 2. $
3. Life expectancy from Appendix B of Publication 590-B, available at irs.gov, based on age
at the time the South Carolina retirement deduction is first claimed ...................... 3. years
4. Annual credit (divide line 2 by line 3). ............................................... 4. $
5. South Carolina credit limit (multiply line 1 by South Carolina's top marginal tax rate for the
tax year the contributions were made) ............................................... 5 $
6. Total credit limit (enter the lesser of line 2 and line 5) .................................. 6. $
The total amount of credit taken over your lifetime cannot be greater than the amount on line 6.
Instructions
Claim this credit if:
1. You lived in a state that taxed your retirement contributions at the time they were made into a qualified retirement
plan; and
2. You are now a South Carolina resident reporting this retirement income and claiming the retirement deduction.
You are not eligible for this credit if you are a South Carolina resident making contributions to retirement plans in
the current tax year.
The retirement plan must be:
1. A qualified retirement plan as defined in IRC Sections 401, 403, 408, and 457, including military retirement and all
public employee retirement plans of federal, state, and local governments; and
2. A retirement plan you became vested in while residing in the other state.
Calculating the credit:
• The credit amount is based on your life expectancy at the time you first claim the retirement deduction on line p of
your SC1040. Use the life expectancy table found in Appendix B of Publication 590-B, available at irs.gov.
• The total credit you can claim is limited to the amount of contributions taxed by the other state multiplied by South
Carolina's top marginal rate for Individual Income Tax for the tax year in which the contributions were made.
See SC Code Section 12-6-510, available at dor.sc.gov/policy, for more information on South Carolina's top marginal
Individual Income Tax rates.
Example: John Doe moved to South Carolina from State Y. He lived in State Y for four years. State Y taxed his IRA
contributions for each of those years, even though the contributions were exempt on his federal returns.
Mr. Doe's W-2s for four years while a resident of State Y show the following amounts:
Tax IRS State Y State Y State Y
Year Taxed Taxed Difference Tax Rate Tax Paid
1 $45,000 $49,000 $4,000 2% $80
2 $48,000 $53,000 $5,000 2.2% $110
3 $51,000 $57,000 $6,000 2.4% $144
4 $54,000 $61,000 $7,000 2.6% $182
Total: $22,000 $516
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