(A) As used in this section:

1. (1)

   1. (a) "Applicable federal military installation" means a federal military installation or other facility which is closed or realigned under:

      1. (i) The Defense Base Closure and Realignment Act of 1990;
      2. (ii) Title II of the Defense Authorization Amendments and Base Closure and Realignment Act; or
      3. (iii) Section 2687 of Title 10, United States Code.
   2. (b) "Applicable federal facility" means a federal facility that has reduced its permanent employment by three thousand or more jobs after December 31, 1990.
2. (2) "Economic impact region" means a county or municipality, any portion of which is located within twenty-five miles of the boundaries of an applicable federal military installation or applicable federal facility, and any area not otherwise included as part of the economic impact region if the Department of Commerce determines the area to be adversely impacted by the closing or realignment of an applicable federal military installation or applicable federal facility;

3. (3) "Qualified wages" means wages paid by an employer to an employee if:

   1. (a) at least ninety percent of the employee's services for the employer during the taxable year are directly related to the conduct of the employer's trade or business within an applicable federal military installation or economic impact region; or
   2. (b) at least fifty percent of the services of the employee for the employer during the taxable year are performed within the installation or region;

4. (4)

   1. (a) "Qualified wages" include, with respect to an individual, only wages attributable to services rendered during the one year beginning with the day the individual first works for an employer after becoming a terminated employee.
   2. (b) Qualified wages for a taxable year may not exceed ten thousand dollars.
   3. (c) Qualified wages do not include wages paid for services performed as an employee of the federal government or an agency or instrumentality of the federal government.

5. (5)

   1. (a) "Terminated employee" means an individual who is certified by the South Carolina Employment Security Commission, under procedures similar to the procedures described in Internal Revenue Code Section 51(d)(16), as being an individual, whether or not a federal employee:

      1. (i) who was employed in an economic impact region, and
      2. (ii) whose job was terminated by reason of the closing or realignment of the installation.

   2. (b) An individual may not be treated as a terminated employee with respect to a job termination after the later of:

      1. (i) the close of the second calendar year following the calendar year in which the commencement of the job termination occurs; or
      2. (ii) the close of the first year period beginning with the date on which the employee first begins work for an employer after the job termination.