Kelley Tax Service says save your gas receipts

on Wednesday, 17 January 2018. Posted in Local News

Do this if you want to save money on your SC taxes next year. South Carolina taxpayers have the chance to save a little extra money by keeping receipts when they fuel up their vehicles starting in January. That’s when a new tax credit goes into effect to offset the gas tax increase approved by the Legislature.

Lawmakers in May approved raising the gas tax by two cents a year for six years, a total of 12 cents. Taxpayers will get an average $286 tax credits in tax year 2023, officials estimated when the credit was approved. Taxpayers can claim this fuel income tax returns at the beginning of 2019.

Only resident taxpayers can claim this credit. Up to two private passenger motor vehicles can be considered for the credit. Motorcycles are included. Fuel receipts or credit card statements must show the number of gallons purchased. Taxpayers will calculate and claim the credit on form I-385, which will be available in January 2019.