South Carolina Sales Tax in 2026: Local Rates, Groceries, the $500 Max Tax, Retail License and Filing

If you're opening a shop in Charleston, running a restaurant in Columbia, or shipping products to South Carolina customers, this guide gives you the 2026 sales tax rules in one place. It covers the 6% state rate, the county taxes that push the total as high as 9%, how groceries are taxed, the $500 maximum tax on boats and RVs, the $50 retail license, filing deadlines and the discount you keep for paying on time. Rates come from the South Carolina Department of Revenue's municipal rate chart and its local tax listings.

Quick answer

South Carolina's state sales tax rate is 6%. Counties add local taxes, usually 1% each, so combined rates run from 6% to 9%. Charleston and Myrtle Beach are 9%, Columbia is 8% and Greenville is 6%. You need a $50 retail license per location before your first sale.

• Groceries are exempt from the state tax but may carry 1% or 2% in local tax

• Tax on aircraft, boats, RVs and certain trailers is capped at $500 per sale

• Returns are due by the 20th of the following month; on-time filers keep a 2% or 3% discount

• Shoppers aged 85 and older get a 1% cut in state sales tax

• Remote sellers register after more than $100,000 in South Carolina sales in a calendar year

How South Carolina's sales tax rate is built

South Carolina charges a 6% sales tax on retail sales of tangible goods and a few listed services, and the same rate as use tax when you buy taxable items without paying South Carolina tax. In the statute, the 6% is built from several pieces, including a 1% piece that's credited to the state's Education Improvement Act fund. That structure matters for one group of shoppers: people aged 85 and older don't pay that 1% on purchases for their own use.

Local taxes sit on top. Unlike states where cities set their own rates, South Carolina's local sales taxes are almost all county-wide, and each needs voter approval. The Department of Revenue lists seven kinds:

• Local Option Tax (1%): used to cut property taxes, in more than 30 counties including Charleston, Richland and Berkeley.
• Capital Projects Tax (1%): funds roads, bridges and public buildings for a set period.
• Education Capital Improvement Tax (1%): funds school construction, in counties such as Charleston, Berkeley, Horry and Anderson.
• School District Tax (1%): authorized county by county by the General Assembly, currently in Dillon, Marlboro and Lexington.
• Transportation Tax (up to 1%): roads and transit, in Richland, Charleston, Berkeley, Dorchester, Horry and Jasper.
• Tourism Development Tax (1%): only in Myrtle Beach.
• County Green Space Tax (up to 1%): authorized in 2022, but no county has adopted it yet.

The Catawba Indian Reservation in York County has its own 7% tribal sales tax, which the department collects.

Several of these taxes don't apply to groceries, which is why the grocery rate varies by place. And none of them are self-administered: you report them all on the state return using the Schedule of Local Taxes (ST-389), and the department passes the money back to the counties.

Charleston, Columbia and city rates in 2026

The department's ST-575 chart, revised February 5, 2026, lists the total rate, the accommodations rate and the grocery rate for every municipality. Here are the places most searchers ask about.

Of the roughly 340 municipal lines on the chart, most sit at 7% or 8%, about 30 are at 9% and about 20 have no local tax at all. Greenville and Hilton Head Island have no local sales tax at all on the chart, which surprises people moving from Charleston or Columbia.

What changed in 2026

Local taxes in South Carolina usually start on May 1 after a November vote, so most changes land in spring. In 2026, the department lists three: Lexington County extended its School District Tax from March 1, keeping its rate at 7%; Aiken County reimposed its Capital Projects Tax on May 1, keeping its rate at 8%; and Williamsburg County added a new Capital Projects Tax on May 1, raising its rate to 8%. Because capital projects taxes end once their projects are funded, check the department's list each spring for taxes that are about to stop.

The chart also notes a common trap: if you deliver inside the limits of an incorporated town, you use that town's code, and otherwise the county's unincorporated code. The department warns that a mailing address isn't a reliable guide to whether a location is inside a municipality.

Groceries, prepared food and other exemptions

Unprepared food that can legally be bought with SNAP benefits is exempt from the 6% state sales tax. That covers most groceries, including soft drinks and candy, which SNAP allows. It excludes hot food, food sold for eating on the premises, alcohol, tobacco and non-food items like paper goods and pet food.

Local taxes treat groceries differently, depending on which taxes a county levies. The capital projects, education capital improvement and school district taxes exempt unprepared food, and so do the transportation taxes in Horry and Jasper counties. The local option tax and most other transportation taxes do apply to groceries. That's why the department's chart shows grocery tax of 0% in Greenville and Myrtle Beach, 1% in Florence and Sumter, and 2% in Charleston and Columbia.

Prepared food is taxable at the full combined rate. On top of that, many cities and counties charge a hospitality tax on prepared meals and drinks, and an accommodations tax on hotel stays, which they collect themselves. These don't appear on the department's chart, so ask your city's business license office about them before you open a restaurant or rental.

