Does South Carolina's 5% admissions tax apply to charges to enter or use my venue — a gym, golf course, escape room, bowling alley, movie theater, museum, or similar place of amusement?

Plain-English summary

South Carolina imposes a 5% admissions tax (a "license tax") on paid admissions to a place of amusement. In Revenue Ruling #26-2 the Department updates its long-running guidance on what counts as a place of amusement and gives an extensive — but explicitly not all-inclusive — list of taxable venues and a list of charges it treats as non-taxable.

Two statutory points do most of the work. First, the tax applies to the paid right or privilege to enter into or use a place [§ 12-21-2410]. The South Carolina Supreme Court confirmed the "use" branch in Beach v. Livingston (1966), holding that charges to use a bowling alley were taxable even though there was no separate charge just to walk in. Second, the statute never defines "amusement," so the Department applies its longstanding test: any enclosure or location with an activity that "occupies one's spare time, distracts the mind, relaxes, entertains, or gives pleasure." A place can serve a business or other purpose and still be a place of amusement.

Under that test the ruling lists dozens of taxable venues — amusement parks, bowling alleys, health clubs, golf courses and country clubs, escape rooms, movie theaters, museums, spas, skating rinks, pickleball and tennis courts, shooting ranges, water parks, ziplines, and more. It also lists charges the Department does not tax, such as lessons from an instructor, tournament participant entry fees (apart from the normal green/court fees), touring boat/carriage/helicopter/plane/bus rides, one-time (nonrecurring) club initiation fees, and — under a 2024 statutory change — monthly or annual dues paid to a golf club.

What this means for you

Venue, event, and attraction operators

If you charge the public to get into or use your location — whether it's a traditional entertainment venue or a facility that also has a business purpose — assume the 5% admissions tax applies unless you can point to a specific exemption in § 12-21-2420 or § 12-21-2430. The ruling's list is illustrative, not a limit: newer formats like escape rooms, ax throwing, selfie museums, inflatable waterparks, and paint-splatter events are all called out as taxable. The burden of proving an exemption is on the operator, and while an exemption application isn't legally required, the Department recommends obtaining an exemption certificate (Form L-2068, now filed through MyDORWAY) before the event if you believe you qualify.

Golf, tennis, and health/athletic clubs

Club charges split several ways. Green fees, driving-range fees, court fees, pool fees, and general membership dues are taxable. But since May 13, 2024, monthly or annual dues paid specifically to a golf club are exempt [§ 12-21-2420(17)] — an exemption that does not extend to clubs without golf, nor to green fees, driving-range fees, or optional fees. Separately, a one-time, nonrecurring initiation fee (a true prerequisite to joining, not a substitute for recurring dues) is not taxed, and lessons from an instructor (golf, tennis, dance, self-defense, equestrian, etc.) are not admissions. Note some club charges shift to a different tax: golf-cart and boat/jet-ski rental fees are subject to sales tax rather than admissions tax.

Accountants and tax professionals

The decisive questions are (1) is there a paid charge to enter or use a place, and (2) does the activity fall within the Department's broad "amusement" definition. Because the definition is deliberately not strictly construed, a dual-purpose location (e.g., a museum, botanical garden, or historical attraction) is usually taxable, subject to narrow statutory carve-outs (the State Museum under § 12-21-2420(16); certain historical-site and cruise exemptions that do not reach concerts or entertainment cruises). RR #26-2 supersedes RR #05-14 and pulls together prior authority including RR #89-8, #91-14, #24-4, #25-8, #09-12, and #92-1, PLR #13-4, and TAM #94-1 and #95-2 — check those where a specific charge is close to the line.

Common questions

Q: Is my gym or fitness studio subject to the admissions tax? A: Generally yes — health clubs are listed as places of amusement, so membership and use fees are taxable. RR #26-2 flags SC Revenue Ruling #92-1 for a discussion of when a health club may be exempt, so review that if you think you qualify.

Q: We run an escape room / ax-throwing / laser-tag venue. Are we taxable? A: Yes. All three are on the Department's taxable list. The tax reaches the charge to use the facility, so it applies even if there's no separate "entry" fee.

Q: Are golf-club dues taxable?
A: Monthly or annual dues paid to a golf club are exempt as of May 13, 2024. But green fees, driving-range fees, optional fees (like a hole-in-one prize fee), and dues at a club that doesn't offer golf remain taxable.

Q: What common charges are NOT admissions?
A: Instructor lessons, tournament participant entry fees (beyond the ordinary green/court fees), touring or charter boat/carriage/helicopter/plane/bus rides, and one-time nonrecurring initiation fees. Golf-cart and boat/jet-ski rentals are taxed as sales, not admissions.

Q: Can I rely on this ruling for my business?
A: It's the Department's stated position for the general category of taxpayers it addresses, and it applies to all periods open under the statute — but it's an advisory opinion, not a taxpayer-specific ruling, and it can change if the law or the Department's position changes. Your specific facts and any applicable exemption should be confirmed.

