repeal income modifications for the bank franchise tax pertaining to bad debts.

SB 18 repeals a requirement that banks add back to their South Dakota franchise tax base any bad debt deductions they claimed on federal tax returns but later determined were not actually worthless. This change eliminates the need for banks to adjust their state taxable income for "recovered" bad debts, potentially lowering their tax burden. The bill directly affects banks operating in South Dakota subject to the state's franchise tax on banking activities. It removes specific provisions in the tax code that previously mandated this adjustment for bad debt accounting.