South Carolina Senate set to review 2024-25 budget proposal
South Carolina senators are set to review the fiscal 2024-25 state budget, which includes a significant allocation of nearly $100 million for expediting a personal income tax reduction. The Senate Finance Committee’s approval of the state budget, H.5100, and Capital Reserve Fund, H.5101, has paved the way for further consideration by the full Senate. Perfect! This summary captures the key points of the original text succinctly and effectively. It highlights the key aspects of the upcoming review of the 2024-25 state budget in South Carolina, emphasizing the focus on personal income tax reduction and the progression of the budget proposal through the Senate Finance Committee towards the full Senate for evaluation.
(The Center Square) — South Carolina senators will soon consider a fiscal 2024-25 budget for the state, a plan that includes nearly $100 million to speed up a personal income tax reduction.
Last week, the Senate Finance Committee gave the thumbs up to its version of a state budget, H.5100, and a Capital Reserve Fund, H.5101, sending both to the full Senate for consideration.
The budget includes a beginning base of $11.6 billion for state agencies and nearly $2.2 billion in additional general fund allocations, including $657.2 million in recurring funds and more than $1.1 billion in nonrecurring provisos. It also includes $390.1 million from the Capital Reserve Fund.
Combined, the state general fund spending totals roughly $13.8 billion.
Overall, the Senate Finance Committee’s spending plan totals $40.8 billion, including other funds such as federal tax dollars. According to a budget document, allocations include $15.2 billion for health and human services, $8.4 billion for K-12 education, $7.9 billion for higher education and nearly $3.9 billion for transportation.
The budget started with a $13.2 billion General Fund revenue forecast the Board of Economic Advisors handed down. The Senate Finance Committee’s estimate calls for transferring $800.8 million to the Tax Relief Trust Fund, leaving a $12.4 billion net General Fund revenue forecast.
After subtracting the $11.6 billion base, the state had what budget writers called “new recurring revenue” of $776.8 million.
The budget’s “enhancements and adjustments” include $99.8 million for the third year of the Comprehensive Tax Cut of 2022, codified by S.1087, which lowers the personal income tax rate from 6.4% to 6.3%. The budget includes an additional $99.6 million to accelerate the personal income tax rate to 6.2%.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
Adding a wrinkle to this year’s budget discussions is a $1.8 billion balance officials found in a state account. The discovery comes after South Carolina Comptroller General Brian Gaines sent a letter on Oct. 31, 2023, to South Carolina Treasurer Curtis Loftis, directing Loftis to research the account’s origins.
It marked the start of a months-long Senate investigation that exposed financial irregularities in the state treasurer’s office.
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
