Palmetto State News

South Carolina Governor Henry McMaster's recent State of the State Address has drawn attention for its focus on reforming the state's civil justice system and phasing out state income tax. NFIB State Director Ben Homeyer responded positively to the governor's proposals, emphasizing their potential benefits for small businesses.

"Our members were impressed by Governor McMaster’s commitment to reforming the state’s civil justice system. We agree that our current system is stifling job creation and economic growth," Homeyer stated. He highlighted concerns about frivolous lawsuits, which he claims exacerbate existing economic challenges for small businesses in South Carolina.

"Lawsuit abuse drives up insurance and other operating costs, which only worsens inflation’s impact on South Carolina’s businesses and families," Homeyer noted.

Governor McMaster also addressed his plans to reduce and eventually eliminate the state personal income tax. This move is seen as beneficial for many small businesses in South Carolina, which are organized as pass-through entities where revenue is taxed at the individual rate.

"We were also pleased to hear Governor McMaster affirm his commitment to reducing and eventually eliminating the state personal income tax," Homeyer said. He pointed out that states like Florida and Tennessee have managed strong economies without a state income tax, suggesting similar measures could relieve financial pressure on local businesses in South Carolina.

Homeyer concluded with optimism about collaborating with state leaders: "We look forward to working with Governor McMaster and legislative leaders on this and other important issues that would help South Carolina’s job creators."