Local tax to increase one percent in Horry County - starting March 1

Myrtle Beach, SC…Horry County residents will soon pay more for purchases made in the county. Effective March 1, 2009, retailers located in or making sales into Horry County will be responsible for collecting an additional one percent Education Capital Improvements Tax. Making the new total state and local sales and use tax rate in Horry County eight percent.

This change is a result of voter approval in Horry County of the additional one percent local sales and use tax in order to fund certain educations capital improvement projects. The one percent Education Capital Improvements Tax is in addition to the one percent Capital Projects Tax currently imposed in Horry County.

Taxpayers should note that all sales in Horry County that are currently subject to the six percent sales and use tax are also subject to the one percent local taxes, with the exception of sales of items subject to a $300 maximum tax, unprepared food and the sales of tangible personal property delivered after the imposition date of the tax under the terms of a construction contract executed prior to the imposition date--this exemption requires a verified copy of the contract be filed with the South Carolina Department of Revenue within six months after the imposition of the local tax.

If retailers have questions concerning reporting of sales, they can call the Myrtle Beach Service Center at 843-839-2960 or visit the SCDOR website at www.sctax.org and scroll down the page to the "What’s New" section.