reglab/statecodes huggingface dataset:
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.6 - Machine Shops

Current through Register Vol. 48, No. 6, June 28, 2024
Property manufactured or fabricated by machine shops and custom
				foundries is subject to the sales tax, except when sold for resale purposes or
				when exempted by one of the exemptions found in the sales and use tax
				law.
In doing repair work, the machine shop operator consumes the
				materials which lose their identity in the repairing process, such as paint,
				solder, babbitt and lumber. He is also considered to be the consumer of such
				items as cotter keys, nails, washers, stove bolts and nuts, bits of metal, and
				sheets of metal used in patching or reinforcing. The receipts from the use of
				these materials are not subject to the sales and use tax. The sales or use tax
				is due by the machinist at the time of purchase from his suppliers.
Where the machinist in making repairs, fabricates or
				manufactures a recognizable part or attachment for the article being repaired
				(as contrasted to patching, mending, or reinforcing weakened parts) no
				deduction is permissible for labor or any other expenses which are a part of
				fabricating or manufacturing the part or attachment. He may, however, if making
				separate agreements to sell the manufactured or fabricated part and to install
				same, remit tax only on the sales price of the fabricated part or attachment,
				provided his books and invoices show clearly a separation between the sales
				price of the fabricated part or attachment and the labor and service of
				installation.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.7 - Ship Chandlers

Current through Register Vol. 48, No. 6, June 28, 2024
Ship chandlers sell marine supplies to operators of all kinds
				of watercraft and to others. The sale or sales by ship chandlers of fuel,
				lubricants and supplies for use aboard ships plying on the high seas engaged in
				trade or commerce between South Carolina ports and ports of other states and
				foreign countries are not subject to the tax. All other sales made by ship
				chandlers, not for resale, are taxable with the exception of tangible personal
				property delivered to a ship from a bonded warehouse in the custody and under
				supervision of the United States customs officials, who deliver such properties
				aboard ships to a locked compartment on which a custom seal is placed, which
				seal by federal rule cannot be broken until the vessel has passed the 12 mile
				limit.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.9 - Sign Companies

Current through Register Vol. 48, No. 6, June 28, 2024
A person engaged in the business of erecting, on properties
				owned or controlled by him, signs for the display of products of a second party
				for a consideration is deemed to be engaged in the business of selling a
				service. A tax is due measured by the purchase price of all tangible personal
				property used or consumed by such person as additions or improvements to
				realty.
A person engaged in the business of designing, fabricating and
				erecting signs on properties of another, for the display of that person's
				products, is deemed to be a retailer. The gross proceeds of the sale of such
				signs are subject to the tax. If the signs are leased or rented, the lease or
				rental proceeds are subject to the tax.
A person engaged in both of the above businesses shall pay the
				tax in accordance with the applicable provisions as set forth
				hereinabove.
A person who designs and constructs a sign as defined in the
				second paragraph above may, if all statutory requirements are met, be
				considered a manufacturer.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.10 - Interior Decorators

Current through Register Vol. 48, No. 6, June 28, 2024
Interior decorators are generally engaged in the business of
				selling home or office furnishings of which many, such as portieres, curtains,
				draperies and seat and slip covers, are made to customers' specifications. The
				total charge for such made-to-order merchandise is subject to the tax without
				any deduction for fabrication labor whether such labor is performed by the
				decorator or by others for the decorator's account.
It is frequently necessary to repair, renovate or reupholster
				furniture. Sublet repairs are taxable on the total charge to the customer when
				the repair materials are sold or furnished by the decorator.
It may also be necessary to remodel interiors such as by
				painting or papering walls, hanging mirrors, pictures and lighting fixtures or
				other accessories, or replacing floor coverings. Labor for these purposes is
				not subject to the tax provided it is separately shown from the sales price of
				tangible personal property on the invoice to the customer. Other exempt charges
				when separately invoiced to the customer are consultation fees and
				reimbursement for travel expenses.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.11 - Sellers of Ice

