Form Sc Sch.tc-31 - South Carolina Retail Facilities Revitalization Credit (Page 2 of 2) in pdf

When earned by a general partnership, limited partnership, limited liability company or any other entity taxed as a

partnership pursuant to Subchapter K of the Internal Revenue Code, the credit must be passed-through to its partners

and may be allocated among any of its partners. In a manner agreed by the partners, an allocation of the entire credit to

one partner is allowable.

Upon written approval of the Department of Revenue, an owner of an eligible site may transfer, devise, or distribute any

unused credit to a tenant of the eligible site.

The Department of Revenue shall promulgate regulations to verify the site’s eligibility in accordance with the provisions of

this chapter.

This credit is scheduled to expire on July 1, 2016.

DEFINITIONS

"Abandoned" means that at least eighty percent of the eligible site’s facilities have been continuously closed to business

or have been otherwise non-operational for a period of at least one year immediately preceding the time at which the

determination is to be made. The eligible site’s facilities only include the site’s building or structure.

"Eligible site" means a shopping center, mall, or free standing site whose primary use was as a retail sales facility with at

least one tenant or occupant located in a forty thousand square foot or larger building or structure. To qualify as an

eligible site, the shopping center, mall, or freestanding site must be abandoned. During the abandonment, the eligible site

may serve as a wholesale facility, provided the site serves as a wholesale facility for no more than one year.

"Placed in service" means the date upon which the eligible site is suitable for occupancy for the purposes intended.

"Rehabilitation expenses" means the expenses incurred in the rehabilitation of the eligible site, excluding the cost of

acquiring the eligible site or the cost of personal property maintained at the eligible site.

LINE INSTRUCTIONS

Line 1: Enter the amount of rehabilitation expenses made to an eligible site placed in service during the tax year.

Line 2: The SC credit amount is 10% of rehabilitation expenses.

Line 3: The credit is claimed in equal installments over a 8-year period beginning with the tax year that the property is

placed in service. Enter 12.5% of line 2 on line 3.

Line 4: Annual installments that exceed a taxpayer's tax liability can be carried forward for eight consecutive years.

Line 5: The total available credit is the amount of this year's annual installment plus any amount carried forward from

prior years.

Line 6: The allowable credit cannot exceed this year's tax liability.

Line 7: The allowable credit is the lesser of the available credit or this year's tax liability.

Line 8: The amount of available credit you are unable to use is the amount you are allowed to carry forward.

Social Security Privacy Act Disclosure

It is mandatory that you provide your social security number on this tax form if you are an individual taxpayer. 42 U.S.C 405(c)(2)(C)(i)

permits a state to use an individual's social security number as means of identification in administration of any tax. SC Regulation

117-201 mandates that any person required to make a return to the SC Department of Revenue shall provide identifying numbers, as

prescribed, for securing proper identification. Your social security number is used for identification purposes.

The Family Privacy Protection Act

Under the Family Privacy Protection Act, the collection of personal information from citizens by the Department of Revenue is limited

to the information necessary for the Department to fulfill its statutory duties. In most instances, once this information is collected by the

Department, it is protected by law from public disclosure. In those situations where public disclosure is not prohibited, the Family

Privacy Protection Act prevents such information from being used by third parties for commercial solicitation purposes.

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Form Sc Sch.tc-31 - South Carolina Retail Facilities Revitalization Credit Page 2