South Carolina State Tax Rulings
Free plain-English summaries of state tax letter rulings and advisory opinions issued in South Carolina, with full citations and the original source on every page.
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What South Carolina tax guidance is listed in the Department's advisory-opinion index through June 30, 2026?
SC Information Letter 26-18 is a research index, not a substantive tax ruling. It catalogs South Carolina Department of Revenue advisory opinions issued from 1987 through June 30, 2026 under administr…
How should taxpayers use South Carolina's advisory-opinion citator, and what legal changes does the citator not track?
Use the citator as a research aid to see which South Carolina advisory opinions the Department identifies as modified, obsolete, superseded, modifying, or superseding through June 30, 2026. Do not tre…
When is South Carolina's 2026 sales tax holiday, and which items are tax-free?
South Carolina's 2026 sales tax holiday runs from 12:01 a.m. Friday, August 7, 2026 through midnight Sunday, August 9, 2026. During that 72-hour window, eligible clothing and accessories, footwear, sc…
What South Carolina tax interest rate applies from July 1 through September 30, 2026, and what rate is paid on eligible refunds?
The listed rate for South Carolina tax underpayments and overpayments from July 1 through September 30, 2026 is 7%. Interest is compounded daily, except that simple interest applies to underpayments o…
Who qualifies for South Carolina's new Pregnancy Resource Tax Credit, and how do donors and charities claim it?
South Carolina's new Pregnancy Resource Tax Credit (Code Section 12-6-3383, added by Act 162 of 2026) is a nonrefundable income tax credit for voluntary cash contributions to certified pregnancy resou…
Do candy and soft drinks stay exempt from South Carolina sales tax even though the state is removing them from SNAP eligibility?
Yes. South Carolina exempts unprepared food (groceries) from sales tax under S.C. Code Ann. § 12-36-2120(75). Effective August 31, 2026, South Carolina's Healthy Food SC demonstration project removes …
What statewide per-capita-income figure should South Carolina taxpayers use for incentive tests after April 14, 2026?
Use $63,179 as the most recently available South Carolina statewide per-capita-income figure published by the Department on April 14, 2026. The figure matters when an income, sales and use, or propert…
What South Carolina tax guidance is listed in the Department's advisory-opinion index through March 31, 2026?
SC Information Letter 26-11 is a research index, not a substantive tax ruling. It catalogs South Carolina Department of Revenue advisory opinions issued from 1987 through March 31, 2026 under administ…
How should taxpayers use South Carolina's advisory-opinion citator, and what legal changes does the citator not track?
Use the citator as a research aid to see which South Carolina advisory opinions the Department identifies as modified, obsolete, superseded, modifying, or superseding through March 31, 2026. Do not tr…
What South Carolina tax interest rate applies from April 1 through June 30, 2026, and is the same rate paid on eligible refunds?
The listed rate for South Carolina tax underpayments and overpayments from April 1 through June 30, 2026 is 6%. Interest is compounded daily, except that simple interest applies to underpayments of de…
If I rent out equipment — an inflatable, a mechanical bull, construction equipment, a gaming trailer — and my staff stays with it, is that a taxable rental or a nontaxable service in South Carolina?
It depends on whether you truly operate the equipment. In South Carolina, renting or leasing tangible personal property is a taxable sale (6%), but if you furnish an OPERATOR who uses skill to control…
What 2024 state and county per-capita-income figures did South Carolina publish for tax-incentive compensation tests?
SC Information Letter 26-8 publishes 2024 per-capita-income figures for South Carolina and all 46 counties for use in income, sales and use, and property-tax incentive tests. County amounts range from…
Does South Carolina follow the 2025 federal One Big Beautiful Bill Act tax changes, or must taxpayers adjust their state return?
South Carolina has not adopted the 2025 federal One Big Beautiful Bill Act (OBBBA), so taxpayers must adjust their South Carolina return for those federal changes. As of this letter, South Carolina co…
When did South Carolina begin enforcing its new mandatory alcohol server training requirement, and how long do new employees have to comply?
The Department delayed enforcement until March 2, 2026. Employees and managers who had been employed for at least 30 days before March 2 had to complete approved training by that date. Anyone employed…
If a South Carolina retailer rounds a cash total because pennies are unavailable, should it recalculate the sales tax using the rounded amount?