Current through Register Vol. 48, No. 6, June 28, 2024
Sales of ice by manufacturers and wholesalers to licensed
				retail dealers engaged in the retail business of selling ice to users or
				consumers are sales for resale and are not subject to the tax. Ice sold to such
				licensed retailers which is withdrawn for use or consumption bears the sales
				and/or use tax and the same must be reported and remitted to the department.
				Ice sold to restaurants, cafes, cafeterias, drug stores, etc., which enters
				into and becomes an ingredient or component part of the food and drink which
				such businesses compound for sale are sales at wholesale, free of the sales and
				use tax.
Sales of ice made for any other purposes than above specified
				are sales at retail and subject to the tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.12 - Sellers of Oxygen, Propane or Butane

Current through Register Vol. 48, No. 6, June 28, 2024
Gases such as oxygen, etc., sold to hospitals, medical doctors,
				dentists, and others for professional use are subject to the sales or use tax,
				whichever may apply.
Sales of propane or butane gases or any similar gas, unless an
				otherwise exempt sale to a manufacturer or compounder, are subject to sales or
				use tax, whichever may apply.
Gas pressure regulators purchased by a seller of propane gas
				for use by such seller on storage tanks furnished to customers come within the
				exemption found at Section
				12-36-2120(17).
				The proceeds derived from the sale or lease of such regulators to customers are
				subject to the tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.13 - Sellers of Automobile Seat Cover and Top Linings

Current through Register Vol. 48, No. 6, June 28, 2024
Seat covers and prefabricated top linings are recognized units
				of tangible personal property which, when sold, are subject to the tax on the
				total sales price without any deduction for cost of materials, labor costs, or
				any other cost which is a part of the fabrication, distribution or
				selling.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.14 - Sellers of Ice Cream Freezers

Current through Register Vol. 48, No. 6, June 28, 2024
Sales of ice cream freezers of the type used on trucks or in
				retail outlets for the making of ice cream are subject to the
				tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.15 - Rentals and Leases

Current through Register Vol. 48, No. 6, June 28, 2024
The gross receipts or gross proceeds proceeding or accruing
				from the leasing or renting of tangible personal property are subject to the
				sales or use tax.
When on long-term continuing lease agreements where the lessor
				is required to furnish, for a consideration, maintenance services and/or
				operating supplies, the tax may be paid measured by (1) the total amount
				received, or (2) the total amount, taking as a deduction on the return charges
				for such services and/or supplies.
By using the first method, the lessor may purchase tax-free, as
				for resale, all items of tangible personal property passed on to the lessee. By
				using the second method, tax must be paid on all items of tangible personal
				property used in servicing the leased property.
If the owner of tangible personal property furnishes an
				operator or crew to operate such property, such owner is not deemed to be
				renting or leasing the property but is rendering a service and the receipts
				therefrom are not subject to the sales or use tax. Persons purchasing tangible
				personal property for use in rendering such service are liable for payment of
				sales or use tax at the applicable rate on the purchase price.
Where a person customarily rents tangible personal property and
				customarily withdraws the same for his own use, storage or consumption, a tax
				is due by such person on each withdrawal for use, the tax to be measured by the
				amount he would customarily receive as rental had the property been leased or
				rented for a like period of time. In the alternative the tax may be paid on the
				full purchase price of the property and no further liability incurred on
				withdrawals for use. Having once elected either method of reporting on
				withdrawals for use, the taxpayer must so continue unless and until permission
				has been received from the department in writing to make a change. Regardless
				of the method selected for accounting for the tax on withdrawals for use, the
				tax is due on all amounts proceeding or accruing from the rental, lease or sale
				of the property.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.16 - Materials Used to Recondition Automotive Vehicles for Resale

Current through Register Vol. 48, No. 6, June 28, 2024
The purchases of materials and parts by automobile dealers for
				purposes of reconditioning automotive vehicles for resale are construed to be
				purchases of tangible personal property at wholesale and are, therefore, not
				subject to the sales or use tax.
The practical result of the foregoing is to enable the
				automobile dealer to purchase free of the tax for resale only those items of
				tangible personal property which are to be passed on to the ultimate consumer,
				and does not extend to such things as machinery, equipment, tools, paint
				remover, upholstery cleaner, tire cleaner and other properties which do not
				become a part of the vehicle being reconditioned for sale.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-309.17 - Withdrawals From Stock, Merchants

