Local Sales and Use Tax
Additional counties may approve the local tax at that time through local elections. If voters approve the tax, the tax will typically become effective in that county on May 1 following the November election date. Items limited to the $300 maximum sales and use tax are not subject to the local tax.
The measure of the tax must be recorded on the ST-389 form. Counties with more than one local tax must report it in the designated section(s) on the ST-389.
Local Sales & Use Tax by Type
Voters may approve through a county referendum the following taxes:
Local Option
The local option sales and use tax is authorized under Code Section 4-10-10 et. seq. This tax is a general sales and use tax on all sales at retail (with a few exceptions) taxable under the state sales and use tax. This tax is imposed to reduce the property tax burden on persons in the counties that impose this type of local tax and is collected by the Department of Revenue on behalf of these counties.
| Effective Date |
Counties |
| July 1, 1991 |
Charleston, Colleton, Hampton, Jasper, Marion and McCormick |
| May 1, 1992 |
Abbeville, Allendale, Bamberg, Edgefield, Lancaster, Marlboro and Saluda |
| May 1, 1994 |
Chester and Florence |
| May 1, 199 |
Pickens |
| May 1, 1996 |
Dillon, Lee and Sumter |
| May 1, 1997 |
Berkeley, Chesterfield, Clarendon, Darlington, Kershaw and Williamsburg |
| May 1, 1999 |
Barnwell, Laurens |
| May 1, 2005 |
Richland and Calhoun |
| May 1, 2006 |
Fairfield |
| May 1, 2009 |
Cherokee |
Transportation
The local transportation projects sales and use tax is authorized under Code Section 4-37-30 et. seq. This tax is a general sales and use tax on all sales at retail (with a few exceptions) taxable under the state sales and use tax. This tax is imposed specifically to defray the debt service on bonds issued for various transportation projects in the counties that impose this type of local tax and are collected by the Department of Revenue on behalf of these counties.
This local sales and use tax, not to exceed 1%, is used for transportation needs such as roads and bridges. This tax may be imposed in addition to the local option sales and use tax. (Effective: June 13, 1997) The authorized counties with a local transportation tax imposed are:
| Effective Date |
Counties |
| May 1, 2005 |
Charleston (½%), Dorchester |
| May 1, 2009 |
Berkeley |
| May 1, 2013 |
Richland |
Capital Projects
The local capital projects sales and use tax is authorized under Code Section 4-10-300 et. seq. This tax is a general sales and use tax on all sales at retail (with a few exceptions) taxable under the state sales and use tax provisions. This tax is imposed specifically to defray the debt service on bonds issued for various capital projects in the counties that impose this type of local tax and is collected by the Department of Revenue on behalf of these counties.
This 1% local sales and use tax is used to fund specific capital projects such as roads, bridges, public facilities, recreation facilities, and water and sewer projects. This tax may be imposed in addition to all other sales and use taxes.
When the capital projects sales and use tax is imposed or re-imposed pursuant to a referendum on or after June 3, 2009, unprepared food items eligible for purchase with United States Department of Agriculture food coupons are exempt from the capital projects tax.
Note: Sales of unprepared foods in a county that imposed the capital projects tax pursuant to referendum before June 3, 2009 are subject to this local tax. The Department of Revenue will collect this tax.
The following counties impose the special local sales and use tax:
| Effective Date |
Counties |
| May 1, 1998 |
York |
| May 1, 1999 |
Newberry, Orangeburg |
| May 1, 2001 |
Aiken |
| May 1, 2007 |
Florence, Horry |
| May 1, 2009 |
Allendale, Chester, Lancaster, Sumter |
| May 1, 2013 |
Bamberg, Hampton, Lee, Marion |
School District/Education Capital Improvement
The General Assembly has authorized certain school districts to impose a sales and use tax within the county. These taxes are generally imposed to pay debt service on general obligation bonds and/or the cost of capital improvements.
This 1% local sales and use tax is used for schools. The authorized counties with a local school district/ education capital improvement tax imposed are:
| Effective Date |
Counties |
| July 1, 1996 |
Cherokee* |
| September 1, 2000 |
Chesterfield |
| December 1, 2002 |
Jasper |
| February 1, 2004 |
Darlington |
| June 1, 2004 |
Clarendon |
| March 1, 2005 |
Lexington |
| October 1, 2006 |
Lee |
| October 1, 2008 |
Dillon |
| March 1, 2009 |
Horry |
| March 1, 2011 |
Charleston |
| February 1, 2013 |
Marlboro |
*(See SC Revenue Ruling #09-9 for more information on the Cherokee County local tax.)
Food is exempt from the school district tax but not the capital projects tax, local option tax, and transportation tax (unless the capital projects tax is imposed pursuant to a referendum approved on or after June 3, 2009),
Tourism Development
The local tourism development sales and use tax is authorized under Code Section 4-10-910 et.seq. The local tourism and development tax is a general sales and use tax on all sales at retail (with a few exceptions) taxable under the state sales and use tax and may only be imposed by a municipality located in a county where revenue from the state accommodations tax is at least fourteen million dollars in a fiscal year. The tax is imposed specifically for tourism advertisement and promotion directed at non-South Carolina residents; however, in the third and subsequent years of this tax a portion of the tax may be used for certain property tax rollbacks. The tax collected by the Department of Revenue on behalf of these municipalities.
The authorized municipality with a 1% tourism development tax imposed consists of:
| Effective Date |
Municipality |
| August 1, 2009 |
Myrtle Beach |
|