Other exemptions include prescription drugs, sales for resale, many sales to the federal government, and items used directly in manufacturing. Installation charges on goods you sell aren't taxable if they're stated separately on the invoice and reasonable based on your records; if they're lumped into the price, the whole amount is taxed. Rentals and leases of goods are taxable, and so are communications services such as phone, fax, streaming and cloud-based services.

The 85-and-older reduction

Shoppers aged 85 or older pay 1% less in state sales tax on items bought for their own use, if they ask for the reduction and show proof of age at the time of sale. Local taxes still apply in full. Retailers must post a sign at each entrance or register telling customers about the reduction, and can be fined up to $100 a month for not posting it.

The $500 maximum tax

South Carolina caps the sales tax on certain large purchases. Under S.C. Code § 12-36-2110, the most you pay on each sale or long-term lease of these items is $500:

• aircraft, including kit aircraft;
• boats and watercraft motors;
• trailers and semitrailers pulled by a truck tractor, and horse trailers;
• recreational vehicles, including campers, travel trailers, park models, motor homes and fifth wheels;
• self-propelled light construction equipment with compatible attachments, up to 160 net horsepower.

The cap was $300 for decades and rose to $500 on July 1, 2017, with the extra money going to the state's Infrastructure Maintenance Trust Fund. Leases qualify only if they're in writing and run for more than 90 days; tax is collected on each payment until it reaches the cap.

Motor vehicles and motorcycles are on the statutory list, but those titled in South Carolina are subject to the Infrastructure Maintenance Fee paid to the Department of Motor Vehicles instead, so dealers don't collect sales tax on them. Dealers that sell max-tax items need a separate Maximum Tax License, which also costs $50.

Manufactured homes have their own formula in the same section, based on 65% of the price after any trade-in, so they aren't simply capped at $500.

South Carolina sales tax at a glance (2026)

6%

State sales and use tax

9%

Highest combined rate

Charleston, Mount Pleasant, Myrtle Beach

$500

Maximum tax on boats, RVs, aircraft

$50

Retail license per location

one-time fee

Worked examples in dollars

A Charleston electronics store. A customer buys a $1,000 television. Tax at 9% is $90. If the customer is 86 and asks for the senior reduction, the state portion drops by 1%, and the tax is $80.

A Charleston grocery run. A family spends $150 on groceries and $12 on hot food from the deli. The groceries are exempt from the state tax but pay 2% in local tax, or $3. The hot food is taxed at 9%, or $1.08. The same grocery bill in Greenville would carry no tax at all.

A boat sale in Myrtle Beach. A buyer pays $40,000 for a boat. At 6%, the state tax would be $2,400, but the maximum tax caps it at $500. Check the department's local tax guidance for how any county taxes apply to the sale.

A Columbia boutique delivering to Greenville. A Columbia shop sells a $300 dress and delivers it to a customer in Greenville in its own van. Delivery in the retailer's vehicle happens at the customer's location, so the shop charges Greenville's 6%, or $18, instead of Columbia's 8%.

The timely-filing discount. A Spartanburg shop owes $4,000 in tax each month. Filing and paying electronically by the 20th, it keeps 2%, or $80 a month and $960 a year. A larger store owing $20,000 a month keeps $400 a month until it reaches the $3,100 yearly cap, in the eighth month of the July-to-June fiscal year.

Try it — Charleston sales tax on $1,000

Purchase AmountState

Alabama (4%)Alaska (0%)Arizona (5.6%)Arkansas (6.5%)California (7.25%)Colorado (2.9%)Connecticut (6.35%)Delaware (0%)Florida (6%)Georgia (4%)Hawaii (4%)Idaho (6%)Illinois (6.25%)Indiana (7%)Iowa (6%)Kansas (6.5%)Kentucky (6%)Louisiana (5%)Maine (5.5%)Maryland (6%)Massachusetts (6.25%)Michigan (6%)Minnesota (6.875%)Mississippi (7%)Missouri (4.225%)Montana (0%)Nebraska (5.5%)Nevada (6.85%)New Hampshire (0%)New Jersey (6.625%)New Mexico (4.875%)New York (4%)North Carolina (4.75%)North Dakota (5%)Ohio (5.75%)Oklahoma (4.5%)Oregon (0%)Pennsylvania (6%)Rhode Island (7%)South Carolina (6%)South Dakota (4.2%)Tennessee (7%)Texas (6.25%)Utah (6.1%)Vermont (6%)Virginia (5.3%)Washington (6.5%)West Virginia (6%)Wisconsin (5%)Wyoming (4%)

Local / County Rate

Purchase Amount$1,000.00

State Tax (6.25%)$62.50

Local Tax (2%)$20.00

Combined Rate8.25%

Total Amount (Including Tax)$1,082.50

Open the full Sales Tax Calculator (PDF, save, compare)

Which rate to charge

Local tax follows the point of delivery: where title or possession passes to the customer. The department's FAQ sets out the rules. With FOB destination terms, unspecified terms, or delivery in your own vehicle, the sale happens at the customer's location. With FOB shipping point terms, or when title passes but you keep possession, the sale happens at your location. A customer who picks up in your shop pays your shop's rate.