No. When pennies are unavailable, a South Carolina retailer may round the final cash amount up or down, but the Department says the sales tax due must still be calculated from the original sales price…
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?
Probably yes. South Carolina charges a 5% admissions tax on any paid charge to enter OR use a 'place of amusement,' defined broadly as any location with an activity that occupies spare time, distracts…
When do I remit South Carolina's 5% admissions tax on advance ticket sales, season tickets, season passes, and gift certificates — in the month I sell them or the month of the event?
Report it in the month of the event, not the month of sale. For advance and season TICKETS to a specific scheduled event, South Carolina's 5% admissions tax is reported and remitted on the admissions-…
How does the South Carolina Department of Revenue decide penalties when a beer, wine, or liquor (ABL) licensee violates the alcohol laws, and when will it suspend or revoke a license?
It's the Department's penalty playbook for alcohol-license violations. SC Revenue Procedure #26-1 updates the guidelines the Department uses to assess administrative penalties for violations of South …
How does South Carolina's new mandatory alcohol server training differ from the training that reduces penalties for alcohol violations?
They are two separate things. Under Bill H. 3430 (effective January 1, 2026), South Carolina now requires every alcohol server and manager who sells alcohol for on-premises consumption to complete a m…
Can I get a South Carolina tax credit for rehabilitating an abandoned building, how big is it, and what buildings and expenses qualify?
Yes — you can claim a credit worth about 25% of your rehab costs. South Carolina's Abandoned Buildings Revitalization Act gives a nonrefundable credit for rehabilitating, renovating, or redeveloping a…
What period did South Carolina's December 2025 advisory-opinion index cover, and where should researchers look for the newer version?
SC Information Letter 26-3 was the Department's subject index of South Carolina advisory opinions issued from 1987 through December 31, 2025. It is no longer current: SC Information Letter 26-11 super…
What period did South Carolina's December 2025 advisory-opinion citator cover, and is that citator still the current version?
SC Information Letter 26-2 was the Department's advisory-opinion citator covering 1987 through December 31, 2025. It is no longer the current citator: SC Information Letter 26-10 superseded it on Apri…
In South Carolina, do people 85 and older really pay less sales tax, and how do they actually get the lower rate at the register?
Yes, but only if they ask for it. South Carolina gives individuals 85 years of age or older a 1-percentage-point cut in the STATE sales and use tax rate (so 5% instead of 6%) on tangible personal prop…
What county per capita income figures should South Carolina taxpayers use for incentive eligibility while the 2025 figures are delayed?
South Carolina's updated county per capita personal income figures -- used to test eligibility for several income, sales and use, and property tax incentives -- are delayed. Because of the federal gov…
When a South Carolina dinner theater charges one ticket price for a meal plus a show, is the ticket taxed as a meal, as an admission, or both?
Both. A dinner attraction show — one ticket price that buys admission to watch a show AND a meal — has two 'true objects,' the meal and the entertainment, and neither is merely incidental to the other…
What can a South Carolina farmer buy without paying sales tax, and how does the SCATE card work?
A lot, but usually only with a SCATE card and only for agricultural BUSINESS use. South Carolina exempts many farm purchases from state (and Department-collected local) sales and use tax across eight …
What South Carolina tax interest rate applies from January 1, 2025 through March 31, 2026, and what rate is paid on eligible refunds?
The listed rate for South Carolina tax underpayments and overpayments from January 1, 2025 through March 31, 2026 is 7%. Interest is compounded daily, except that simple interest applies to underpayme…
What are South Carolina's 2026 county tiers for the job tax credit, tax-moratorium counties, and reduced-investment fee-in-lieu counties?
For 2026, South Carolina divided all 46 counties into four job-tax-credit tiers using equal weight for unemployment and per capita income. Marlboro, Union, and Chesterfield Counties qualify for the co…
Is South Carolina's Angel Investor Credit ending, and what must 2025 investors do to claim it?
South Carolina's Angel Investor Credit is set to expire on December 31, 2025. The credit -- 35% of an individual angel investor's qualified investment in an early-stage, high-growth South Carolina bus…
Can a South Carolina county use its Capital Project Sales Tax money to pay off bonds and reimburse its general fund for a project it started before voters approved the tax?
Yes. The Capital Project Sales Tax Act does not prohibit a county from using Capital Project Sales Tax (CPST) revenue to (1) pay down general-obligation bond debt used to fund an approved project befo…
Where can taxpayers find South Carolina Department of Revenue advisory opinions by tax topic?
