If you don’t file your returns or pay the taxes you owe on time, the SCDOR may add penalties and interest to what you owe. In some situations, you may be able to request that the SCDOR waive the penalties. The SCDOR will not waive any interest that you may owe.
About penalty waivers
- Penalty waivers are not guaranteed and are determined on a case-by-case basis as outlined in SC Revenue Procedure #08-6.
- You must submit supporting documentation detailing the reasons for your request when you submit your penalty waiver request.
- You can only request a penalty waiver for tax debt owed to the SCDOR, not Setoff or GEAR debt that the SCDOR is collecting on behalf of another agency.
- If your debt is already in the collections process, we will only approve your request if you’re prepared to pay your full balance within 30 days. If you do not pay your full balance within 30 days of the SCDOR approving your penalty waiver request, the request will be denied.