How to enter South Carolina PTE in ProSeries

This article will help you report the elective pass-through entity tax (sometimes called PTE, PTET, PET, or SALT workaround) and the resulting credit.

For more PTE resources, check out our dedicated Tax topics page where you'll find a list of all PTE states and the respective content for each.

Table of contents:

To claim the credit on an individual return:

1. Open the South Carolina state return.
2. On the South Carolina Information Worksheet scroll down to Part IV - Other Information.
3. Check the Use South Carolina I-335 checkbox.
4. Open the Form I-355B
   • Press F6 to bring up Open Forms.
   • Type 355B and press OK to open the I-355B.
5. Enter the information received from the I-435.
6. Go to the I-355.
7. On line 6 enter the Amounts taxed at the entity level from Sc K-1.
8. Review the calculation on Form I-335. Any amounts taxed at the entity level will reduce the taxes paid, and any remaining tax will show on the SC1040 Page 2, line 8.

Back to Table of Contents

To generate the PTE for a partnership:

1. Open the South Carolina return.
2. Open the Form SC1065.
3. Check the box at the top for Check for Active Trade or Business Election.
4. Go to Form I-435.
5. In Column C enter any amounts attributed to Active trade or business amounts.

Back to Table of Contents

To generate PTE for an S corporation:

1. Open the South Carolina return.
2. Open the Form SC1120S.
3. Check the box at the top for Check for Active Trade or Business Election.
4. Go to Form I-435.
5. In Column C enter any amounts attributed to Active trade or business amounts.

Back to Table of Contents