The credit is available to manufacturing, processing, warehousing, distribution, research and development, corporate office facilities, eligible tourism establishments, and insurance companies that pay premium tax in South Carolina. Unused credits may be carried forward 10 years. This is extended to 15 years if qualifying corporations create 150 new jobs which meet the income criteria for personal property credits. Unused credits may be carried forward 10 years. A corporate income tax credit against taxable income is allowed for minority businesses holding state government contracts.
Wholesale sales are exempt from sales tax.
A 5 percent use tax is levied on the use, consumption, or storage of personal property and certain services. Items subject to, or exempt from, the sales tax are not subject to use taxation. Counties have the ability to impose 1 percent sales tax in return for rolling back property taxes or infrastructure improvements. Exempt from sales and use taxes are materials for component parts, certain gasoline and motor fuels, containers, labels and wrapping materials, electricity used in the manufacturing of tangible personal property for sale, pollution-control equipment, certain ship supplies, and raw materials used to assemble missiles for the armed forces. Businesses receive a discount for on-time payments of both sales and use taxes.