retail establishment, and qualifying technology intensive facilities, and banks as defined pursuant to this title are allowed an annual jobs tax credit as provided in this section. In addition, taxpayers that operate retail facilities and servicerelated industries qualify for an annual jobs tax credit in counties designated as least developed or distressed, and in counties that are under developed and not traversed by an interstate highway Tier IV. As used in this section, ‘corporate office’ includes general contractors licensed by the South Carolina Department of Labor, Licensing and Regulation. Credits pursuant to this section may be claimed against income taxes imposed by Section 126510 or 126530, bank taxes imposed pursuant to Chapter 11 of this title, and insurance premium taxes imposed pursuant to Chapter 7 of, Title 38, and are limited in use to fifty percent of the taxpayer’s South Carolina income tax, bank tax, or insurance premium tax liability. In computing a tax payable by a taxpayer pursuant to Section 38790, the credit allowable pursuant to this section must be treated as a premium tax paid pursuant to Section 38720. (B) The department shall rank and designate the state’s counties by December thirtyfirst each year using data from the South Carolina Employment Security Commission and the United States Department of Commerce. The county designations are effective for taxable years that begin in the following calendar year. A county’s designation may not be lowered in credit amount more than one tier in the following calendar year. The counties are ranked using the last three completed calendar years of per capita income data and the last thirtysix months of unemployment rate data that are available on November first, with equal weight given to unemployment rate and per capita income as follows: (1)(a) The twelve counties with a combination of the highest unemployment rate and lowest per capita income are designated distressed Tier IV counties. Notwithstanding any other provision of law, no more than twelve counties may be designated or classified as distressed Tier IV and notwithstanding any other provision of this section, a county may be designated as distressed Tier IV only by virtue of the criteria provided in this subitem. (b) A category with the same criteria as provided in subitem (a) of this item is designated least developed county which consists of underdeveloped counties otherwise eligible for this category. (2) The twelve counties with a combination of the next highest unemployment rate and next lowest per capita income are designated underdeveloped Tier III counties.
interview relevant investigators and other university personnel regarding proposals and shall have access to collected scientific and technical reviews as well as other materials germane to the proposed projects. The onsite review team shall evaluate the proposals using an approved set of metrics; each recommendation must include a detailed narrative which explains the onsite review team’s recommendations; and (3) a presentation of findings. The onsite review team shall present its findings to the review board, which shall make final decisions on awards. The onsite review team shall recommend an appropriate level of funding to achieve successfully the stated goals of each project. The review board shall consider these recommendations in determining award amounts for each project. (C) The Coordinating Council for Economic Development annually may award onethird of the endowment based upon its own review process. It may submit its own application to the three research universities, issue its own annual application solicitation, provide its own postaward oversight, and the provisions contained in Sections 27550 and 27560 do not apply. The matching requirement contained in Sections 27590 and 275110 do not apply when the Secretary of Commerce certifies to the review board that the endowed professor will directly support a business or industry in South Carolina which will invest within a oneyear period at least one hundred million dollars in capital investment at a single site after January 1, 2010. B. The Coordinating Council for Economic Development may only make awards from funds appropriated from the South Carolina Lottery Account from Fiscal Year 2011 forward, together with any accrued interest earnings which have not already been awarded by the review board. The Coordinating Council’s awards are subject to the limitations contained in Section 27530 regarding full funding of all statesupported scholarships. The Coordinating Council for Economic Development shall annually provide by March fifteenth of each year to the Chairman of the Senate Finance committee and the House Ways and Means committee a report detailing the awards that it made in the prior year under the program.” SECTION 3. Section 27550(A) of the 1976 Code, as last amended by Act 355 of 2008, is further amended to read: “(A) An application to the review board for an award from the endowment shall:
job requiring a minimum of twenty hours of an employee’s time a week for a year in which the employee was hired initially for or transferred to the South Carolina facility. (5) ‘Manufacturing facility’ means an establishment where tangible personal property is produced or assembled. (6) ‘Processing facility’ means an establishment that prepares, treats, or converts tangible personal property into finished goods or another form of tangible personal property. The term includes a business engaged in processing agricultural, aquacultural, or maricultural products and specifically includes meat, poultry, and any other variety of food processing operations. It does not include an establishment in which retail sales of tangible personal property are made to retail customers. (7) ‘Warehousing facility’ means an establishment where tangible personal property is stored but does not include any establishment where retail sales of tangible personal property are made to retail customers. (8) ‘Distribution facility’ means an establishment where