Use the subject index attached to SC Information Letter #25-19. It organizes South Carolina Department of Revenue advisory opinions issued from 1987 through September 30, 2025 under administrative, al…
How can taxpayers check whether a South Carolina Department of Revenue advisory opinion has been modified, superseded, or made obsolete?
Use the citator attached to SC Information Letter #25-18. It lists South Carolina Department of Revenue advisory opinions from 1987 through September 30, 2025 that the Department identifies as modifie…
What is South Carolina's most recent state per capita income figure used to test eligibility for tax incentives?
South Carolina's most recently available state per capita personal income figure is $60,776, as published by the Department on October 1, 2025. The Department publishes this figure because a number of…
When one company hauls in and sets up scaffolding for another company's insulation crew, who owes South Carolina sales tax — and is any of it a taxable rental?
It depends which transaction you mean. When the insulation installer (XYZ) uses scaffolding to do its installation job for a customer, that's NOT a taxable rental to the customer — the true object is …
What must South Carolina collegiate sporting venues with beer and wine permits do under Act 42, and how does the Department penalize violations?
Under 2025 Act 42 and new S.C. Code § 61-4-523, every South Carolina collegiate sporting venue that holds a beer and wine permit must -- regardless of seating capacity, and effective May 12, 2025 -- r…
How does South Carolina's New Jobs Credit work for employers creating jobs at a new or expanded facility?
An eligible South Carolina employer can earn the New Jobs Credit by operating a qualifying facility and creating and maintaining the required net increase in qualifying full-time jobs. The traditional…
What South Carolina tax interest rate applies from January 1 through September 30, 2025, and what rate is paid on eligible refunds?
The listed rate for South Carolina tax underpayments and overpayments from January 1 through September 30, 2025 is 7%. Interest is compounded daily, except that simple interest applies to underpayment…
What major South Carolina tax law changes came out of the 2025 legislative session?
This Information Letter is the Department's plain-language summary of the significant tax law changes enacted in South Carolina's 2025 legislative session, organized into income/bank/withholding, prop…
How does South Carolina's Utility License Fee Credit work — who can claim it, for what, and how much?
It's a nonrefundable credit against South Carolina's Utility License Fee (the § 12-20-100 corporate license fee paid by utilities, electric cooperatives, telephone/telegraph, gas, power, water and sim…
How does the South Carolina Department of Revenue audit a county's spending of Capital Project Sales Tax funds, and what must counties do to comply?
The Department of Revenue not only collects a county's Capital Project Sales Tax (CPST) but has a statutory duty to audit whether the county spends the proceeds on the projects approved in the referen…
When does a South Carolina retailer owe sales tax after taking merchandise out of resale inventory for its own use?
A South Carolina retailer generally makes a taxable retail sale when it takes property bought wholesale out of inventory for its own use or consumption. The tax base is usually the item's fair market …
When does South Carolina charge sales tax instead of the Infrastructure Maintenance Fee on boat, farm, and utility trailers?
Boat trailers under 2,500 pounds, farm trailers, and other utility trailers are subject to South Carolina state and local sales or use tax—not the Infrastructure Maintenance Fee—when they are privatel…
How do South Carolina's credits for rehabilitating certified historic and owner-occupied historic structures work?
South Carolina offers two nonrefundable historic-rehabilitation credits. A project that qualifies for the federal § 47 credit generally receives a 10% state credit, with an election for 25% capped at …
What are South Carolina's latest state and county per capita income figures for tax-incentive purposes (per SC IL #24-20)?
SC Information Letter #24-20 (December 3, 2024) publishes South Carolina's most recent per capita personal income figures used to test tax incentives. The state figure is $57,332. The letter also list…
What South Carolina tax interest rate applies for January 1 through March 31, 2025, and what rate is paid on eligible refunds?
The listed South Carolina interest rate for tax underpayments and overpayments drops to 7% for the period January 1 through March 31, 2025 (down from 8% for the prior period ending December 31, 2024).…
As a military servicemember or military spouse connected to South Carolina, which state taxes my income — and can we choose?
You often get to choose. Under the federal Veterans Auto and Education Improvement Act (VAEIA, effective for 2023 and later), a military servicemember and spouse may ELECT, for state income tax, to us…
What are the major South Carolina tax law changes from the 2024 legislative session?