Citations and references

Statutes:

• S.C. Code Ann. § 12-21-2420 (2014) — imposes the 5% admissions license tax; statutory exemptions (incl. (16) State Museum, (17) golf-club dues)
• S.C. Code Ann. § 12-21-2410 (2014) — defines "admission," "place," and "person"
• S.C. Code Ann. § 12-21-2430 (2014) — additional admissions-tax exemptions

Case law:

• Beach v. Livingston, 248 S.C. 135, 149 S.E.2d 328 (1966) — admissions tax reaches paid "use" of a place, not just entry

Related SC advisory opinions (described in prose, not linked): RR #05-14 (superseded by this ruling), RR #89-8, RR #91-14, RR #24-4, RR #25-8, RR #09-12, RR #92-1, PLR #13-4, TAM #94-1, TAM #95-2.

Source

• Landing page: SC Advisory Opinion Search
• Original PDF: RR26-2.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 REVENUE RULING #26-2
SUBJECT:

Places of Amusement
(Admissions Tax)

EFFECTIVE DATE:

Applies to all periods open under the statute.

SUPERSEDES:

SC Revenue Ruling #05-14 and all previous advisory opinions and any oral directives in conflict herewith.

REFERENCES:

S. C. Code Ann. Section 12-21-2420 (2014)
S. C. Code Ann. Section 12-21-2410 (2014)
S. C. Code Ann. Section 12-21-2430 (2014)

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:

The purpose of a Revenue Ruling is to provide guidance to the public. It is an advisory opinion issued to apply principles of tax law to a set of facts or general category of taxpayers. It is the Department’s position until superseded or modified by a change in statute, regulation, court decision, or another Department advisory opinion.

INTRODUCTION:
The State of South Carolina imposes an admissions tax for the privilege of entering and using a place of amusement. The purpose of this advisory opinion is to update the Department’s guidance regarding examples of places of amusements that are subject to this tax. The list of examples is not all-inclusive and is being provided as guidance for taxpayers.

LAW AND DISCUSSION:
Code Section 12-21-2420 imposes the admissions tax and states in part: There must be levied, assessed, collected, and paid upon paid admissions to places of amusement within this State a license tax of five percent. The license tax may be listed separately from the cost of admission on an admission ticket.

Code Section 12-21-2410 defines the terms “admissions,” “place,” and “person” for purposes of the admissions tax and states: (1) The word “admission” means the right or privilege to enter into or use a place or location; (2) The word “place” means any definite enclosure or location; and (3) The word “person” means individual, partnership, corporation, association, or organization of any kind whatsoever. In summary, the admissions tax is imposed upon the paid right or privilege to enter into or use a place of amusement. It is important to note that the statute taxes charges to "use" a place of amusement, as well as charges to “enter into” a place of amusement. See Beach v. Livingston, 248 S.C. 135, 149 S.E.2d 328 (1966) (South Carolina Supreme Court held that the admissions tax applied to paid charges for the "use" of a bowling alley even though there was no charge for a person to “enter” the bowling alley). The statute, however, does not define the term “amusement.” The Department’s longstanding position as to what constitutes an “amusement,” and as such a “place of amusement” for purposes of the admissions tax, is “any enclosure or location consisting of an activity that occupies one’s spare time, distracts the mind, relaxes, entertains, or gives pleasure.” See SC Revenue Rulings
#89-8 and #91-14; SC Private Letter Ruling #13-4. Furthermore, “the term ‘place of amusement’ is not to be strictly construed so as to exclude places which may also have a business or other purpose. If a place distracts the mind, relaxes, entertains, or gives pleasure, then such place is a ‘place of amusement.’” SC Revenue Ruling #89-8.

Examples of Places of Amusements Subject to the Admissions Tax The following list of places of amusements is not all inclusive and is merely provided as guidance. Charges to enter or use these places, events, facilities and rides and all other amusement facilities are subject to the tax unless specifically exempted under Code Section 12-21-2420 or Code Section 12-21-2430:
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Air shows
Amusement parks
Amusement rides, shows and exhibits
Animal shows
ATV, UTV, and dirt bike riding parks
Aquariums
Aquatic shows
Archery ranges
Art and craft exhibitions (SC Revenue Ruling #89-8)
Automobile shows

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Ax throwing
Balloon shows
Banana boat rides
Baseball batting cages (SC Revenue Ruling #91-14)
Basketball courts
Boat cruises (See, however, Code Section 12-21-2420(13). Charges for cruises with entertainment, such as ones with bands, audience role participation (i.e., patrons attempt to solve a murder mystery), or plays, do not come within the exemption in Code Section 12-21-2420(13).) Botanical gardens Bowling alleys Bungee jumping Carnival, circus and fair entrance fees, rides, shows, exhibits, games, and other amusement charges College, professional and other sporting events (football, basketball, baseball, or hockey games; golf tournaments; tennis tournaments; rodeos; car races; polo matches; horse races; wrestling matches; boxing matches; etc.) Comedy clubs Dance halls Dance shows Dinner theaters and attractions (See SC Revenue Ruling #25-8) Dog shows Escape rooms Fishing piers and ponds Flight and similar simulators Flyboarding Food and/or drink festivals Go cart or car racing tracks to include “pit passes” 1 Golf courses and country clubs 2 Golf driving ranges Handball courts Health clubs (See, however, SC Revenue Ruling 92-1 for a discussion of exempt health clubs.) Historical attractions (See, however, Code Section 12-21-2420(9). Note: Charges for entertainment events, such as rock concerts, on the grounds of a location on the National Register of Historical Places do not come within the exemption in Code Section 12-212420(9))

“Pit passes” may be exempt under Code Section 12-21-2420(15).

