Why am I seeing red message 0004 on a South Carolina individual return?
South Carolina imposes a 6% use tax on tangible goods purchased out-of-state and brought into the state. Local sales tax may also apply. In order to e-file, the taxpayer must either declare out-of-state purchases for computation and payment of the use/sales tax, or affirm that no out-of-state purchases were made.
To declare out-of-state purchases:
- Go to Data entry > States > SC > screen 4 > Use Tax Worksheet – Required section
- Enter the amount for A Total Purchases that were made out-of-state.
- If the taxpayer lived in a county with a local sales tax, select that county from the drop list B.
- The rates in the drop list are the combined state and local sales/use tax rates.
If no out-of-state purchases were made:
- Go to Data entry > States > SC > screen 4 > Use Tax Worksheet – Required section.
- Check the box Certify that no use tax is due, and make sure the Total Purchases field is blank.