What local sales and use taxes and Catawba tribal tax rates does South Carolina collect effective May 1, 2019 (per SC IL #19-9)?

Plain-English summary

This Information Letter is a set of three reference charts, effective May 1, 2019, showing the local sales and use taxes the South Carolina Department of Revenue collects and which exemptions apply to each. The charts cover general local taxes collected on behalf of counties, municipalities, and school districts (Chart 1), the Catawba Indian tribal tax (Chart 2), and the municipal local tourism-development sales tax (Chart 3). They do not cover local accommodations taxes or prepared-meals (hospitality) taxes, which counties and municipalities collect directly.

The May 1, 2019 edition reflects several county changes: Georgetown County's Capital Projects Tax expires April 30, 2019; Beaufort (Transportation), Calhoun (Capital Projects), and Saluda (Capital Projects) begin imposing a local tax on May 1, 2019; and Aiken County's expiring Capital Projects Tax is re-imposed May 1, 2019.

For the Catawba Indian Reservation, which spans Lancaster and York Counties, the tribal sales and use tax rates are:

• Lancaster County portion: 8% general tangible personal property, 9% accommodations, 1% unprepared food.
• York County portion: 7% general tangible personal property, 8% accommodations, 0% unprepared food.

For maximum-tax items (such as vehicles), the tribal rate is 5% in each county, capped at the § 12-36-2110 maximum tax. The tribal sales tax is collected by the Department; the tribal use tax is collected by the Catawba Indian Tribe.

What this means for you

If you sell into a South Carolina county

Use the chart to find the local taxes in effect on May 1, 2019 for that county and which exemptions (state exemptions, maximum-tax items, casual excise items, food-stamp purchases, certain food sales, and the contractor "grandfather" clause) apply. Watch the counties that changed on May 1, 2019 (Georgetown, Beaufort, Calhoun, Saluda, Aiken).

If you sell or deliver on the Catawba Reservation

Whether the state tax or the Catawba tribal tax applies depends on the delivery location; apply the Lancaster-side (8/9/1) or York-side (7/8/0) rates accordingly, and note that maximum-tax items are taxed at 5%.

Common questions

Q: When is this chart effective, and what changed?
A: Effective May 1, 2019. Georgetown's Capital Projects Tax expired April 30; Beaufort, Calhoun, and Saluda began new local taxes May 1; and Aiken re-imposed its Capital Projects Tax May 1.

Q: What are the Catawba tribal tax rates?
A: In the Lancaster County portion of the reservation, 8% (general TPP) / 9% (accommodations) / 1% (unprepared food); in the York County portion, 7% / 8% / 0%. Maximum-tax items are 5% in each county.

Q: Do these charts cover accommodations and prepared-meals taxes?
A: No. They address the general local sales and use taxes the Department collects, not the local accommodations or prepared-meals (hospitality) taxes that counties and municipalities collect directly.

Subject

Local Sales and Use Tax Charts, Catawba Tribal Sales and Use Tax Chart and Exemption Information

Source

• Landing page: https://dor.sc.gov/advisory-opinion-search
• Original PDF: https://dor.sc.gov/sites/dor/files/policies/IL19-9.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 #19-9
SUBJECT:

Local Sales and Use Tax Charts, Catawba Tribal Sales and Use Tax
Chart and Exemption Information
(Sales and Use Tax)

EFFECTIVE DATE:

May 1, 2019

SUPERSEDES:

SC Information Letter #19-5

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.

The South Carolina Code of Laws allows the imposition of various types of local sales and use
taxes. Citizens of a county, depending upon the needs within the county, may impose one or
several local sales and use taxes. Municipal councils, or the citizens of a municipality, may
impose a sales and use tax 1 for tourism development if the municipality is located in a county
from which revenues from the state accommodations tax are at least $14 million in a fiscal year.
While most of these local sales and use taxes provide the same exemptions for certain sales and
purchases, there are some differences. Attached are three charts that provide guidance concerning
the various types of local sales and use taxes collected by the Department and the types of
exemptions allowed under each tax. These charts only address the general local sales and use
taxes collected by the Department on behalf of the counties, municipalities, school districts, and
the Catawba Indian tribal government. They do not address the local taxes imposed on sales of
accommodations 2 or on sales of prepared meals 3 that are collected directly by the counties or
municipalities.

