Home / Knowledge / News / Textiles / South Carolina amends law to revive sick textile units
South Carolina amends law to revive sick textile units
10
Jun '16
America's South Carolina state has amended a law on revitalizing or reviving sick textile units by enhancing financial incentives available in the South Carolina Textiles Communities Revitalization Act.

The “taxpayer-friendly” amendment, cleared on May 23, seeks to remove a 50 percent cap applicable to the income tax credit provided by the Act. The amendment enhances the value of the credit by accelerating the time period for claiming the credit and applies to credits claimed for income tax year 2016, regardless of when the credit was earned.

The South Carolina Textiles Communities Revitalization Act provides financial incentives for rehabilitation, renovation, and redevelopment of abandoned textile mill sites in South Carolina. A textile mill site means a textile mill together with the land and other improvements on it which were used directly for textile manufacturing operations or ancillary uses. A textile mill site is considered to be abandoned when at least 80 per cent of the mill has been closed or is non-operational for at least one year.

The act provides two credit options: a 25 per cent credit against real property taxes, or a 25 per cent state income tax or corporate license fee credit. The credit is determined based on the rehabilitation expenses incurred to redevelop the textile mill site. Rehabilitation expenses generally include the costs incurred for demolition, environmental remediation, site improvements, and the construction of new buildings, it said.

In order to receive the credit, a taxpayer (business entity) must file a notice of intent to rehabilitate. Expenses incurred before submission of the notice (with the local government in the case of the property tax credit and the Department of Revenue in the case of the income tax credit) are not eligible to avail the tax credit. If a taxpayer seeks to receive the income tax credit, the notice of intent to rehabilitate should be filed before building permits are received.

A notice of intent to rehabilitate must include, among other information, an estimate of the rehabilitation expenses. The credit a taxpayer may ultimately receive may be limited or eliminated based on the estimated expenses included in a notice of intent to rehabilitate. Actual expenses which exceed 125 per cent of the estimate are disregarded when determining the amount of the credit. If actual expenses are less than 80 per cent, then no credit is allowed.

A taxpayer who seeks to receive a credit against property taxes receives a credit equal to 25 per cent of the rehabilitation expenses incurred. However, expenses exceeding 125 per cent of the estimate included with the notice of intent to rehabilitate are disregarded and a taxpayer must incur expenses that are at least 80 per cent of the estimate in order to receive any credit.

The credit for property taxes requires approval of local taxing entities, a public hearing, and specific ordinance approval by a municipality or county. The approval ordinance must provide for the credit to be taken as a credit against no more than 75 per cent of the property taxes otherwise due for up to 8 years. There is no otherwise applicable cap on the property tax credit. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

Textiles | On 20th Aug 2017

PetroVietnam, Vinatex discuss reviving PVTEX plant

Discussions are under way between PetroVietnam and textile and...

Courtesy: Mexx

Fashion | On 20th Aug 2017

RNF acquires Mexx fashion brand

RNF, the Dutch sports and fashion holding, has purchased the global...

Textiles | On 20th Aug 2017

Intertextile Shanghai Home Textiles opens on August 23

Intertextile Shanghai Home Textiles, Asia’s leading platform to meet...

Interviews View All

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

August 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
66.7%
No
16.7%
Skip
16.7%

Total Votes: 30

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
43.3%
No
36.7%
Skip
20.0%

Total Votes: 30

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
83.3%
No
6.7%
Skip
10.0%

Total Votes: 30

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
60.0%
No
10.0%
Skip
30.0%

Total Votes: 30


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search