Navigating South Carolina’s sales tax guidelines
Businesses and remote sellers may wonder if they need to collect sales tax in South Carolina. What is your sales tax filing obligation when you sell to buyers in the state? Many states determine sales tax filing and payment remittance obligations based on whether or not a business or seller has nexus. Businesses with a physical presence (and that do not hold an exempt status) must collect sales tax on goods and remit tax payments with the state of South Carolina. In addition, businesses and sellers located outside of the state also may need to collect sales tax if they meet specific criteria based on annual sales thresholds.
Ensure your business remains tax compliant in South Carolina and use TaxJar’s sales tax guide to learn more about economic nexus thresholds, filing obligations, and payment remittance. Businesses can also estimate their potential sales tax liability by using TaxJar’s online sales tax calculator.
Do you need to collect sales tax in South Carolina?
Businesses and remote sellers need to collect sales and use tax in South Carolina if they have either a physical or economic nexus in the state. A business has a physical nexus when it has a tangible presence or activity in a state. However, economic nexus is based on whether or not a business has met the economic threshold requirements for total revenue or sales in the state.
Do you have physical nexus in South Carolina?
South Carolina considers a seller or business to have physical nexus if they meet any of these requirements:
- An office or place of business, or a physical presence in the state
- An employee present in South Carolina
- Goods in a South Carolina-based warehouse
- Ownership of real or personal property in the state
- Delivery of merchandise in South Carolina in vehicles owned by the taxpayer
- Independent contractors or other representatives in South Carolina
The South Carolina Department of Revenue provides additional context about what constitutes sales tax nexus in South Carolina.
Do you have economic nexus in South Carolina?
Effective November 1, 2018, South Carolina considers vendors who make more than $100,000 in sales annually in the previous or current calendar year to have economic nexus. These vendors must collect sales tax from buyers in the state. The South Carolina Revenue Ruling #18-14 details economic nexus guidelines for remote sellers.
Is what you’re selling taxable?
Many services are taxable in South Carolina. Most tangible personal property is taxable in South Carolina, with a few exceptions. These sales tax exemptions include certain groceries, prescription medicine and medical devices, and machinery and chemicals used in research and development.
Is SaaS taxable in South Carolina?
SaaS is considered a taxable service in South Carolina, as are other charges to access a website.
How to get a sales tax permit in South Carolina
A retail license can be obtained online, through the mail, or in person. Or visit our registration page to request for TaxJar to manage your South Carolina registration.
Online: Visit the South Carolina’s My DORWAY Service.
Mail: Complete Form SCDOR-111 and mail it to:
SC Department of Revenue
Registration Unit
Columbia, SC 29214-0140
Apply in-person at these locations:
Charleston Service Center
1 Southpark Circle
Suite 100
Charleston, S.C. 29407
Phone: 843-852-3600
Fax: 843-556-1780
Columbia Main Office
300A Outlet Pointe Boulevard
Columbia, S.C. 29210
P.O. Box 125
Columbia, S.C. 29214
Phone: 803-898-5000
Fax: 803-898-5822
Florence Service Center
1452 West Evans Street
P.O. Box 5418
Florence, S.C. 29502
Phone: 843-661-4850
Fax: 843-662-4876
Greenville Service Center
545 North Pleasantburg Drive, Suite 300
Greenville, SC 29607
Phone: 864-241-1200
Fax: 864-232-5008
Myrtle Beach Service Center
1330 Howard Parkway
P.O. Box 30427
Myrtle Beach, S.C. 29588
Phone: 843-839-2960
Fax: 843-839-2964
Rock Hill Service Center
454 South Anderson Road
Business and Technology Center
Suite 202
P.O. Box 12099
Rock Hill, S.C. 29731
Phone: 803-324-7641
Fax: 803-324-8289
Businesses must submit the following information to register for a sales tax permit in South Carolina:
- Owner, partnership, corporate charter name
- Physical location
- Mailing address
- Type of business
- Type of ownership
- Names of business owner, partners, officers, and members
South Carolina charges a $50.00 fee to register for a sales tax permit. Other business registration fees may apply.
Collecting sales Ttx
South Carolina is a destination-based sales tax state. If your business is based in South Carolina, collect sales tax at the rate at your buyer’s location. The South Carolina sales tax rate is 6%. You can look up your local sales tax rate with TaxJar’s Sales Tax Calculator.
Should you collect sales tax on shipping charges in South Carolina?
If you charge for shipping as part of an order, shipping charges to South Carolina buyers are taxable. TaxJar offers additional insights about sales tax on shipping in South Carolina.
When are returns due?
When you file and pay South Carolina sales tax depends on your assigned filing frequency and your state’s due dates.
How often will you file sales tax returns in South Carolina?
States assign you a filing frequency when you register for your sales tax permit. In most states, how often you file sales tax is based on the amount of sales tax you collect from buyers in the state.
In South Carolina, you will be required to file and remit sales tax either monthly, quarterly, or annually. South Carolina sales tax returns are always due the 20th of the month following the reporting period. If the filing due date falls on a weekend or holiday, sales tax is generally due the next business day.
Filing sales tax
Businesses and remote sellers need to follow these simple steps to file sales tax in South Carolina:
- Calculate how much sales tax you owe
- File a sales tax return
- Make a payment
How to calculate how much sales tax you owe in South Carolina
Calculating how much sales tax you should remit to the state of South Carolina is easy with TaxJar’s South Carolina sales tax report. Connect the channels through which you sell – including Amazon, eBay, Shopify, Square and more – and we’ll calculate exactly how much sales tax you collected. All the information you need to file your South Carolina sales tax return will be waiting for you in TaxJar.
How to file and pay sales tax in South Carolina
You have two options for filing and paying your South Carolina sales tax:
- File online at the South Carolina Department of Revenue. You can remit your payment through their online system. Use TaxJar’s step-by-step guide to filing your South Carolina sales tax return.
- AutoFile – Let TaxJar file your sales tax for you. We take care of the payments, too. You’ll never have to worry about spreadsheets, calculations or filling out complex sales tax returns.