1

This municipal sales and use tax is actually a fee (Local Option Tourism Development Fee) imposed under Article
9 of Chapter 10, Title 4. For purposes of simplicity, this fee is referred to as a sales and use tax in this information
letter.
2
Code Sections 6-1-500 through 6-1-570 provide for local accommodations taxes, and Code Sections 6-1-610
through 6-1-660 provide for beach preservation fees.
3
Code Sections 6-1-700 through 6-1-770 provide for a local hospitality tax.

1

Note: This information letter is effective May 1, 2019. It is being issued to reflect certain
changes taking effect on April 30, 2019 and May 1, 2019. Georgetown County’s Capital
Projects Tax expires on April 30, 2019, and the following counties will begin imposing a
local sales and use tax effective May 1, 2019: Beaufort (Transportation), Calhoun (Capital
Projects), and Saluda (Capital Projects). In addition, Aiken County’s Capital Projects Tax,
which expires on April 30, 2019, will be re-imposed beginning May 1, 2019.
As of the date of this information letter, certain other county and municipal local sales and
use taxes will be re-imposed over the next few years. 4 Additional information letters will be
issued to reflect these changes.
CHART 1: COUNTY SALES AND USE TAXES
(See “Types of Exemptions” section below for a brief description of each exemption listed.)
SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Abbeville

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Aiken

Capital Projects
5/1/19

Yes

Yes

No

Yes

Yes

Yes

Ed. Capital Imp.
3/1/15

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Anderson

Ed. Capital Imp.
3/1/15

Yes

Yes

No

Yes

Yes

Yes

Bamberg

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/13

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/99

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Transportation
5/1/19

Yes

Yes

No

Yes

No

Yes

Allendale

Barnwell

Beaufort

4

Myrtle Beach’s Tourism Development Tax, which expires on July 31, 2019, will be re-imposed beginning August
1, 2019; and Orangeburg County’s Capital Projects Tax, which expires on April 30, 2020, will be re-imposed
beginning May 1, 2020. In addition, the Capital Projects Taxes in Bamberg County, Lee County, and Marion
County, which are set to expire on April 30, 2021, will be re-imposed beginning May 1, 2021.

2

SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF LOCAL
SALES AND
USE TAX AND
EFFECTIVE
DATE

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTIO
N FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD
SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Berkeley

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

Transportation
5/1/16

Yes

Yes

No

Yes

No

Yes

Local Option
5/1/05

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/19

Yes

Yes

No

Yes

Yes

Yes

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

Transportation
5/1/05

Yes

Yes

No

Yes

No

Yes

Ed. Capital Imp.
1/1/17

Yes

Yes

No

Yes

Yes

Yes

Transportation
5/1/17

Yes

Yes

No

Yes

No

Yes

Local Option
5/1/09

Yes

Yes

Yes

Yes

No

Yes

Ed. Capital Imp.
3/1/15

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/94

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
10/1/15

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

School District
9/1/00

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

School District
6/1/04

Yes

Yes

No

Yes

No - effective
7/1/05

Yes

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/15

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

Ed. Capital Imp.
3/1/17

Yes

Yes

No

Yes

Yes

Yes

Calhoun

Charleston

Cherokee

Chester

Chesterfield

Clarendon

Colleton

Darlington

3

SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
“GRANDFATHER
CLAUSE” EXEMPTION
FOR
FOR CERTAIN
CERTAIN
PURCHASES BY
FOOD SALES
CONTRACTORS

