Opinion ID: 1290225
Heading Depth: 1
Heading Rank: 2

Heading: Use of Tax Revenue for Undeclared Purpose

Text: Article X, Section 5 of the South Carolina Constitution requires the taxing authority to state the public purpose to which the proceeds of a tax levy will be applied. Wolper argues that ad valorem taxes, levied for county and educational purposes, will be diverted for retirement of the redevelopment debt, a purpose not envisioned or authorized by the tax levy. Article X, Section 5 applies only to tax levies, and not to legislation which creates no new tax. The act creates no new scheme of taxation; rather, it authorizes the increased increments of an existing tax to be designated for redevelopment purposes. Article X, Section 5 has no application here. Cox v. Bates , 237 S.C. 198, 116 S.E. (2d) 828 (1960); State ex rel. Edwards v. Osborne , 195 S.C. 295, 11 S.E. (2d) 260 (1940).