Current through Register Vol. 48, No. 6, June 28, 2024
To be included in gross proceeds of sales is the money value of
				property purchased at wholesale for resale purposes and subsequently withdrawn
				from stock for use or consumption by the purchaser.
The value to be placed upon such goods is the price at which
				these goods are offered for sale by the person withdrawing them. All cash or
				other customary discounts which he would allow to his customers may be
				deducted; however, in no event can the amount used as gross proceeds of sales
				be less than the amount paid for the goods by the person making the
				withdrawal.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-310.1 - Transportation Costs, Sellers

Current through Register Vol. 48, No. 6, June 28, 2024
In no event may a seller deduct costs of bringing property to
				his place of business or costs of delivering property from factory to his
				customer when such factory-to-customer transportation is paid by the seller
				either to a transportation company, the manufacturer, or by way of credit to
				his customer for transportation costs paid by the customer and deducted from
				seller's invoice.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.1 - Railroad Companies, Sales to

Current through Register Vol. 48, No. 6, June 28, 2024
Some railroads maintain storehouses, in South Carolina for the
				temporary storage of materials and supplies. Some of these materials and
				supplies are for use in South Carolina and some are for use in other states.
				Frequently, when materials are shipped to such storehouses, the railroad does
				not know what materials are for use in South Carolina, and what are for use in
				other states. Because of the impracticability of determining what proportion of
				such materials and supplies is subject to the tax at the time of their
				purchase, and because of the inequity of imposing the tax on the total purchase
				of such materials and supplies, the railroad may apply for a certificate under
				the provisions of Section
				12-36-2510,
				which allows such railroad to purchase materials and supplies at wholesale, and
				to remit the use tax on the materials and supplies withdrawn for use or
				consumption within this state.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.2 - Railroad Companies-Crossties and Timbers

Current through Register Vol. 48, No. 6, June 28, 2024
Crossties and timbers sold to or used by railroad companies are
				subject to the sales or use tax, whichever may apply, on the following
				basis:
(a) Where a railroad buys in
			 this state untreated ties or timber paying the South Carolina sales tax due
			 thereon, and thereafter has such ties or timber creosoted or otherwise treated
			 either within or without South Carolina, it becomes liable upon use of such
			 property in South Carolina for the tax based upon the sales price of the
			 creosote or other material used in the treatment thereof.
(b) Where a railroad buys in South Carolina
			 untreated ties and timber for shipment in interstate commerce, without paying
			 the South Carolina sales tax thereon, and such ties and timber are shipped and
			 creosoted without the state, and subsequently shipped into and used within the
			 state, such railroad will be required to pay a use tax thereon measured by the
			 full price of the finished product brought into the state.
(c) Where a railroad buys without the state
			 untreated ties and timber, and thereafter brings said ties and timber inside
			 the state and has them creosoted within the state and uses them within the
			 state, such railroad would owe a use tax based upon the cost of untreated ties
			 and timber, plus the sales price of the creosote or other material used in the
			 treatment thereof.
(d) Where a
			 railroad buys without the state untreated ties and timber, and has the same
			 creosoted outside the state, and subsequently brings and uses the same within
			 the state, such railroad would be required to pay a use tax thereon based upon
			 the cost of untreated ties and timber, plus the cost of processing.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.3 - Railroad Companies-Sales to of Crossties and Timbers by Producer

Current through Register Vol. 48, No. 6, June 28, 2024
The gross proceeds of the sale of timber when sold in the
				original state of production or preparation for sale and when sold by the
				producer thereof or by members of his immediate family are exempted from
				payment of sales or use tax, whichever would otherwise be considered to apply.
				Nothing contained herein, however, shall be construed to exclude from the
				measure of the tax the gross proceeds of the sale or sales of timber or timber
				products treated with wood preservatives.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.4 - Railroad Companies-Machines

Current through Register Vol. 48, No. 6, June 28, 2024
Machines and machinery when sold to or used by railroad
				companies in maintaining, repairing, or reconditioning their equipment are
				subject to the sales or use tax, whichever may apply. The machine exemption is
				not construed as applying to machines or machinery purchased for use by
				railroad companies in maintenance operations.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.5 - Railroad Rails

Current through Register Vol. 48, No. 6, June 28, 2024
Railroad rails, crossties, frogs, spikes, etc., do not in
				themselves constitute machines or machinery when used in the construction of a
				railway or railroad either on or above ground or in a mine or quarry. This
				material is rather in the nature of building material and should be considered
				as such for taxing purposes.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.6 - Railroads, Lumber Used for Repairing Railroad Cars

