On Tuesday, March 31, House Bill 3368 was debated on the Senate floor. It was not adopted (Ayes: 16, Nays: 27). As a result, South Carolina has not updated its Internal Revenue Code to conform with the federal code for 2025 filings.
While the bill could technically be reconsidered, that outcome does not appear likely at this time.
For now, the South Carolina Department of Revenue’s information letter issued January 30 remains the best available guidance as you continue filing returns. Any change in the bill’s status or the release of new guidance will be communicated as soon as it becomes available.
Thank you for sharing your experiences—and your clients’ stories—throughout this tax season. The questions, uncertainty, and frustration you raised were central to our conversations with legislators.
Those real‑world examples informed the Association’s advocacy, including work on potential solutions should full conformity have passed. One such solution would have allowed eligible taxpayers who had already filed to receive tax credits without the need to file amended returns. SC.CPA worked quickly with legislative and regulatory partners to develop this approach and advance it as an amendment to H.3368.
During Tuesday’s debate, Senator Wes Climer (R–York) presented the amendment and outlined its benefits. The Senate voted to adopt the amendment. Although the bill itself did not pass, his understanding of the challenges facing practitioners—and his consistent support of the CPA profession—are sincerely appreciated.
Your willingness to speak up and participate in advocacy efforts truly matters. That engagement strengthened our voice and shaped the conversations that took place this session.
Thank you again for your time, your engagement, and your continued membership
This information is current as of March 31, 2026.