Dillon

Local Option
5/1/96

Yes

Yes

Yes

Yes

No

Yes

School District
10/1/08

Yes

Yes

No

Yes

Yes

Yes

Dorchester

Transportation
5/1/05

Yes

Yes

No

Yes

No

Yes

Edgefield

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Fairfield

Local Option
5/1/06

Yes

Yes

Yes

Yes

No

Yes

Florence

Local Option
5/1/94

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/14

Yes

Yes

No

Yes

Yes

Yes

Georgetown

No Local Sales and Use Tax is Imposed in this County

Greenville

No Local Sales and Use Tax is Imposed in this County

Greenwood

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Hampton

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/13

Yes

Yes

No

Yes

Yes

Yes

Ed. Capital Imp.
3/1/09

Yes

Yes

No

Yes

Yes

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

School District
12/1/02

Yes

Yes

No

Yes

Yes

Yes

Transportation
5/1/17

Yes

Yes

No

Yes

No

Yes

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

Ed. Capital Imp.
3/1/17

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/16

Yes

Yes

No

Yes

Yes

Yes

Horry

Jasper

Kershaw

Lancaster

4

SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Laurens

Local Option
5/1/99

Yes

Yes

Yes

Yes

No

Yes

Lee

Local Option
5/1/96

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/13

Yes

Yes

No

Yes

Yes

Yes

Lexington

School District
3/1/19

Yes

Yes

No

Yes

Yes

Yes

Marion

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/13

Yes

Yes

No

Yes

Yes

Yes

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

School District
2/1/13

Yes

Yes

No

Yes

Yes

Yes

Local Option
7/1/91

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Marlboro

McCormick

Newberry

No Local Sales and Use Tax is Imposed in this County

Oconee
Orangeburg

Capital Projects
4/1/13

Yes

Yes

No

Yes

Yes

Yes

Pickens

Local Option
5/1/95

Yes

Yes

Yes

Yes

No

Yes

Richland

Local Option
5/1/05

Yes

Yes

Yes

Yes

No

Yes

Transportation
5/1/13

Yes

Yes

No

Yes

No

Yes

Local Option
5/1/92

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/19

Yes

Yes

No

Yes

Yes

Yes

Capital Projects
5/1/18

Yes

Yes

No

Yes

Yes

Yes

Saluda

Spartanburg

5

SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Sumter

Local Option
5/1/96

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/16

Yes

Yes

No

Yes

Yes

Yes

Union

Local Option
5/1/17

Yes

Yes

Yes

Yes

No

Yes

Williamsburg

Local Option
5/1/97

Yes

Yes

Yes

Yes

No

Yes

Capital Projects
5/1/17

Yes

Yes

No

Yes

Yes

Yes

Capital Projects
5/1/18

Yes

Yes

No

Yes

Yes

Yes

York

CHART 2: CATAWBA INDIAN RESERVATION TRIBAL TAX
(See “Types of Exemptions” section below for a brief description of each exemption listed.)
SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
COUNTY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

Catawba
Indian
Reservation

Tribal Tax
(See Notes #1
and #2)

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Yes

See Note #2

See Note #2

Yes

See Note #2

See Note #2

CHART 3: MUNICIPAL SALES AND USE TAXES – LOCAL TOURISM DEVELOPMENT
SALES AND USE TAX
(See “Types of Exemptions” section below for a brief description of each exemption listed.)
SALES AND PURCHASES EXEMPT FROM LOCAL SALES AND USE TAXES
MUNICIPALITY

