When you have a rental property that is located in a state
other than SC that generates a loss (and therefore a reduction in your taxable
income), you must make an adjustment on your SC return to compensate for the
loss.
When you are working through your SC return, look for the
screen titled “Here’s the income that South Carolina handles differently” and
scroll down to the section labeled Misc. Click Start
or Revisit beside the Out-of-State Losses section to enter
your information.
Click on the thumbnail pictures below for a visual
reference.