Current through Register Vol. 48, No. 6, June 28, 2024
Lumber especially fabricated for use in repairing railroad cars
				is entitled to be purchased free of the tax under Section
				12-36-2120(20),
				which exempts, among other things, from payment of sales or use taxes, railroad
				cars or locomotives and the parts thereof.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.7 - Railroads, Motor Oil Used in Diesel Engines

Current through Register Vol. 48, No. 6, June 28, 2024
Motor oil of the type used in the operation of a diesel engine
				for lubricating purposes does not qualify for fuel exemption even though it may
				be entirely consumed in such operation.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.8 - Ties and Timbers

Current through Register Vol. 48, No. 6, June 28, 2024
Ties and timbers, treated or untreated, are subject to sales or
				use tax when delivered by the seller to railroads in South Carolina. The seller
				must report and remit tax on these sales.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.9 - Ties and Timbers in Interstate Commerce

Current through Register Vol. 48, No. 6, June 28, 2024
Ties and timbers sold FOB South Carolina shipping point on a
				purchase order requiring the seller to ship to out-of-state destination in
				interstate commerce are not subject to sales tax regardless of whether or not
				shipment is made by the use of the purchaser's transportation facilities when
				the purchaser is a common carrier.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.10 - Ties and Timbers, Constructive Delivery of

Current through Register Vol. 48, No. 6, June 28, 2024
Ties and timbers are taxable when sold under bulk contract,
				with the purchaser inspecting and approving the material at the plant or yard
				of the seller and the seller segregating and allotting the approved material to
				the purchaser for future shipment according to subsequently issued shipping
				instructions. This material is to be reported by the seller as subject to the
				tax in the month in which it is shown as sold on his books.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-311.11 - Meals Served by Railroads, Airlines, Etc

Current through Register Vol. 48, No. 6, June 28, 2024
Sales of meals, drinks, etc., by railroads within this state
				are subject to the sales tax.
Meals, etc., served by railroads as a part of the
				transportation service, for which no separate charge is made, are not required
				to be reported as retail sales by the companies. In such instances the
				companies are considered to be the consumers of the foods, etc., served and
				will be required to pay tax thereon to the suppliers.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312 - Containers and Other Packaging Material

Current through Register Vol. 48, No. 6, June 28, 2024
The statute provides an exemption (Section
				12-36-2120
				) and an exclusion (Section
				12-36-120
				) for containers and other packaging material. The following explains the
				application of the exemption and exclusion in certain
				situations.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.1 - Containers and Packaging Materials, Sales of to Licensed Retailers

Current through Register Vol. 48, No. 6, June 28, 2024
Licensed retailers purchase free of sales or use taxes wrapping
				paper, wrapping twine, paper bags and containers for use incident to the
				delivery of tangible personal property sold by them. They also purchase
				tax-free materials used in packaging personal property sold by them.
The list below, while illustrative of items falling within the
				exemption or exclusion, is not exhaustive:
Souffle cups, butter chips, paper cups, paper plates, boxes and
				crates and glazed tissue used to package articles of food.
It will be seen that items such as straws, napkins, wooden or
				paper spoons and forks do not meet the requirements outlined above and, hence,
				must bear the tax. Such items are rather in the nature of supplies used or
				consumed by the retailer in the operation of his or its
				business.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.2 - Containers, Beverage Boxes and Crates

Current through Register Vol. 48, No. 6, June 28, 2024
Especially designed crates and boxes of the type used by
				distributors of soft drinks or milk products retained by the purchaser of such
				products for reuse by the distributor thereof may be purchased free of sales or
				use taxes.
The exemption extends to materials used in repairing such
				crates and boxes.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.3 - Packaging Materials

