Form Sc Sch.tc 4 - South Carolina New Jobs Credit (Page 6 of 9) in pdf

Line 6 a.

If Line 5 "Year 1" and Line 5 "Year 2" both indicate job increases, enter the amount from Line 5 "Year 1" in all

columns of Line 6. See Example #1.

If Line 5 "Year 1" shows a job increase and Line 5 "Year 2" shows a decrease, combine the "Year 1" increase

and the "Year 2" decrease and enter the amount in all columns of Line 6. See Example #2. See above

CAUTION if the job increase falls below the minimum required.

Line 7 a.

If line 5 "Year 1", "Year 2" and "Year 3" all show job increases, enter the Line 5 "Year 2" increase in all columns

of Line 7. See Example #3.

If Line 5 "Year 1" and "Year 2" both show job increases and Line 5 "Year 3" shows a decrease, combine the

Line 5 "Year 2" increase and the "Year 3" decrease and enter the amount (positive or negative) in all columns

of Line 7. See Example #4.

If Line 5 "Year 1" shows a job increase, Line 5 "Year 2" shows a decrease and Line 5 "Year 3" shows an

increase, enter zero in all columns of Line 7. See Example #5.

If Line 5 "Year 1" shows a job increase and Line 5 "Year 2" and "Year 3" both show a decrease, enter Line 5

"Year 3" decrease amount as a negative number in all columns of Line 7. See Example #6.

Lines 8 through 10

Continue using directions and examples for lines 6 and 7 generally, with the following added instructions:

Fluctuations (job increases of less than the minimum amount) cannot be included unless maintained during the year

following the increase;

If job decreases occur, the jobs available for the credit cannot be more than the amount by which the current year

number of jobs exceeds the "prior year" (year preceding "Year 1") number of jobs;

A job increase following a job decrease must be maintained for a year to qualify for the credit; and

If job increases of the minimum amount or more occur, a new Form TC-4 can be used. For fluctuations of less than the

minimum amount see the above examples.

Line 11 - The Year 6 increase is not eligible for credit until Year 7. To continue beyond Year 6, use a spreadsheet or

back up each column by one from the previous year.

Line 12 - Include totals of lines 6 through 10.

Line 13 - Use the county designation in effect at the time new jobs are created unless a form SC616 is on file at the

Department of Revenue "locking in" a different designation. The distressed county designation is only for tax years

beginning after June 18, 2002. Claim any additional $1,000 credit, for business or industrial parks or brownfields projects,

on line 13.

Lines 17 through 19 - Pass through of the credit is allowed by a qualifying S-corporation, partnership, or LLC taxed as a

partnership or as a S-corporation. The credit is limited to 50% of the shareholder's, partner's or member's income tax

liability or married couple's income tax liability.

35575018

Form Sc Sch.tc 4 - South Carolina New Jobs Credit Page 6