shipments of tangible personal property are processed for delivery to customers. The term does not include an establishment where retail sales of tangible personal property are made to retail customers on more than twelve days a year except for a facility which processes customer sales orders by mail, telephone, or electronic means, if the facility also processes shipments of tangible personal property to customers and if at least seventyfive percent of the dollar amount of goods sold through the facility are sold to customers outside of South Carolina. Retail sales made inside the facility to employees working at the facility are not considered for purposes of the twelveday and seventyfive percent limitation. For purposes of this definition, ‘retail sale’ and ‘tangible personal property’ have the meaning provided in Chapter 36 of this title. (9) ‘Research and development facility’ means an establishment engaged in laboratory, scientific, or experimental testing and development related to new products, new uses for existing products, or improving existing products. The term does not include an establishment engaged in efficiency surveys, management studies, consumer surveys, economic surveys, advertising, promotion, banking, or research in connection with literary, historical, or similar projects. (10) ‘Corporate office facility’ means a corporate headquarters that meets the definition of a ‘corporate headquarters’ contained in Section 1263410(J)(1). The corporate headquarters of
filled. Determination of the required number of jobs is in accordance with the monthly average described in subsection (F). (14) ‘Technology intensive facility’ means: (a) a facility at which a firm engages in the design, development, and introduction of new products or innovative manufacturing processes, or both, through the systematic application of scientific and technical knowledge. Included in this definition are the following North American Industrial Classification Systems, NAICS, codes published by the Office of the Management and Budget of the federal government: (i) 5114 database and directory publishers; (ii) 5112 software publishers; (iii) 54151 computer systems design and related services; (iv) 541511 custom computer programming services; (v) 541512 computer systems design services; (vi) 541710 scientific research and development services; (vii) 9271 space research and technology; or (b) a facility primarily used for one or more activities listed under the 2002 version of the NAICS Codes 51811 (Internet Service Providers and Web Search Portals). (15) ‘Extraordinary retail establishment’ as defined in Sections 12216520 and 12216590. (NM) Except for employees employed in distressed Tier IV counties, the maximum aggregate credit that may be claimed in any tax year for a single employee pursuant to this section and Section 1263470(A) is five thousand five hundred dollars.” SECTION 13. Section 1263375 of the 1976 Code, as last amended by Act 386 of 2006, is further amended to read: “Section 1263375. (A)(1) A taxpayer engaged in manufacturing, warehousing, or distribution which uses port facilities in this State and which increases its port cargo volume at these facilities by a minimum of five percent in a single calendar year over its base year port cargo volume is eligible to claim a an income tax credit or a credit against employee withholding in the amount determined by the Coordinating Council for Economic Development (council) State Ports Authority Board. (2) The maximum amount of tax credits allowed to all qualifying taxpayers pursuant to this section may not exceed eight million dollars for each calendar year and credits against employee
SECTION 34. Section 124450(A)(1)(c)(i) of the 1976 Code, as last amended by Act 69 of 2003, is further amended to read: “(i) if real property is constructed for the fee or is purchased in an arm’s length transaction, the fair market value of real property is determined by using the original income tax basis for South Carolina income tax purposes without regard to depreciation, otherwise the property must be reported at its fair market value for ad valorem property taxes as determined by appraisal. The fair market value estimate established for the first year of the fee remains the fair market value of the real property for the life of the fee. The county and the sponsor or sponsor affiliate may instead provide in the fee agreement or any amendment thereto that any real property subject to the fee shall be reported at its fair market value for ad valorem property taxes as determined by appraisal as if such property were not subject to the fee;” SECTION 35. Section 1244110(2) of the 1976 Code, as last amended by Act 69 of 2003, is further amended to read: “(2) property which has been subject to property taxes in this State, but which has never been placed in service in this State, or which was placed in service in this State pursuant to an inducement agreement or other preliminary approval by the county prior to execution of the fee agreement pursuant to Section 124440(E), may qualify as economic development property;” SECTION 36. Section 1244130(A) of the 1976 Code, as last amended by Act 384 of 2006, is further amended to read: “(A) Except as otherwise provided in Section 124430(1819), to be eligible for the fee, a sponsor and each sponsor affiliate must invest the minimum investment as defined in Section 124430(14). For an enhanced investment pursuant to Section 124430(7), a single sponsor must make the investment, unless otherwise provided in that section. The county and the sponsors who are part of the fee agreement may agree that investments by other sponsor affiliates within the investment period qualify for the fee regardless of whether the sponsor affiliate was part of the fee agreement, except that each new sponsor affiliate must invest at least the minimum investment or the enhanced investment if applicable in the project, unless the project is a manufacturing, research and development corporate office, or distribution facility as provided in