As of May 13, 2024, any monthly or annual dues paid to a golf club are exempt from admissions tax. This exemption does not apply to monthly or annual memberships paid to a club that does not offer golf. Nor does this exemption apply to green fees, driving range fees, or optional fees, such as an optional fee to win cash prizes for making a hole-in-one in a specific hole. Code Section 1221-2420(17), S.C. Rev. Rul. #24-4 and S.C. Technical Advice Memo. #94-1.

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Holiday celebrations and events (Halloween haunted houses, New Year Eve parties, firework shows, crop circles and mazes, etc.) Historical dramas Home tours (new homes, historical homes, Christmas tours, etc.) Horse shows Inflatable waterparks or obstacle courses Indoor playgrounds Laser tag Mazes, including crop mazes Miniature golf or putt-putt courses Miniature or slot car tracks “Monster” truck shows Motorcycle expositions, races and shows Movie theaters Museums 3 Music concerts Nightclubs, lounges, or bars with a cover charge Pageants Paint ball or laser gun facilities Paint splatter events Para sail rides Parade of Homes tours Pickleball courts Planetariums Plays Promotional events such as boat shows, home shows, antique shows, gun and knife shows, and wildlife expositions and shows (See SC Revenue Ruling #89-8) Race car or similar tracks (reality racing, ATV tracks, etc.) Racquetball courts Rock climbing facilities Rodeos Ropes courses Selfie museums Serpentariums Skating rinks or skateboard parks Shooting ranges (target, skeet, trap sporting clays, etc.) Smash events Spas Spectator events (football, basketball, baseball, or hockey games; golf tournaments; tennis tournaments; rodeos; car races; polo matches; horse races; wrestling matches; boxing matches; etc.)

Charges for admission into the State Museum are exempt from admissions taxes. S.C. Code Ann.
§ 12-21-2420(16).

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Sport clubs
Squash courts
Stage plays or performances
Swimming pools and clubs (pool fees, membership dues—unless the membership dues are monthly to annual dues paid to a golf club (see footnote 2)) Target, skeet, trap or sporting clay ranges Theaters Tractor pulls Tennis or racquetball courts (court fees, membership dues—unless the membership dues are monthly or annual dues paid to a golf club (see footnote 2)) Video game lounges Water parks Water-skiing shows Water slides Wildlife preserves Ziplines Zoos

It should be noted that it has been the Department’s longstanding position that the following charges are not subject to admissions tax:
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Fees for golf, tennis, baseball, softball, dancing, or self-defense lessons from an instructor Tournament participant entry fees (exclusive of the normal and customary charges to utilize the place of amusement, i.e. green or court fees) (SC Revenue Ruling #09-12) Fees for boat, carriage, helicopter, plane or bus rides for touring, charter, fishing, or excursion (SC Technical Advice Memorandum #95-2) Golf cart fees (subject to sales tax as rentals) “Trail fees” (fees charged by golf courses for someone using their own golf cart) Boat or jet ski rental fees (subject to sales tax) Fees for using tanning beds Initiation fees for country clubs, golf clubs, tennis clubs and similar facilities 4 provided the initiation fee is a one-time (nonrecurring) charge paid as a prerequisite to joining the club Fees for equestrian lessons are not fees to enter or use a place of amusement and are not subject to the admissions tax

Note: Organizations, event organizers, and others operating places of amusement should review Code Sections 12-21-2420 and 12-21-2430 to determine if their organization, location, or event falls within one of the statutory exemptions. The burden of proof that an organization, location, or event falls within an exemption rests with the operator of the place of amusement.

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An initiation fee should not allow a person to utilize the facilities of the club without payment of a recurring charge (membership dues). In other words, a one-time charge that is a substitute for recurring membership dues is not an initiation fee.

An application for exemption is not required by law; however, it is recommended that an organization, event organizer, or others operating places of amusement apply for and obtain an exemption certificate prior to the event if they believe their organization, location, or event falls within one of the statutory exemptions. The instructions on how to apply an exemption certificate are in Form L-2068 (Application for Admissions Tax Exemption). The Department no longer accepts paper copies of the Application for Admissions Tax Exemption (Form L-2068). All Admissions Tax exemption requests must be submitted through the Department’s free online tax portal, MyDORWAY, at MyDORWAY.dor.sc.gov. If you do not already manage your Admissions Tax account on MyDORWAY, you must sign up for a MyDORWAY account to request Admissions Tax exemptions. SOUTH CAROLINA DEPARTMENT OF REVENUE

s/W. Hartley Powell
W. Hartley Powell, Director
January 20
,2026
Columbia, South Carolina