SC Information Letter 24-16 summarizes the major South Carolina tax changes enacted in the 2024 legislative session. Highlights: South Carolina conformed its income tax to the Internal Revenue Code as…
Where can taxpayers find South Carolina Department of Revenue advisory opinions by tax topic through September 30, 2024?
Use the subject index attached to SC Information Letter #24-15. It organizes South Carolina Department of Revenue advisory opinions issued from 1987 through September 30, 2024 under administrative, al…
How can taxpayers check whether a South Carolina Department of Revenue advisory opinion had been modified, superseded, or made obsolete through September 30, 2024?
Use the citator attached to SC Information Letter #24-14. It lists South Carolina Department of Revenue advisory opinions from 1987 through September 30, 2024 that the Department identifies as modifie…
What South Carolina tax interest rate applies through December 31, 2024, and what rate is paid on eligible refunds?
The listed South Carolina interest rate for tax underpayments and overpayments is 8% for the period October 1, 2023 through December 31, 2024. Interest is compounded daily, except that simple interest…
Do South Carolina students pay sales tax when they use their meal-plan 'flex dollars' to buy food on campus?
No — not on food. The Department treats board-plan 'flex dollars' the same as a traditional meal plan: students buy them from the university at the start of the term, and the balance is drawn down as …
What South Carolina tax interest rate applies through September 30, 2024, and what rate is paid on eligible refunds?
The listed South Carolina interest rate for tax underpayments and overpayments is 8% for the period October 1, 2023 through September 30, 2024. Interest is compounded daily, except that simple interes…
Are monthly or annual golf-club membership dues exempt from South Carolina admissions tax?
Yes. Monthly and annual membership dues paid to a golf club on or after May 13, 2024 are exempt from South Carolina's 5% state admissions tax. The exemption does not cover green fees, driving-range fe…
Who qualifies for South Carolina's Tuition Tax Credit, and how is the refundable credit calculated?
A qualifying student at an eligible South Carolina institution may generate a refundable individual income tax credit equal to 50% of qualifying tuition paid during the tax year, capped at $1,500 per …
Where can taxpayers find South Carolina Department of Revenue advisory opinions by tax topic through June 30, 2024?
Use the subject index attached to SC Information Letter #24-9. It organizes South Carolina Department of Revenue advisory opinions issued from 1987 through June 30, 2024 under administrative, alcoholi…
How can taxpayers check whether a South Carolina Department of Revenue advisory opinion had been modified, superseded, or made obsolete through June 30, 2024?
Use the citator attached to SC Information Letter #24-8. It lists South Carolina Department of Revenue advisory opinions from 1987 through June 30, 2024 that the Department identifies as modified, mod…
When was South Carolina's 2024 sales tax holiday, and which items were tax-free?
South Carolina's 2024 sales tax holiday ran from 12:01 a.m. Friday, August 2, 2024 through midnight Sunday, August 4, 2024. During this annual 72-hour holiday under S.C. Code Ann. § 12-36-2120(57), el…
Are the sales and use tax exemption and $750 income tax credit for energy efficient manufactured homes still available in South Carolina?
No. Both incentives for energy efficient manufactured homes ended. The total sales and use tax exemption under S.C. Code § 12-36-2110(B) and the $750 nonrefundable income tax credit under S.C. Code § …
Is a rollover of unused South Carolina 529 (Future Scholar) funds into a Roth IRA taxable for South Carolina income tax?
A qualifying rollover of unused Future Scholar (SCCIP) 529 funds into the beneficiary's Roth IRA is not taxable for South Carolina income tax beginning in tax year 2024. Because South Carolina conform…
What is South Carolina's most recent state per capita income figure for tax-incentive purposes (per SC IL #24-3)?
South Carolina's most recently available state per capita personal income figure, as published in SC Information Letter #24-3 (April 9, 2024), is $56,123. A number of South Carolina income, sales and …
Browse South Carolina rulings by topic
These are official tax letter rulings and advisory opinions issued by South Carolina's revenue authority in response to questions from specific taxpayers about how the tax law applies to their facts. A ruling is binding on the department only for the taxpayer who requested it and cannot be relied on by anyone else, but it is strong evidence of how the state reads the law. Every ruling above has a plain-English question and short answer, plus a link to the full original source.