Retailers with several locations must keep records that clearly show which sales belong to which location, and must report local taxes by the county and municipality where delivery happens.

Picking the right South Carolina local rate

Step 1

Customer picks up in store → your store's rate

Step 2

You deliver in your own vehicle → customer's location

Step 3

Shipped FOB destination or no terms → customer's location

Step 4

Shipped FOB shipping point → your location

Step 5

Report by county and municipality code

On the ST-389 schedule

Getting a retail license

Anyone who sells tangible goods at retail in South Carolina needs a retail license before the first taxable sale. That includes internet-only sellers shipping to South Carolina addresses and people who make only occasional sales. The license costs a one-time, non-refundable $50 for each location and doesn't expire, though you must update it if you move.

You apply through the Business Tax Application on MyDORWAY, the department's online portal, and pay the fee before you submit, or the application won't be processed. A retail license isn't a business license: most counties and cities issue their own business licenses separately. If you're forming a company, our South Carolina LLC guide covers that step.

Some businesses need other licenses from the department. Artists and crafters who sell only at craft shows and festivals more than four times a year can get a $20 Artist & Craftsman License, but need the regular retail license if they also sell online or elsewhere. Hotels, campgrounds and short-term rentals need an Accommodations Tax License for $50, because transient lodging is taxed at 7% state tax plus local taxes. Dealers in boats, RVs and aircraft need the Maximum Tax License.

Before your first South Carolina sale

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• Form your LLC or corporation (if using one) and get a federal EIN
• Apply for a $50 retail license on MyDORWAY for each location
• Get your county or city business license separately
• Look up the total and grocery rates for each location on ST-575
• Post the 85-and-older sales tax sign at each entrance or register
• Ask your city about hospitality and accommodations taxes it collects directly

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Out-of-state sellers

A remote seller with no physical presence in South Carolina must get a retail license and collect tax once its gross revenue from sales into the state exceeds more than $100,000 in the previous or current calendar year. The count includes tangible goods, products delivered electronically and services delivered into South Carolina. There's no transaction-count test.

A seller has physical nexus, and must register regardless of sales, if it or a subsidiary keeps an office, warehouse, sales house or other place of business in the state, or has an agent operating there, even temporarily. A remote seller that closes its license and later needs it again pays another $50.

Marketplace facilitators collect South Carolina tax on the sales they facilitate, so sellers whose only South Carolina sales go through Amazon, Etsy or eBay generally don't need their own license. If you're unsure whether you owed tax for earlier years, the department's voluntary disclosure program lets you come forward before you apply.

Filing, paying and the discount

You file the State Sales and Use Tax Return (ST-3) with the Schedule of Local Taxes (ST-389), preferably on MyDORWAY, which updates local rates automatically and lets businesses with several locations file one consolidated return. Paper filing is only allowed if your liability is under $15,000.

Returns and payment are due by the 20th of the following month, whichever filing frequency you're on. Monthly filing is the default. You can ask to file quarterly or annually by sending a request through MyDORWAY or by email, but you need the department's approval. Seasonal businesses use the monthly schedule for the months they have sales.

South Carolina gives a discount for filing and paying on time. Under S.C. Code § 12-36-2610, you keep 3% of the tax on returns showing less than $100 due and 2% on returns of $100 or more. The total discount is capped at $3,000 per state fiscal year, or $3,100 if you file electronically. Pay a day late and you lose the discount for that return.

Tax Free Weekend

South Carolina's sales tax holiday starts at 12:01 a.m. on the first Friday in August and runs through Sunday. In 2026 it ran August 7 to 9. Clothing and shoes, school supplies, computers, printers and software, and bed and bath items such as sheets, towels and shower curtains were exempt from both state and local tax, with no price limit. Retailers must honor the holiday and report the exempt sales as a deduction on their August return.

A monthly filer's calendar for late 2026

October 20

September monthly return and July–September quarterly return due

November 20

October return due

November

Local referendums that may add taxes from May 1, 2027

December 21

November return due (December 20 is a Sunday)

January 20, 2027

December monthly, fourth-quarter and annual returns due

Common mistakes and how to fix them

Charging the state tax on groceries. The 6% state tax doesn't apply to SNAP-eligible food. Set groceries up so only the local grocery rate for your location is charged.

Using the county rate inside a town, or vice versa. Towns and unincorporated areas have separate codes on ST-389, and Columbia and Charleston each straddle two counties. Look up the exact address, not the mailing address.