Current through Register Vol. 48, No. 6, June 28, 2024
Section
				12-36-120
				excludes from the measure of the sales or use taxes the gross proceeds of the
				sale of "... materials, containers, cores, labels, sacks or bags used incident
				to the sale and delivery of tangible personal property, or used by
				manufacturers, processors, and compounders in shipping tangible personal
				property."
The term "materials" is deemed to include, among other things,
				wrapping paper, twine, strapping, nails, staples, wire, lumber, cardboard,
				adhesives, tape, waxed paper, plastic materials, aluminum foils, and pallets
				used in packaging tangible personal property for shipment or sale; also
				excelsior, cellulose wadding, paper stuffing, sawdust and other packing
				materials used to protect products in transit. Materials such as dry ice and
				rust preventives used to preserve property during shipment do not come within
				the exemption. Also excluded from the exemption are materials such as strapping
				and dunnage (e.g. lumber used to block up equipment for shipment) to
				temporarily brace or block tangible personal property within trucks and
				railroad cars as a protection during shipment.
"Containers" include, but are not limited to, such items as,
				paper, plastic or cloth sacks, bags, boxes, bottles, cans, cartons, drums,
				barrels, kegs, carboys, cylinders, and crates.
The term "cores" is defined to include spools, spindles,
				cylindrical tubes and the like on which tangible personal property is
				wound.
Labels affixed to manufactured articles to identify such
				products are exempted from the tax only when such labels are passed on to the
				ultimate consumer of such products.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.4 - Advertising Materials

Current through Register Vol. 48, No. 6, June 28, 2024
Printed advertising materials and/or price lists placed into
				cartons or packages with tangible personal property being packaged for shipment
				or sale are subject to the sales or use tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.5 - Multiform Invoices

Current through Register Vol. 48, No. 6, June 28, 2024
Multiform invoices used to invoice the customer and also to
				serve as a packing slip and address label are subject to the sales or use
				tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.6 - Grease, Protective

Current through Register Vol. 48, No. 6, June 28, 2024
Grease used as a protective coating for manufactured products
				while in storage is purchased at retail for such use and subject to the tax.
				This material is a supply item which is used or consumed by the manufacturer.
				Grease used as a protective coating for manufactured products while in transit
				is purchased at wholesale, free of the tax, as a material used incident to the
				sale and delivery of tangible personal property.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.7 - Rust Preventives

Current through Register Vol. 48, No. 6, June 28, 2024
Petroleum products and other materials used as rust preventives
				or for surface protection of metal products while in storage are subject to
				sales or use tax. Petroleum products and other materials used as rust
				preventives or for surface protection of metal products while in transit are
				not subject to sales or use tax.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-312.8 - Icing of Perishables

Current through Register Vol. 48, No. 6, June 28, 2024
The charge for ice when sold to common carriers for the icing
				of perishables during shipment or transshipment, will include the cost of
				transportation where the ice is transported to the truck loading platform, or
				to a storage warehouse in the ice manufacturer's transportation equipment,
				and/or under terms where the transportation is for the account of the ice
				manufacturer, and the charge will also include any charges for placing said ice
				in a storage warehouse by the ice manufacturer prior to the actual car icing
				regardless of whether said charges for transportation and/or storage are
				contracted for or invoiced separately by and between the ice manufacturer and
				the carrier.
The sales price of the ice will not include the charge for the
				actual icing of the railroad car or truck in which the perishable property is
				to be shipped, provided the charge for said icing service is separately billed
				to the common carrier.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-313 - Labor

Current through Register Vol. 48, No. 6, June 28, 2024
The following addresses the application of the sales and use
				tax to fabrication labor, subcontracted labor, installation labor, and
				alteration labor. There are many sales and use tax transactions involving labor
				and the following is not all-inclusive.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-313.1 - Labor, Fabrication

Current through Register Vol. 48, No. 6, June 28, 2024
No method of billing will serve to exempt from the measure of
				the tax the cost of materials used, labor or service cost, interest charges,
				losses or any other expenses whatsoever that are a part of the manufacturing,
				compounding, processing or fabrication of tangible personal property for sale
				or resale.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-313.2 - Subcontracted Labor, Repairs

Current through Register Vol. 48, No. 6, June 28, 2024
In no event may payments for the repair, renovating or
				rebuilding of tangible personal property for resale be deducted from gross
				proceeds of sales when any repair materials are furnished by the person
				purchasing such services for sale or resale.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-313.3 - Installation Charges

Current through Register Vol. 48, No. 6, June 28, 2024
Not subject to the sales or use tax are charges for
				installation incident to the sale of tangible personal property when such
				charges are separately stated from the sales price of the property on billing
				to customers and provided the seller's books and records of account show the
				reasonableness of such labor in relation to the sales price of the
				property.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-313.4 - Alteration Charges

