What is South Carolina's per capita income figure used for tax incentive qualification, per SC Information Letter #21-11?

Plain-English summary

South Carolina's per capita personal income figure reported in this letter is $47,502. The Department publishes this number so taxpayers can determine whether jobs tied to a tax incentive meet a required per capita income threshold.

A number of South Carolina income, sales and use, and property tax incentives condition qualification — or the size of the benefit — on whether the jobs associated with the incentive meet a state or county per capita income requirement. Examples the letter gives include the job tax credit (§ 12-6-3360), the sales and use tax exemption for computer equipment at technology-intensive facilities (§ 12-36-2120(65)), and the corporate headquarters credit (§ 12-6-3410).

The Department receives the figures from the South Carolina Revenue and Fiscal Affairs Office and publishes them each year: state figures generally in March and September, county figures generally in November. This letter supersedes all previous documents and oral directives in conflict.

What this means for you

If you are claiming or evaluating a South Carolina incentive that turns on a per capita income test, use the state figure ($47,502 in this letter) or the applicable county figure for the relevant year. Because these numbers are updated periodically, always match the figure to the year and to the specific incentive's requirement, and check the Department's most recent per capita income letter before relying on it.

Common questions

Q: What is the South Carolina per capita income figure in this letter?
A: $47,502 — the most recently available state per capita personal income figure as of the April 2021 letter.

Q: Why does the per capita income figure matter for taxes?
A: Several South Carolina incentives (such as the job tax credit and the corporate headquarters credit) qualify jobs, or set the benefit amount, based on whether they meet a state or county per capita income threshold.

Source

• Landing page: https://dor.sc.gov/advisory-opinion-search
• Original PDF: https://dor.sc.gov/sites/dor/files/policies/IL21-11.pdf

Original ruling text

STATE OF SOUTH CAROLINA

DEPARTMENT OF REVENUE
300A Outlet Pointe Blvd., Columbia, South Carolina 29210
P.O. Box 125, Columbia, South Carolina 29214-0575

SC INFORMATION LETTER #21-11
SUBJECT:

Per Capita Income Figures for State of South Carolina

DATE:

April 9, 2021

SUPERSEDES: All previous documents and any oral directives in conflict herewith.
AUTHORITY:

S.C. Code Ann. Section 12-4-320 (2014)
S.C. Code Ann. Section 1-23-10(4) (2005)
SC Revenue Procedure #09-3

SCOPE:

An Information Letter is a written statement issued to the public to
announce general information useful in complying with the laws
administered by the Department. An Information Letter has no
precedential value.

A number of South Carolina income, sales and use, and property tax incentives require jobs
associated with the incentive to meet certain state or county per capita personal income
requirements to determine qualification for, or the amount of, the particular incentive (e.g.
the job tax credit under Code Section 12-6-3360, the sales and use tax exemption for
computer equipment for technology intensive facilities under Code Section 12-36-2120(65),
and the personal property corporate headquarters credit under Code Section 12-6-3410).
Generally, the state figures are published in March and September. The county per capita
income figures are generally published in November. In order to aid taxpayers in determining
whether the per capita income requirements of an incentive have been met, the Department
publishes both the State and county per capita income amounts each year when it receives
the figures from the South Carolina Revenue and Fiscal Affairs Office. The most recently
available State per capita income figure is:
State of South Carolina

1

$47,502