Missing new or expired local taxes. Capital projects taxes start and end on set dates. Check the department's local tax page each spring, especially around May 1.

Skipping the 85-and-older sign. The sign is required at each entrance or register, and the statute sets a penalty of up to $100 for each month it's missing.

Forgetting city-collected taxes. Restaurants and hotels often owe a city or county hospitality or accommodations tax that isn't on the state return. Register with your local government before opening.

Selling online without a license. Online-only South Carolina sellers need a retail license too. If you've been selling without one, apply now and consider voluntary disclosure for past periods.

Official links

• SCDOR — Sales TaxDue dates, FAQs and returns
• Local Sales TaxesEvery local tax and recent changes
• ST-575 rate chart by municipalityTotal, accommodations and grocery rates
• Retail License$50 per location; other licenses
• Remote SellersThe $100,000 threshold
• S.C. Code Chapter 12-36Sales tax law, max tax and discount

What to do next

Apply for your $50 retail license on MyDORWAY before you open, look up your location on the ST-575 chart for both the general and grocery rates, and set a reminder a few days before the 20th so you keep the discount. Use the sales tax calculator to check receipts and our how to calculate sales tax guide to back tax out of a tax-included price. Forming a company first? Start with our South Carolina LLC guide, and compare our Georgia sales tax guide if you sell across the Savannah River.

This is general information, not legal or tax advice — confirm on the official source or with a professional.

Frequently asked questions

What is the South Carolina sales tax rate in 2026?

The state rate is 6%. Counties can add local taxes of usually 1% each with voter approval, so combined rates on the Department of Revenue's municipal chart run from 6% in places with no local tax, such as Greenville and Hilton Head Island, to 9% in Charleston, Mount Pleasant and Myrtle Beach. Most places are at 7% or 8%.

What is the sales tax rate in Charleston, SC?

The City of Charleston and the rest of Charleston County charge 9%: the 6% state rate plus a 1% Education Capital Improvement tax, a transportation tax and a local option tax. Groceries are exempt from the state tax but pay 2% in local transportation and local option taxes. Many cities also collect a separate hospitality tax on prepared food themselves.

Are groceries taxed in South Carolina?

Unprepared food that can be bought with SNAP benefits is exempt from the 6% state tax. Some local taxes still apply: the Department of Revenue's chart shows grocery tax of 0% in places such as Greenville, Myrtle Beach and Rock Hill, 1% in places with only a local option tax, and 2% in Charleston and Columbia. Prepared food, candy and soft drinks follow the SNAP rules.

What is South Carolina's $500 max tax?

State law caps the sales tax on certain big-ticket items at $500 per sale. It covers aircraft, boats and watercraft motors, trailers pulled by truck tractors, horse trailers, recreational vehicles and self-propelled light construction equipment up to 160 horsepower. The cap rose from $300 on July 1, 2017. Cars and motorcycles titled in South Carolina pay the DMV's Infrastructure Maintenance Fee instead.

How much is a South Carolina retail license?

A retail license costs a one-time, non-refundable $50 for each business location and doesn't expire, though you must update it if you move. You need one before your first taxable sale, including online-only sales shipped to South Carolina addresses. Artists and crafters who sell only at shows can get a $20 Artist & Craftsman License instead.

When is South Carolina sales tax due?

Returns and payments are due by the 20th of the following month after the period ends, for monthly, quarterly and annual filers alike. Monthly is the default; quarterly or annual filing needs the department's approval. Filing on time earns a discount of 2% of the tax (3% on returns under $100), capped at $3,100 a fiscal year for electronic filers.

Sources & verification

Figures on this page were checked against the sources below when it was last reviewed on 9 October 2026. Each rate and limit is stored once with its own official source and review date, and official update channels are monitored daily so changes are picked up. How we verify

1. 1.Sales Tax (due dates, retail license FAQs, delivery and local tax rules, 85+ reduction) — South Carolina Department of Revenue · accessed 9 October 2026
2. 2.Local Sales Taxes — South Carolina Department of Revenue · accessed 9 October 2026
3. 3.ST-575 — South Carolina Sales Tax Rate by Municipality (Rev. 2/5/26) — South Carolina Department of Revenue · accessed 9 October 2026
4. 4.Licensing (Retail License) — South Carolina Department of Revenue · accessed 9 October 2026
5. 5.Remote Sellers — South Carolina Department of Revenue · accessed 9 October 2026
6. 6.S.C. Code Title 12, Chapter 36 (§§ 12-36-2110, 12-36-2120, 12-36-2610, 12-36-2620) — South Carolina Legislature · accessed 9 October 2026
7. 7.South Carolina's 2026 Tax Free Weekend starts Friday, August 7 — South Carolina Department of Revenue · accessed 9 October 2026