Unemployment Insurance taxes are charged on a certain amount of wages earned by each employee, and this is called the taxable wage base.
Per SC Code Ann. § 41-27-380, the taxable wage base increased to $14,000 in January 2015.
It had previously been $12,000. Once you have paid taxes on the first $14,000 of an individual’s wages, you do not owe any additional taxes for the remainder of the calendar year. However, you must continue to report wages earned by each individual. This is referred to as excess wages reported.
The $14,000 taxable wage base takes effect for taxes starting first quarter of 2015.
Remember, fourth quarter 2014 wage and contribution reports are due on January 31. You will use the $12,000 taxable wage base for this period.
If you have questions, please contact DEW’s Employer Tax Services Division at 803.737.3080 or email@example.com.