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Business Personal Property Tax In SC: What To Know

Posted by Eleshia Matheny on May 3, 2019 8:56:09 AM

SC Business Personal Property Tax-CrowdReason

According to the Tax Foundation, South Carolina ranks roughly in the middle of the pack when it comes to property taxes in the U.S. Both real property and business personal property are taxable here, though there is no tax on intangibles.

This article highlights business personal property tax in South Carolina. If your company operates in other states as well, check out our blog for more information about property tax in New York, New Jersey, Maryland, Texas, and California.

Real Property Tax in South Carolina


Real property is reappraised on a countywide basis every five years, with a 15% cap on the increase in fair market value (except in the case of an assessable transfer of interest—the transfer of an existing interest in real property that subjects it to appraisal). The fair market value is then multiplied by the assessment ratio—4% for an individual’s primary residence and 6% for other real property. Then, the millage rate is applied to the assessed value to arrive at the tax due.

Note that businesses that invest $2.5 million or more in South Carolina (or $1 million in certain counties) may be eligible to pay a fee in lieu of property taxes, which could reduce their assessment ratio and eliminate increases in the value of real property for a certain period of time.

Key Dates For South Carolina Real Property Taxes:

  • Assessment date: 12/31
  • Notice date: Typically, the tax bill serves as notice. Tax bills are generally mailed after 9/30.
  • Appeal deadline: Businesses looking to appeal must do so by the tax bill deadline of 1/15.
  • Tax bill due date: Payment is due on or before 1/15.


Business Personal Property In South Carolina


Tangible business personal property—furniture, fixtures, and equipment owned and used by a business—is assessed annually in South Carolina. In general, taxes are assessed and collected by local governments, with some assistance by the South Carolina Department of Revenue.

Businesses must report the total cost of their assets as well as the net depreciated value using Business Personal Property Return PT-100. The value of property is equal to its depreciated basis for income tax purposes; however, the depreciation may not exceed 90% of the total acquisition cost for each item. Once the fair market value has been determined, the assessment ratio is applied. Generally, business personal property is assessed at 10.5% of fair market value. The assessment ratio is determined by the property classification (manufacturing, aircraft, commercial fishing boats, etc.), but the majority of business personal property has a 10.5% assessment ratio.

If you need a better way to manage multiple state property tax data and deadlines—and reduce your filing time, too—set up a demo to see TotalPropertyTax software in action.

Key dates For South Carolina Business Personal Property Taxes:

  • Assessment date: 12/31
  • Return deadline: Varies. Returns are due before the last day of the fourth month after the close of the company’s accounting period regularly employed by the taxpayer for income tax purposes. For example, if a company’s fiscal year ends 12/31, its return is due 4/30; if the fiscal year ends 8/31, the return is due 12/31. (Note that when there are changes to a company’s accounting closing period, two returns are required. One is required to be filed at the end of both the prior accounting closing period and another at the new accounting closing period.) No extensions are allowed.
  • Notice date: Typically, the tax bill, received sometime after 9/30, serves as notice.
  • Appeal deadline: Businesses looking to appeal must do so by the tax bill deadline of 1/15.
  • Tax bill due date: Payment is due on or before 1/15 to the country treasurer’s office.

 

In South Carolina, property tax bills are calculated by multiplying the net depreciated value on your return by the assessment ratio, which is generally 10.5%. The assessed value is sent to the County Auditor in the county where the property is located, where the applicable millage is then applied for that taxing district.

Businesses may file online through MyDORWAY, the state’s online tax system.

Looking for a better way to manage your multi-state property taxes?


CrowdReason property tax software
can help. Created by property tax professionals, our software makes it easier to perform and manage every aspect of the tax cycle, from beginning to end.

Using advanced machine learning technology, MetaTaskerPT saves time by automating data entry. And TotalPropertyTax (TPT) lets you depreciate assets in minutes; helps manage your assessment notices, deadlines, and appeals; and can even integrate with your current accounts payable system to track and pay your bills. The end result: Your team has more time to evaluate valuations and appeal unfair assessments.

Interested in seeing how it works? Set up a demo today.

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Topics: SC business personal property tax