TYPE OF
LOCAL SALES
AND
USE TAX AND
EFFECTIVE
DATE

Myrtle Beach

Tourism
Development
8/1/09

12-36-2120
12-36-2130
STATE
EXEMPTIONS

12-36-2110
EXEMPTION
FOR
MAXIMUM
TAX ITEMS

12-36-1710
EXEMPTION
FOR
CASUAL
EXCISE
ITEMS

EXEMPTION
FOR FOOD
STAMP
PURCHASES

EXEMPTION
FOR
CERTAIN
FOOD SALES

“GRANDFATHER
CLAUSE”
EXEMPTION FOR
CERTAIN
PURCHASES BY
CONTRACTORS

Yes

Yes

No

Yes

Yes

Yes

6

TYPES OF LOCAL SALES AND USE 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.
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. 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.
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 is collected by the Department of Revenue on behalf of these counties.
Personal Property Tax Relief: The personal property tax relief sales and use tax is authorized
under Code Section 4-10-510 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 in lieu of
the personal property tax imposed on private passenger motor vehicles, motorcycles, general
aviation aircraft, boats, and boat motors. The tax may not exceed the lesser of 2% or the amount
necessary to replace the property tax on vehicles, motorcycles, general aviation aircraft, boats,
and boat motors in the most recently completed fiscal year. As of the date of this information
letter, this tax is not being imposed.
Local Property Tax Credits: The local option sales and use tax for local property tax credits is
authorized under Code Section 4-10-720 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
provide a credit against property tax imposed by a political subdivision for all classes of property
subject to the property tax and is collected by the Department of Revenue on behalf of these
counties. As of the date of this information letter, this tax is not being imposed.
Education Capital Improvement Sales and Use Tax: The school district or school districts
within a county may impose a 1% sales and use tax within the county for specific education
capital improvements for the school district. The tax is authorized under Code Section 4-10-410
et seq. and must be approved by a referendum open to all qualified electors residing in the
county. Pursuant to a memorandum of agreement, a portion of the revenue may be shared with
the area commission (governing body of a technical college) or higher education board of
trustees (governing body of a public institution of higher learning) or both, for specific education
capital improvements on the campus of the recipient located in the county listed in the
referendum.

7

The General Assembly has established several criteria that make a county or school district
eligible to impose this tax. The county or school district must meet only one of these criteria,
established in Code Section 4-10-470, in order for the tax to be imposed within the county.
Depending on the criteria met, this tax may be imposed for up to 15 years.
School District Taxes: 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. These taxes are imposed
countywide, whether imposed by the county or one or more school districts.
As of the date of this information letter, these school district taxes are being imposed at a rate of
1%:
County
Act Authorizing Tax
Chesterfield
Clarendon
Dillon
Jasper
Lexington
Marlboro

Act No. 441 of 2000
Act No. 355 of 2004 and Act No. 195 of 2005
Act No. 137 of 2007
Act No. 146 of 2001
Act No. 378 of 2004, Act No. 88 of 2011, and
Act No. 278 of 2018
Act No. 204 of 2005

Catawba Indian Tribal Tax: The Catawba Indian Reservation is located in Lancaster County,
where the general, combined sales and use tax rate on sales of tangible personal property is 8%,
and York County, where the general, combined sales and use tax rate is 7%. Code Section 27-16130(H) contains the specific sales and use tax provisions.
The tribal sales tax is administered and collected by the Department. The tribal use tax is
administered and collected by the Catawba Indian Tribe. For additional information on the
Catawba Indian Tribal Tax, including information on the specific tax rates for sales of
accommodations and unprepared food, see SC Revenue Ruling #98-18 and Notes #1 and #2 at
the end of this information letter.
Tourism Development Tax: The local tourism development sales and use tax is authorized
under Code Section 4-10-910 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 and may only be imposed by a
municipality located in a county where revenue from the state accommodations tax is at least $14
million in a fiscal year. This tax may be imposed by an ordinance adopted by a two-thirds
majority of the municipal council or by approval by a majority of qualified electors voting in a
referendum authorized by a majority of the municipal council. The tax is imposed specifically for
tourism advertisement and promotion directed at nonresidents of South Carolina; 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 is collected by the Department of Revenue on behalf of these municipalities.
REMITTANCE OF LOCAL SALES AND USE TAXES BY RETAILERS:
For information on when a retailer is required to remit a local sales and use tax, see SC Revenue
Ruling #18-15.
8