Current through Register Vol. 48, No. 6, June 28, 2024
Expenses borne by the seller of clothing for alteration
				charges, whether such services are performed by the seller or subcontracted,
				are not deductible from gross proceeds of sales.
Conversely, a charge for alteration services made in addition
				to the sales price of tangible personal property is not subject to tax when
				such charge is separately stated from the sales price of tangible personal
				property on the invoice to the customer.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.1 - Sales of Building Materials

Current through Register Vol. 48, No. 6, June 28, 2024
Sales of building materials for use in adding to, repairing or
				altering real property, are subject to the sales or use tax at the time of
				purchase even though the property erected therefrom may be subsequently leased
				or rented to the person who owns or controls the land on which the property is
				situate. Examples include, but are not limited to, building materials used in
				constructing grain storage tanks, silos, pre-engineered buildings and other
				structures.
Conversely, subject to the tax are proceeds from the sale or
				lease of a manufactured unit delivered and/or set in place on lands owned or
				controlled by a person other than the seller or lessor. Examples include, but
				are not limited to, mobile homes, manufactured classrooms and motel
				units.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.2 - Building Materials

Current through Register Vol. 48, No. 6, June 28, 2024
Building materials when purchased by builders, contractors, or
				landowners for use in adding to, repairing or altering real property are
				subject to either the sales or use tax at the time of purchase by such builder,
				contractor, or landowner. "Building materials" as used in the Sales and Use Tax
				Law includes any material used in making repairs, alterations or additions to
				real property. "Builders," "contractors," and "landowners" mean and include any
				person, firm, association or corporation making repairs, or additions to real
				property. The term "building materials" includes such tangible personal
				property as lumber, timber, nails, screws, bolts, structural steel, elevators,
				reinforcing steel, cement, lime, sand, gravel, slag, stone, telephone poles,
				fencing, wire, electric cable, brick, tile, glass, plumbing supplies, plumbing
				fixtures, pipe, pipe fittings, prefabricated buildings, electrical fixtures,
				built-in cabinets and furniture, sheet metal, paint, roofing materials, road
				building materials, sprinkler systems, air conditioning systems, built-in-fans,
				heating systems, floorings, floor furnaces, crane ways, crossties, railroad
				rails, railroad track accessories, tanks, builders hardware, doors, door
				frames, window frames, water meters, gas meters, well pumps, and any and all
				other tangible personal property which becomes a part of real
				property.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.3 - Transferred Property, Use Tax Liability

Current through Register Vol. 48, No. 6, June 28, 2024
Building materials transferred from out-of-state into South
				Carolina for use, storage, or consumption are assumed to have been purchased
				for such use, storage, or consumption in South Carolina and are subject to the
				South Carolina use tax.
The department will allow credit to use tax liability for new
				and unused building materials transferred out of South Carolina which were
				purchased out-of-state and on which South Carolina use tax has been
				paid.
No allowance will be made for outgoing transfers of any
				tangible personal property, either new or used, the sales of which were
				subjected to the South Carolina sales tax.
In determining the basis of the tax on transferred property,
				aside from building materials, the assumption will be that the property was
				purchased for use, storage, or consumption in South Carolina and that the tax
				has not been paid thereon. The assumption that the property was purchased for
				use, storage, or consumption in South Carolina is overcome when it is shown
				that there has been a real and substantial use of the property outside of this
				state prior to its transfer into this state in which event the basis for the
				tax is determined by the proportion of the original purchase price of such
				property as the duration of time of use in this state bears to the total useful
				life thereof.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.4 - Awnings

Current through Register Vol. 48, No. 6, June 28, 2024
Generally, an awning attached to a building as a permanent
				fixture is a part of the building and comes within the provisions covering the
				sale of building materials.
Metal or other permanent type awnings attached to buildings
				with screws or bolts or otherwise securely attached become a part of the
				building. The materials from which these awnings are made come within the
				building material class. When the materials are purchased prefabricated, sales
				tax is due by the person making the installation to the supplier, if purchased
				in South Carolina, or use tax is due the state of South Carolina if purchased
				from an out-of-state seller not registered under the use tax.
Where the person making the installation purchases materials
				such as sheets of aluminum from which he manufactures the components of awnings
				the tax is due to the state by such person based upon the fair market value of
				the components laid down at the job site.
It is the rule of the department that lightly attached cloth
				awnings do not fall into the building material category and are to be taxed at
				the sale thereof from the awning dealer to the property
				owner.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.5 - Elevators

