Attachment A.pdf

This document is an important tax notice attachment from the South Carolina Department of Revenue regarding withholding requirements for nonresident contractors and service providers. The notice outlines Section 12-8-550 of the South Carolina Code of Laws, which requires 2% withholding on payments made to nonresidents conducting business or performing personal services within South Carolina. Exemptions include payments for tangible personal property without accompanying services, nonresidents who are not conducting business in South Carolina, contracts under $10,000 in a calendar year, and nonresidents who register with the S.C. Department of Revenue and submit Form I-312.

The document also specifies that under Section 12-8-540, payments of $1,200 or more annually for rentals or royalties require 7% withholding for nonresident taxpayers who are not corporations and 5% for corporations. The notice provides contact information for the Department of Revenue (1-844-898-8542 and www.dor.sc.gov) and directs users to Form I-312 for nonresident taxpayer registration. This document serves as an informational notice only, with the agency disclaiming authority over tax issues and directing all inquiries to the South Carolina Department of Revenue.