TYPES OF EXEMPTIONS:
State Exemptions - 12-36-2120 and 12-36-2130: Except for sales of unprepared food exempt
from the 6% state sales and use tax under Code Section 12-36-2120(75), sales of tangible
personal property exempt from the State sales and use tax are exempt from the local sales and
use tax if marked “Yes” in this column of the above charts.
Note: Sales of unprepared food are only exempt from a local sales and use tax if the local sales
and use tax law specifically exempts such sales. For information on the exemption for sales of
unprepared food from local sales and use taxes, see the discussion below entitled “Exemption for
Certain Food Sales.”
Exemption for Maximum Tax Items - Code Section 12-36-2110: Sales of items subject to a
maximum tax under the State sales and use tax law [i.e., aircraft, motor vehicles, motorcycles,
boats, trailers and semitrailers pulled by truck tractors, 5 horse trailers, recreational vehicles
(including tent campers, travel trailers, park models, park trailers, motor homes, and fifth
wheels), self-propelled light construction equipment, unassembled aircraft, manufactured homes,
musical instruments and office equipment purchased by certain religious organizations and fire
safety education trailers] are exempt from the local sales and use tax if marked “Yes” in this
column of the above charts.
Note: Code Section 12-36-2120(83) exempts from state and local sales and use tax the sale or
purchase of each vehicle or other item that is subject to an infrastructure maintenance fee under
Code Section 56-3-627. The infrastructure maintenance fee is due when the vehicle or other item
is first registered with the South Carolina Department of Motor Vehicles pursuant to Chapter 3
of Title 56. See SC Information Letter #17-10 and SC Revenue Ruling #18-1.
Exemption for Casual Excise Tax Items - Code Section 12-36-1710: Sales of items subject to
the casual excise tax under Code Section 12-36-1710 through Code Section 12-36-1740 (i.e.,
boats, motors,6 and airplanes required to be registered, titled, or licensed) are exempt from the
local sales and use tax if marked “Yes” in this column of the above charts.
Exemption for Food Stamp Purchases: Sales of food purchased with food stamps are exempt
from the State sales and use tax; therefore, such sales are exempt from the local sales and use tax
if marked “Yes” in this column of the above charts.
Exemption for Certain Food Sales: Sales of certain foods are exempt from the local sales and
use tax if marked “Yes” in this column of the above charts. Sales of foods which are eligible to
be purchased with United States Department of Agriculture food stamps come under this
exemption. This exemption applies to everyone, not just persons using food stamps.

5

Pole trailers and trailers that can be pulled by vehicles other than truck tractors are not maximum tax items under
Code Section 12-36-2110 and are subject to the local sales and use tax.
6
As of the date of this information letter, all casual excise tax items listed under Code Section 12-36-1710, except
for boat motors not attached to a boat at the time of sale, are also maximum tax items under Code Section 12-362110. Therefore, boat motors not attached to a boat at the time of sale are exempt from local sales and use taxes only
if there is a “Yes” in the “Casual Excise Items” column of the above charts.

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Foods which may be purchased with food stamps and are exempt from these local sales
and use taxes include:
*

Any food intended to be eaten at home by people, including snacks, beverages and
seasonings

• Seeds and plants intended to grow food (not birdseed or seeds to grow flowers)
• Cold items, which may include salads or sandwiches, intended to be eaten at home
  by people

Items which cannot be purchased with food stamps and are, therefore, subject to these
local sales and use taxes are:
*
*
*
*
*
*

Alcoholic beverages, such as beer, wine, or liquor
Hot beverages ready to drink, such as coffee
Tobacco
Hot foods ready to eat
Foods designed to be heated in the store
Hot and cold food to be eaten at a lunch counter, in a dining area or anywhere else
in the store or in a nearby area such as a mall food court

• Vitamins and medicines (Note: Sales of certain medicines are exempt from the State
  sales and use tax, and therefore, are also exempt from all local sales and use taxes.)
• Pet food
• Any non-food items such as tissue, soap or other household goods

For more detailed information on this food exemption, see SC Regulation 117-337.
“Grandfather Clause” Exemption for Certain Purchases by Construction Contractors:
All the local sales and use taxes discussed in this information letter exempt purchases of building
materials for use under a construction contract if both of the following conditions are met:
A. 1. the construction contract is executed before the imposition date; or

2. a written bid is submitted before the imposition date culminating in a construction
   contract entered into before or after the imposition date; and
   B. a verified copy of the contract is mailed within 6 months of the imposition date to:
   SC Department of Revenue
   P.O. Box 125
   Columbia, SC 29214-0400
   A "verified copy" is a copy accompanied by a statement, signed under penalties of perjury, that it
   is true and correct. If the contractor is a corporation, the statement is to be signed by an officer of
   the corporation or an employee authorized to sign. If the contractor is a partnership, the statement
   is to be signed by a general partner. If the contractor is a sole proprietorship, the owner is to sign.

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Special Exemption Certificate. In order for a contractor to purchase building materials for a
particular contract free of the local tax, the contractor must complete Form ST-10-C
("Application for Exemption from Local Tax for Construction Contractors") and submit it to the
Department of Revenue. If the Department determines the contract in question meets the above
requirements, the contractor will be issued a special exemption certificate (Form ST-585). The
certificate may only be used to purchase building materials for the contract for which it is issued
and may not be used to purchase anything other than building material. If the contractor uses this
certificate to make purchases free of the local tax, upon which the tax should have been paid,
then the contractor will be held liable for the tax. Also, the certificate does not allow the
contractor to make purchases of building materials free of the State tax.
An exemption certificate (Form ST-585) issued by the Department of Revenue to a prime
contractor under this exemption may not be used by a subcontractor nor may a prime contractor
use a subcontractor's exemption certificate. Each contractor must obtain his own certificate for
each construction contract.

