Business License Tax Reform Act

This summary includes only the parts of the bill that apply to municipalities.

Staff Contact:
Reba Campbell
803.933.1245
RCampbell@masc.sc
None

​Rep. Rick Quinn introduced H3490 on February 3, 2015.

Sponsors: Quinn, Merrill, Atwater, Rivers, Erickson, Tallon, Loftis, Taylor, Putnam, Goldfinch, Ballentine, Bedingfield, Finlay, Hamilton, Hardwick, Herbkersman, Huggins and Sandifer

  • Eliminates the requirement that the tax be based on gross revenue.
  • Provides the tax must be uniformly applied but is capped at $100.
  • Eliminates the business license tax on rental income to the building owner if the tenant is paying a business license tax.
  • Requires the tax to be paid only in the county or municipality where the business" income tax return is addressed.
  • Requires the Department of Revenue to collect the tax and remit it to the city from which the tax was paid and allows DOR to keep 1 percent of collections to defray administrative costs.
  • Establishes July 1 as a standard due date and requires DOR to allow online payments.
  • Requires the city to submit a report to the General Assembly by December 1 annually that includes the amount of tax received from DOR and the expenditures made from revenue derived from the business license tax.