Retired active duty military could eventually pay no South Carolina income tax on their retirement pay if a new bill becomes law. The Giving Back to Our Veterans Act passed the South Carolina House of Representatives on Thursday. The bill would phase out South Carolina income tax on active-duty retirement pay over the next three years. This is one of several bills passed in recent years aimed at making South Carolina more “military friendly.” South Carolina’s Military Base Task Force has created a list of priorities aimed at making the state more military friendly including better military to civilian job placement and easing some restrictions for families who frequently move. The Giving Back to Our Veterans Act was sent to the State Senate on Friday.