South Carolina State Tax Guide
South Carolina state tax rates and rules for income, sales, property, fuel, cigarette, and other taxes that impact residents.


South Carolina state tax: Overview
South Carolina state tax is relatively low for homeowners, given property taxes are lower than in most other states. South Carolina is also a state where you'll pay less income tax this year. That's because the income tax rate for the highest state tax bracket was reduced by 0.5% for 2023.
Not all South Carolina state taxes are low, however. For example, the gas tax in South Carolina is higher than in many other states.
[Data for this state tax guide was gathered from a number of sources including the Census Bureau, the state’s government website, the Sales Tax Handbook, and the Tax Foundation. Property taxes are cited as a rate percentage rather than the assessed value.]

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
South Carolina income taxes
South Carolina's top income tax bracket was recently reduced from 7% to 6.5%. This tax rate could be reduced further through 2027, but this possible reduction is based on South Carolina's tax revenue over the next few years.
South Carolina Income tax Range
Up tp $3,200 | 0% |
$3,200 to $16,040 | 3% |
More than $16,040 | 6.5% |
South Carolina tax on retirement income: Social Security, Military retirement income, and Railroad retirement benefits are fully exempt.
South Carolina sales tax
South Carolina's state sales tax rate is 6%. Localities can add as much as 3%, and the average combined rate is 7.499%, according to the Tax Foundation.
- Groceries are tax-exempt.
- Prescription drugs are tax-exempt.
- Women's menstrual products are taxable.
- Diapers are taxable.
How much are property taxes in South Carolina?
In South Carolina, the average effective tax rate is 0.56%, which is lower than in most states. However, inflation is causing property taxes to increase in some areas, such as in Lexington and Horry counties.
South Carolina Property Tax Breaks for Retirees
For qualified homeowners 65 and older (or for those with a permanent and total disability), South Carolina's homestead exemption allows the first $50,000 of a property's fair market value to be exempt from local property taxes.
South Carolina gas taxes (motor fuel)
Gasoline: $0.2875 per gallon
Diesel: $0.2875 per gallon
South Carolina taxes on alcohol and tobacco
Cigarettes | $0.57 per pack |
Other tobacco products | 5% of manufacturer's price |
Beer | $0.77 per gallon |
Wine | $0.90 per gallon |
Liquor | $2.72 per gallon |
South Carolina estate and inheritance taxes
South Carolina doesn't have an estate or an inheritance tax.
Related Content

Katelyn has more than 6 years’ experience working in tax and finance. While she specializes in tax content, Katelyn has also written for digital publications on topics including insurance, retirement and financial planning and has had financial advice commissioned by national print publications. She believes that knowledge is the key to success and enjoys helping others reach their goals by providing content that educates and informs.
-
Year-End Tax Planning for a Financially Healthier Retirement
Getting your tax ducks in a row for the end of the year can decrease your tax liability and make the most of your income, now and in retirement.
By Ryan Marston, Investment Adviser Representative Published
-
Where to Start Financially After a Life-Changing Diagnosis
Dealing with an illness, yours or your child’s or that of another loved one, is hard enough without adding financial duress. Here are some considerations and suggestions for covering expenses.
By Stephen B. Dunbar III, JD, CLU Published
-
Capital Gains Tax on Real Estate and Home Sales
Capital Gains Tax Selling your home or a rental property? Here are important capital gains tax rules to keep in mind.
By Joy Taylor Published
-
Another Big IRS Tax Change for Online Sellers
Selling Online Just in time for the holidays, the IRS is delaying a significant tax 1099-K reporting requirement for 2023.
By Kelley R. Taylor Last updated
-
Tax-Deductible Black Friday Deals for the Self-Employed
Black Friday Deals Some Black Friday deals can help the self-employed save on business expenses and taxes.
By Katelyn Washington Published
-
Did You Overpay for Thanksgiving Dinner?
Thanksgiving 2023 marks the second most expensive Thanksgiving dinner in history. But how much it cost depended on what you bought, where you live — and whether your state taxes groceries.
By Katelyn Washington Last updated
-
Most Expensive States for Retired Military Service Members
Military Retirement Veterans can keep more of their military retirement pay by avoiding these high-taxed, most expensive states for retired service members.
By Katelyn Washington Last updated
-
2023 401(k) Contribution Deadline Coming Soon
401(k) Contributions Year-end is the deadline for making max 401(k) contributions that can increase your savings for retirement and help lower your tax bill.
By Kelley R. Taylor Last updated
-
10 Worst States To Retire in if You Hate Paying Taxes
State Taxes Relatively high tax burdens make these places the worst states to retire.
By Katelyn Washington Last updated
-
Charitable Donations: What To Know About Scams and Taxes Before You Give
Donations Giving to a charity can make you feel good and lower your tax bill, but the IRS says to beware of fake charities.
By Katelyn Washington Last updated