South Carolina's residential solar credit is nonrefundable, meaning that you can only use the credit to the extent that it offsets any tax you owe. The same applies to any carryover of the credit.
If you do have tax that a carryover should offset, then, in the state interview portion of TurboTax Online:
- Open TurboTax Online
- Select Tax Home in the left pane
- Select the dropdown to the right of State Taxes
- Select the pencil
- Select your South Carolina return
- Proceed through any screens until you get to the Take a look at South Carolina credits and taxes page, then select Start or Revisit to the right of Solar Energy, Hydropower, or Geothermal Credit
- Select Yes on the Solar Energy, Small Hydropower System, or Geothermal Machinery and Equipment Credit screen
- Select Solar energy system on the next page, and Yes on the next page
- On the Installation and purchase expenses, carryforward, and number of facilities page, enter your carryover amount in the second box (carryover), then select Continue
- Your allowable Solar Energy, Hydropower, or Geothermal Credit amount will display on the Take a look at South Carolina credits and taxes page
- Select Done with credits and taxes
To see how this plays out on your return in the state tax summary in TurboTax Online:
- Select Tax Home in the left pane
- Select the dropdown for any category in the middle of the page, then select Review/Edit
- If you don't see Tax Tools in the left pane, close any dropdowns in the pane -- for example, next to Federal or State Taxes
- Select the dropdown to the right of Tax Tools
- Select Tools
- In Tools Center, select View Tax Summary
- In the left pane, select SC Tax Summary
If you have no tentative tax, or your tax has been offset by other refundable credits, your carryover amount won't apply this tax year.
If your navigation screens don't reflect these instructions, see the TurboTax Help article Why does the TurboTax navigation menu look different for me?.
@elynn31