Current through Register Vol. 48, No. 6, June 28, 2024
The component parts of an elevator constitute building
				materials within the meaning of the act. The sale of elevator components to
				contractors, builders or landowners for use in the form of real estate is,
				therefore, a retail sale notwithstanding that the purchaser constructs
				therefrom an elevator which ultimately becomes the property of others.
Where the manufacturer of elevator components uses the products
				of his manufacture in the performance of a construction contract, he is defined
				under the statute as the user of such equipment and liable for the tax based
				upon the reasonable and fair market price thereof at the time and place where
				such property is used by him.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.6 - Pumps

Current through Register Vol. 48, No. 6, June 28, 2024
Well pumps when installed become realty along with well casing,
				pump house, well connections, etc. The person who installs the pump is the
				purchaser at retail who must pay sales tax or use tax, as the case may
				be.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.7 - Pump Installed by Contractor

Current through Register Vol. 48, No. 6, June 28, 2024
A contractor who installs a pump for a city or county is
				required to pay tax on his purchase of the pump. The pump is in the same
				category as any other building materials which become affixed to realty. When
				title to a pump installed under contract passes from the contractor to the
				landowner it has ceased to be personal property and has become real
				property.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.8 - Crossties, Timbers, Etc

Current through Register Vol. 48, No. 6, June 28, 2024
Crossties, switch ties, pilings, bridge timber, telephone and
				telegraph poles, and crossarms are building materials, also, materials used in
				the construction of highways, bridges, railroads, telegraph and telephone
				lines, fences and dams fall within the "building materials"
				class.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-314.9 - Contractors Equipment, Useful Life of

Current through Register Vol. 48, No. 6, June 28, 2024
The department has determined that Bulletin F of the Internal
				Revenue Services as revised in 1942, be used to reflect the useful life of
				motor vehicles, machines, machinery, tools, and other equipment and tangible
				personal property brought, imported, or caused to be brought into South
				Carolina for use in constructing, building, or repairing any building, highway,
				street, sidewalk, bridge, culvert, sewer, or water system, drainage or dredging
				system, railway system, reservoir or dam, power plant, pipe line, transmission
				line, tower, dock, wharf, excavation, grading or other improvement or
				structure, or any part thereof.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-315.1 - Newspapers

Current through Register Vol. 48, No. 6, June 28, 2024
Section
				12-36-2120(8)
				 exempts from the measure of the tax the
				gross proceeds of the sale of newspapers.
In order to qualify as a newspaper the publication must meet at
				least the following requirements:
1.
			 It must be commonly and ordinarily considered and accepted as a newspaper by
			 the public it is intended to serve.
2. It must be published at stated short
			 intervals--daily or weekly.
3. It
			 must contain news of general interest and intelligence of current
			 events.
4. It must be printed on
			 newsprint paper.
5. It must not,
			 when its successive issues are put together, constitute a book. Even though the
			 publication may be devoted primarily to matters of specialized interest, such
			 as mercantile, political, religious or sporting, if in addition it qualifies
			 under all of the foregoing it is entitled to be classed as a
			 newspaper.
6. Newspapers do not
			 include magazines, periodicals, bulletins, and other publications.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-315.2 - Newsprint Paper

Current through Register Vol. 48, No. 6, June 28, 2024
Section
				12-36-2120(8)
				 also exempts from the measure of the tax the
				gross proceeds of the sale of newsprint paper. "Newsprint paper" is construed
				to include only that paper on which news is printed by a newspaper. This
				property is specifically exempted when so used.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-316 - Books

Current through Register Vol. 48, No. 6, June 28, 2024
Code Section
				12-36-2120(3)
				 provides exemption for the sale of
				textbooks, books, magazines, periodicals, newspapers, and access to on-line
				information systems used in a course of study in primary and secondary schools
				and institutions of higher learning or for students' use in the school library
				of these schools and institutions and books, magazines, periodicals,
				newspapers, and access to on-line information systems sold to publicly
				supported state, county, or regional libraries.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-316.1 - Textbooks

