South Carolina Hotel Tax Rate and Other Tax Facts

When visiting South Carolina, you can anticipate paying a 5% hotel tax on your lodging costs. This tax is in addition to the 6% state sales tax that is imposed on the majority of the state’s goods and services. It’s crucial to know what is taxed and what is not in South Carolina since some things and activities are exempt from taxation or subject to special regulations.

The majority of tangible personal property, including retail products, rentals of tangible personal property, and services like accommodation, meals, and admissions, are generally taxed in South Carolina. Prescription medications, specific food items, and goods bought with food stamps or other government assistance programs are a few examples of things that are frequently exempt from the sales tax. In addition, intangible assets like stocks, bonds, and other securities are not subject to tax in South Carolina.

Compared to some other states, South Carolina’s combined state and local sales tax rate of 6% is quite low, although some states have even lower rates. For instance, Oregon is a well-liked choice for consumers wishing to save money on their purchases because it levies zero sales tax. However, Oregon does levy a tourism tax that covers, among other things, hotels and automobile rentals.

On the other end of the scale from South Carolina, several states have substantially higher sales tax rates. For instance, the statewide sales tax in California is 7.25%, with certain cities and counties also levying additional municipal taxes. Tennessee levies an extra tax on some goods like food and candies in addition to its similar 7% statewide levy.

South Carolina does charge sales tax on the majority of clothing purchases. However, there are a few exceptions, including some protective garments and products bought for use in a trade or company. A tax-free weekend is also offered in South Carolina in August, when certain items like apparel, school supplies, and computers are exempt from paying sales tax.

As a result, if you’re thinking about visiting South Carolina, be ready to pay a 6% sales tax on the majority of your other purchases in addition to a 5% hotel tax on your accommodation costs. These rates are utilized to pay for significant state and local services even if they might not be the lowest in the nation. You may maximize your trip while staying within your budget by being aware of what is taxed in South Carolina and any applicable exemptions.