South Carolina requires electronic filing

[dyne]

South Carolina now requires electronic filing of all tax returns. A $50 penalty per return will be imposed for all returns not filed electronically. This is effective for the 2007 tax returns prepared this coming filing season. Authority: SC Information Letter #06-17 and SC Code Section 12-54-250(F). Go to GOOGLE and enter "SC Information Letter #06-17" and to page 106 to read or print the actual law. This new law applies to ALL tax preparers who prepare 100 or more tax returns during the year. The law permits two exceptions. If we MUST file S. C. returns electronically, we might as well file the federal returns electronically also. Notice the $50 penalty Per return.

[WhiteOleander]

I am in Texas. How does SC plan to make me subject to their state law? They have no jurisdiction over me.

[Joe Btfsplk]

When will the Fed force the same thing on us

Sooner or later the IRS is going to force us all to file electronically. In all the years I've been preparing taxes, I believe I've only had one S.C. return. If I had another one, I would be tempted to pay the $ 50 rather than go to the trouble of e-filing it.

[Larmil]

1 is less than 100

Sooner or later the IRS is going to force us all to file electronically. In all the years I've been preparing taxes, I believe I've only had one S.C. return. If I had another one, I would be tempted to pay the $ 50 rather than go to the trouble of e-filing it.

I think the law applies to preparers who file 100 SC returns or more.

[dyne]

SC electronic filing

My guess is that preparers outside of SC will not be penalized for filing a few S. C. returns. The law itself says"...to require a tax return preparer who prepares 100 or more returns for a tax period.." It also does NOT say which type of tax returns are involved. I assume it means ALL types of returns. It does say that if electronic means are not available (?) the preparer must use 2D barcode, IF available.( ?) I advised Drake Software and they are looking into the 2D barcode issue. It also says that a preparer may file for an exemption to filing electronically IF it presents a financial hardship ? If a taxpayer checks a box on his return indicating a preference that his return is to be filed by another means, the preparer may submit that return by another means. I have provided this information because I have become aware that a number of S. C. preparers are NOT aware of this new law.

[DTS]

e-file

In CA, there is a form we file with the state return if the client chooses NOT to e-file. It's the client's choice. Two checkmarks and it's a paper return, no problem with the state.

Dennis