1 Indicates Matter Stricken 2 Indicates New Matter 3 4 COMMITTEE AMENDMENT ADOPTED 5 May 9, 2017 6 7 H. 3429 8 9 Introduced by Reps. Clemmons and Norrell 10 11 S. Printed 5/9/17--S. 12 Read the first time February 21, 2017. 13 14 15 16

[3429-1] 1 2 3 4 5 6 7 8 9 A BILL 10 11 TO AMEND SECTION 154130, AS AMENDED, CODE OF 12 LAWS OF SOUTH CAROLINA, 1976, RELATING TO 13 PROPERTY EXEMPT FROM BANKRUPTCY PROCEEDINGS 14 OR ATTACHMENT, LEVY, AND SALE, SO AS TO REVISE 15 EXEMPTIONS IN BANKRUPTCY. 16 Amend Title To Conform 17 18 Be it enacted by the General Assembly of the State of South 19 Carolina: 20 21 SECTION 1. Section 154130(A) of the 1976 Code, as last 22 amended by Act 153 of 2012, is further amended to read: 23 24 “(A) The following real and personal property of a debtor 25 domiciled in this State is exempt from attachment, levy, and sale 26 under any mesne or final process issued by a court or bankruptcy 27 proceeding: 28 (1)(a) The debtor’s aggregate interest, not to exceed fifty 29 thousand dollars in value, in real property or personal property that 30 the debtor or a dependent of the debtor uses as a residence, in a 31 cooperative that owns property that the debtor or a dependent of 32 the debtor uses as a residence, or in a burial plot for the debtor or a 33 dependent of the debtor, except that the aggregate value of 34 multiple homestead exemptions allowable with respect to a single 35 living unit may not exceed one hundred thousand dollars. If there 36 are multiple owners of such a living unit exempt as a homestead, 37 the value of the exemption of each individual owner may not 38 exceed his fractional portion of one hundred thousand dollars. 39 (b) In addition to the aggregate interest as provided in (A)(1) 40 (a), a surviving spouse may also exempt the aggregate interest to 41 which the surviving spouse succeeded by inheritance, testamentary 42 transfer, or non-probate transfer on the death of the decedent

[3429] 2 1 spouse, not to exceed fifty thousand dollars. For purposes of this 2 subsection, a surviving spouse means a spouse married to the 3 decedent at the time of death, who is entitled to the homestead 4 property tax exemption as provided in section 12-37-250, who has 5 not remarried, and who is living in the residence or cooperative 6 that is used as a residence. 7 (2) The debtor’s interest, not to exceed five thousand dollars 8 in value, in one motor vehicle. 9 (3) The debtor’s interest, not to exceed four thousand dollars 10 in aggregate value in household furnishings, household goods, 11 wearing apparel, appliances, books, animals, crops, or musical 12 instruments, that are held primarily for the personal, family, or 13 household use of the debtor or a dependent of the debtor. 14 (4) The debtor’s aggregate interest, not to exceed one 15 thousand dollars in value, in jewelry held primarily for the 16 personal, family, or household use of the debtor or a dependent of 17 the debtor. 18 (5) The debtor’s aggregate interest in cash and other liquid 19 assets to the extent of a value not exceeding five thousand dollars, 20 except that this exemption is available only to an individual who 21 does not claim a homestead exemption. The term ‘liquid assets’ 22 includes deposits, securities, notes, drafts, unpaid earnings not 23 otherwise exempt, accrued vacation pay, refunds, prepayments, 24 and other receivables. 25 (6) The debtor’s aggregate interest, not to exceed one 26 thousand five hundred dollars in value, in any implements, 27 professional books, or tools of the trade of the debtor or the trade 28 of a dependent of the debtor. 29 (7) The debtor’s aggregate interest in any property, not to 30 exceed five thousand dollars in value of an unused exemption 31 amount to which the debtor is entitled pursuant to subsection (A), 32 items (1) through (6). 33 (8) Any unmatured life insurance contract owned by the 34 debtor, other than a credit life insurance contract. 35 (9) The debtor’s aggregate interest, not to exceed in value 36 four thousand dollars less any amount of property of the estate 37 transferred in the manner specified in Section 542(d) of the 38 Bankruptcy Code of 1978, in any accrued dividend or interest 39 under, or loan value of, any unmatured life insurance contract 40 owned by the debtor under which the insured is the debtor or an 41 individual of whom the debtor is a dependent. 42 (10) Professionally prescribed health aids for the debtor or a 43 dependent of the debtor.

[3429] 3 1 (11) The debtor’s right to receive or property that is traceable 2 to: 3 (a) a social security benefit, unemployment compensation, 4 or a local public assistance benefit; 5 (b) a veteran’s benefit; 6 (c) a disability benefit, except as provided in Section 7 154133, or an illness or unemployment benefit; 8 (d) alimony, support, or separate maintenance; or 9 (e) a payment under a stock bonus, pension, profit 10 sharing, annuity, or similar plan or contract on account of illness, 11 disability, death, age, or length of service, unless: 12 (i) the plan or contract was established by or under the 13 auspices of an insider that employed the debtor at the time the 14 debtor’s rights under the plan or contract arose; 15 (ii) the payment is on account of age or length of 16 service; and 17 (iii) the plan or contract does not qualify under Sections 18 401(a), 403(a), 403(b), or 409 of the Internal Revenue Code of 19 1954 (26 U.S.C. 401(a), 403(a), 403(b), or 409). 20 (12) The debtor’s right to receive or property that is traceable 21 to: 22 (a) an award under a crime victim’s reparation law; 23 (b) a payment on account of the bodily injury of the 24 debtor or of the wrongful death or bodily injury of another 25 individual of whom the debtor was or is a dependent; or 26 (c) a payment under a life insurance contract that insured 27 the life of an individual of whom the debtor was a dependent on 28 the date of that individual’s death, to the extent reasonably 29 necessary for the support of the debtor and any dependent of the 30 debtor. 31 (13) The debtor’s right to receive individual retirement 32 accounts as described in Sections 408(a) and 408A of the Internal 33 Revenue Code, individual retirement annuities as described in 34 Section 408(b) of the Internal Revenue Code, and accounts 35 established as part of a trust described in Section 408(c) of the 36 Internal Revenue Code. A claimed exemption may be reduced or 37 eliminated by the amount of a fraudulent conveyance into the 38 individual retirement account or other plan. For purposes of this 39 item, ‘Internal Revenue Code’ has the meaning provided in 40 Section 12640(A). The interest of an individual under a retirement 41 plan shall be exempt from creditor process to the same extent 42 permitted in Section 522(d) under federal bankruptcy law and is an 43 exception to Section 154135. The exemption provided by this

[3429] 4 1 section shall be available whether such individual has an interest in 2 the retirement plan as a participant, beneficiary, contingent 3 annuitant, alternate payee, or otherwise. 4 (14) The debtor’s interest in a pension plan qualified under 5 the Employee Retirement Income Security Act of 1974, as 6 amended. 7 (15) The debtor’s aggregate interest, not to exceed three 8 thousand dollars in value in any rifle, shotgun, pistol, or any 9 combination not to exceed three firearms. 10 11 SECTION 2. This act takes effect upon approval by the 12 Governor. 13 XX

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