South Carolina Sales Tax Guide: Rates, Nexus, Exemptions, and Filing Requirements

• South Carolina imposes a 6% statewide sales and use tax, with additional local sales taxes that can vary by location.
• Taxable items generally include retail sales of tangible personal property and certain listed services, such as communications, laundry and related services, accommodations, electricity, prewritten software, SaaS, telecommunication services, and certain installation/repair services.
• Economic nexus applies when a remote seller has more than $100,000 in gross revenue from South Carolina sales in the previous or current calendar year; once met, the seller must register and begin collecting on the first day of the second calendar month after nexus is established.
• Physical nexus can arise from maintaining offices, warehouses, distribution houses, sales locations, or agents in South Carolina, triggering collection/remittance obligations.
• Key exemptions include sales to the federal government, prescription medicine, qualifying back-to-school holiday purchases, certain textbooks, USDA-eligible unprepared food (state tax exempt but local tax may still apply), and certain agricultural, manufacturing, medical, and resale transactions with proper documentation.

Source: sovos.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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