Current through Register Vol. 48, No. 6, June 28, 2024
The term "textbook" is construed to include only books
				purchased for and used in elementary schools, high schools and institutions of
				higher learning. Included within the definition of textbooks are school library
				books, encyclopedias and dictionaries. Also deemed textbooks when part of a
				prescribed course of study are workbooks, band and sheet music, plays,
				filmstrips, transparencies, motion picture films, audio tapes and records,
				recorded music and periodicals.
Examples of sales subject to the tax are test sheets, answer
				sheets, evaluation criteria, games, albums, pupil cumulative records, guide
				pamphlets, yearbooks, award certificates, diplomas, writing materials, art
				supplies, drafting supplies, easels, projectors, projector lamps and bulbs,
				projection screens and equipment carts or tables, magboards, flannel boards,
				laboratory supplies and equipment, biological supplies incidental to classroom
				instruction, athletic equipment, shop supplies and equipment, record players,
				recorders, computer instructional equipment, manipulated devices, charts, maps
				(including globes), map stands, raw film, blank tapes, and any and all other
				items of tangible personal property used in the classroom or office which do
				not qualify as "textbooks" as hereinabove defined.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-316.2 - Sale of Books to Libraries

Current through Register Vol. 48, No. 6, June 28, 2024
With respect to the exemption for books sold to legally
				established, public supported State, County and/or Regional libraries, the term
				"books" is construed to include filmstrips of a type in general use by
				elementary schools, high schools, and institutions of higher learning. Subject
				to the tax when purchased by libraries are all other properties such as
				furniture, fixtures, typewriters, projectors, turntables, globes, stationery,
				index cards, files, shelving, and visual aids.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-317.1 - Finance Companies and Other Lending Institutions

Current through Register Vol. 48, No. 6, June 28, 2024
Finance companies and other lending institutions are deemed to
				be retailers when making sales of tangible personal property physically or
				constructively repossessed in claim and delivery proceedings, by peaceful
				surrender, or by any other means whatsoever.
The measure of the tax is the total amount proceeding or
				accruing from such sales whether the sale is for cash or is secured by a new
				conditional sales contract. On assumption agreements the amount to be included
				in gross proceeds of sales is the balance in default by the borrower and any
				down-payment made by the person assuming the borrower's obligation in exchange
				for the repossessed property. This is irrespective of the mechanics used by
				lenders in transferring title to repossessed property to new
				owners.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-317.2 - Retailers

Current through Register Vol. 48, No. 6, June 28, 2024
Sales of tangible personal property physically or
				constructively repossessed by a retailer through the mechanics of claim and
				delivery proceedings, by peaceful surrender or otherwise are subject to the
				sales tax when resold either for cash or on new conditional sales
				contracts.
On assumption agreements the amount to be included in gross
				proceeds of sales is the balance in default on conditional sales contracts held
				by retailers and any down-payment made by the person assuming the former
				purchaser's obligation in exchange for the repossessed property. This is
				irrespective of the mechanics used by such retailers in transferring title to
				repossessed property to new owners.
Conversely, no tax is due by a retailer when under the terms of
				recourse contracts with finance companies and other lending agencies it becomes
				necessary for the retailer to find a buyer to assume the balance owed a lender
				because of default on the part of the borrower.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-318 - Gross Proceeds of Sales and Sales Price

Current through Register Vol. 48, No. 6, June 28, 2024
"Gross proceeds of sales" is the basis for calculating the
				sales tax and "sales price" is the basis for calculating the use tax. There are
				many issues that arise from determining what is or is not included in the basis
				for the tax. The following will address some of these issues.
South Carolina Code of Regulations › Chapter 117 - DEPARTMENT OF REVENUE › Article 11 - SALES AND USE TAX REGULATIONS › Section 117-318.2 - Carrying and Finance Charges

Current through Register Vol. 48, No. 6, June 28, 2024
When the seller has an established price for the goods he
				sells, that price is the amount to be included in gross proceeds of sales even
				though the established price may include an amount to cover a carrying charge.
				Where they seller has an established cash price and when selling on an extended
				payment basis, adds a separate charge for financing, the additional charge is
				not to be included in gross proceeds of sales.
In no event may finance or carrying charges be deducted from
				gross proceeds of sales when not shown as a separate item in the seller's
				billing to his customer.