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March 6, 2025
Question

South Carolina two wage earner

  • March 6, 2025
  • 1 reply
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Regarding South Carolina two wage earner family deduction, my husband and I have income on K-1s.  Turbotax is showing that we are not eligible for the two wage earner deduction.  Is there an income limit for that deduction?  Pls provide more details.

 

Thank you.

    1 reply

    March 6, 2025

    There is a sort of limit on the two wage earner credit - the instructions say to calculate the earned income to each spouse, take the lesser and limit it to $50,000 before multiplying by .007 to calculate the credit.

     

    See the Worksheet on page 33 in the SC Income Tax Booklet for 2024.

     

    When you entered the 1099-K on the federal return, you were asked to characterize the type of income. What did you enter here?

     

    As you are likely aware, the two Wage Earner credit is only for a married couple who both have earned income - see pp 32-33 in the South Carolina Tax Booklet.

     

    So did you enter a type of earned income for the 1099-Ks?

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