South Carolina Tax

For South Carolina residents, you specify the employee's exemptions.

Deltek Modification Date - 12/16/16

Enter the following field information for residents of South Carolina on the Withholding grid on the Payroll tab of the Employees hub:

Field	Description
Status	South Carolina’s tax calculations do not use the Status field.
Exemptions	Enter the total number of withholding allowances claimed by the employee on the South Carolina Employee’s Withholding Exemption Certificate, Form 1602. This figure includes: Personal exemptions for self and spouse not claimed on other Form 1602. Additional exemptions for age and blindness. Exemptions for dependents. If the employee did not submit a Form 1602, use the number of exemptions claimed for federal income tax purposes on Form W-4. If the employee did not submit a Form 1602 or a Form W-4, enter 1 in this field.
Other Exemptions	South Carolina’s tax calculations do not use the Other Exemptions field.

Automatically Calculated Variables

Deltek automatically computes the following variables.

Standard Deduction

The Standard Deduction is a variable deduction based on the number of exemptions entered in the first Exemptions field and the employee’s gross annual wages.

Number of Exemptions	Standard Deduction
0	0
1 or more	10% of the gross wages, up to $2,860

Allowance

The Allowance is based on the number of exemptions in the first Exemptions field. It is determined by multiplying the number of exemptions by $2,370.

How Deltek Calculates Tax

To calculate an employee's South Carolina State tax, Deltek does the following:

1. Multiplies the employee's gross pay per pay period by the number of pay periods in a year to determine annualized gross wages.
2. Subtracts the employee's Standard Deduction, Allowance, and any 401(k) and 125/Cafeteria plan contributions from the employee's annualized gross wages to determine taxable income.
3. Calculates the net income tax by applying Tax Calculation Method 1 to the taxable income.
4. Divides the net income tax by the number of pay periods in a year to determine the amount to be withheld for the pay period.