CATAWBA INDIAN TRIBAL TAX – NOTES #1 and #2:
Note #1: Whether the State sales and use tax or the Catawba Tribal sales and use tax for sales
(deliveries) made on the Catawba Indian Reservation applies is determined by the Catawba Indian
Claims Settlement Act (Chapter 16, Title 27, South Carolina Code of Laws). The provisions specific
to sales and use tax are in Code Section 27-16-130(H).
The Catawba Tribal sales and use tax expires on November 28, 2092.
The following chart provides a summary of these provisions:
Delivery on the
Reservation From:

Type Tax Applicable

Administered and
Collected By:

Location On the
Reservation
Location Off the
Reservation But in SC –
Sales $100 or less
Location Off the
Reservation But in SC –
Sales Over $100
Location Off the
Reservation and Outside
the State – Seller
Registered with DOR
Location Off the
Reservation and Outside
the State – Seller Not
Registered with DOR

Tribal Sales Tax (Equal to
Combined State and Local Rate*)
State Sales Tax (Local Taxes Do
Not Apply.)

DOR

Tribal Sales Tax (Equal to
Combined State and Local Rate*)

DOR

State Use Tax (Local Taxes Do Not
Apply.)

DOR

Tribal Use Tax (Equal to
Combined State and Local Rate*)

Catawba Indian Tribe

DOR

• Lancaster County imposes a 1% Local Option Tax and a 1% Capital Projects Tax. York County
  imposes a 1% Capital Projects Tax. These local taxes are in addition to the State sales and use tax.
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As of the date of this information letter, the tribal sales tax and the tribal use tax are imposed at
the following rates:
For sales (deliveries) made on the Reservation within Lancaster County:
8% for general sales of tangible personal property
9% for sales of accommodations
1% for sales of unprepared foods 7
For sales (deliveries) made on the Reservation within York County:
7% for general sales of tangible personal property
8% for sales of accommodations
0% for sales of unprepared foods
Please note that the rate for the tribal sales tax and the tribal use tax may increase or decrease
dependent upon whether the total state and local sales and use tax rates change in Lancaster
County or York County in the future.
For additional information, see SC Revenue Ruling #98-18.
Note #2: Maximum Tax Items: For sales (deliveries) made on the Reservation of tangible
personal property subject to the maximum tax provisions, the tribal sales and use tax rate is 5%
in each county (since the state sales and use tax on maximum tax items is 5% and maximum tax
items are exempt from all local sales and use taxes), but the tax may not exceed the maximum
tax set forth in Code Section 12-36-2110.
Casual Excise Tax Items: Counties imposing a local sales and use tax that does not exempt
casual excise tax items will impose the local tax on sales and purchases of boat motors not
attached to a boat at the time of sale.
Therefore, for sales (deliveries) of boat motors made on the Reservation within Lancaster and
York Counties, the tribal sales and use tax rate is 7% (since only the local option tax in Lancaster
County exempts casual excise tax items).
“Grandfather Clause” Exemption for Certain Purchases by Construction Contractors: As a result
of any increase in the tribal sales and use tax rate due to the imposition of a new local sales and
use tax in either Lancaster County or York County, there is an exemption from the portion of the
tribal sales and use tax represented by the new local sales and use tax for certain purchases by
construction contractors. For more information about this partial exemption, see the discussion
earlier in this information letter concerning “Grandfather Clause” Exemption for Certain
Purchases by Construction Contractors and the Special Exemption Certificate.
These charts only address the general local option taxes collected by the Department of
Revenue on behalf of the counties, municipalities, school districts, and the Catawba Indian
tribal government. They do not address the local taxes on sales of accommodations or on
sales of prepared meals that are collected directly by the counties or municipalities.
7

The Capital Projects Tax in Lancaster County exempts sales of unprepared food; however, the 1% Local Option Tax
does not exempt sales of unprepared food.

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