Add SC OBBBA non-conformity addition for 2025#7870
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PavelMakarchuk wants to merge 9 commits intomainfrom
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Add SC OBBBA non-conformity addition for 2025#7870PavelMakarchuk wants to merge 9 commits intomainfrom
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SC starts from federal taxable income but does not conform to OBBBA provisions. SC1040 line 2e adds back OBBBA deductions: 1. Standard deduction increase ($1,500 MFJ, $750 SINGLE) 2. Senior deduction ($6,000 per eligible person 65+) 3. Tip/overtime/auto loan interest deductions (if applicable) For the test case (MFJ, age 65, $100K pension): sc_obbba_addback = $7,500 (matching TaxAct) sc_taxable_income = $38,610 (matching TaxAct) Closes #7854 Co-Authored-By: Claude Opus 4.6 (1M context) <noreply@anthropic.com>
Codecov Report✅ All modified and coverable lines are covered by tests. Additional details and impacted files@@ Coverage Diff @@
## main #7870 +/- ##
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+ Coverage 85.36% 100.00% +14.63%
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Files 3 1 -2
Lines 41 21 -20
Branches 2 0 -2
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- Hits 35 21 -14
+ Misses 6 0 -6
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- Variable label: "SC federal non-conformity addition for the One Big Beautiful Bill Act" - Add SC DOR IRC Conformity Update page as primary reference - Fix SC1040 line reference: line 1e (not 2e) - Fix parameter description to explain non-conformity purpose - Update comments with official terminology and amounts Co-Authored-By: Claude Opus 4.6 (1M context) <noreply@anthropic.com>
Co-Authored-By: Claude Opus 4.6 (1M context) <noreply@anthropic.com>
…rence - Fix "SC1040 line 1e" to "SC1040 line e" (actual form label) - Fix #page=3 → #page=5 in 3 files (was pointing to TOC) - Replace CBO secondary source with IRS Rev. Proc. 2024-40 Section 3.01 (authoritative source for pre-OBBBA standard deduction values) Co-Authored-By: Claude Opus 4.6 (1M context) <noreply@anthropic.com>
This PR introduces new functionality (SC OBBBA non-conformity addition), not a bug fix, so the correct changelog category is 'added' (minor bump). Co-Authored-By: Claude Opus 4.7 (1M context) <noreply@anthropic.com>
Previously the parameter stored 2025-only dollar values ($15,000 / $30,000 / $22,500) sourced from IRS Rev. Proc. 2024-40, which didn't clearly tie to a statutory section and wouldn't extend into 2026+. Now the parameter stores the TCJA statutory base values (IRC § 63(c)(7) as enacted by Pub. L. 115-97 § 11021: $12k / $24k / $18k at 2018-01-01) with explicit pre-2025 historical values (matching federal amounts since OBBBA had no effect before then) and uprating via gov.irs.uprating for 2025+. Each stored value is tied to an explicit legal code section. At 2025 the uprated pre-OBBBA values are $15,000 / $30,000 / $22,500, and the delta vs. post-OBBBA matches the $750 / $1,500 / $1,125 addback amounts that TaxAct and Drake Tax publish for SC line 1e. All 306 SC tests pass unchanged. Co-Authored-By: Claude Opus 4.7 (1M context) <noreply@anthropic.com>
The SC OBBBA addback only activates from 2025 onward (sc_obbba_addback is gated on additions.yaml 2025-01-01+), so the 2018–2024 historical values in the parameter are never read. Keep only the 2018-01-01 TCJA statutory base and let uprating produce 2025+ values. Same 2025 output ($750/$1,500/$1,125 delta), fewer redundant entries. Co-Authored-By: Claude Opus 4.7 (1M context) <noreply@anthropic.com>
Replaces the multi-sentence narrative description with the standard PolicyEngine single-sentence pattern: "[State] [verb] [category] [this X] under the [Program] program" Also spells out "One Big Beautiful Bill Act" in the label (PE standard avoids acronyms in user-facing fields). Co-Authored-By: Claude Opus 4.7 (1M context) <noreply@anthropic.com>
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Summary
SC starts from federal taxable income but does not conform to the One Big Beautiful Bill Act (OBBBA) provisions that reduce it. This PR adds the OBBBA non-conformity addition to SC1040 line 2e.
Closes #7854
What SC adds back
additional_senior_deductiontip_income_deductionovertime_income_deductionauto_loan_interest_deductionTest case (from TaxAct)
MFJ, primary age 65, $100K pension, $10K gross SS, 2 dependents:
Note
This pattern will likely need to be replicated for other states that start from federal taxable income but don't conform to OBBBA.
Test plan
All 88 SC tax tests pass.
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