South Carolina state tax: Overview
South Carolina state tax is reasonable (compared to most other states) when it comes to property taxes. Additionally, the Palmetto State reduced the tax rate for its top income tax bracket for the 2024 tax year.
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.]
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South Carolina income taxes
South Carolina's top income tax bracket was previously (last year) reduced 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.
So, if you are making an estimated tax payment for 2024, the state's Department of Revenue says the Individual Income tax rate range in South Carolina is from 0% to a top rate of 6.2% for the 2024 tax year.
South Carolina income taxes in retirement: Social Security, Military retirement income and Railroad retirement benefits are fully exempt.
- Social Security: Not taxable
- Pensions: Partially taxable
- 401(k) and IRA Distributions: Partially taxable
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 7.5%, according to the Tax Foundation.
- Groceries: Exempt
- Clothing: Taxable
- Prescription drugs: Exempt
- Women's menstrual products: Taxable
- Diapers: Taxable
How much are property taxes in South Carolina?
In South Carolina, the average effective tax rate is 0.57%, which is lower than in most states.
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
Gasoline: $0.16 per gallon
Diesel: $0.16 per gallon
Source: Sales Tax Handbook
South Carolina taxes on alcohol and tobacco
| Product | Tax Amount |
|---|---|
| Cigarettes | $0.57 per pack |
| Other tobacco products | 5% of manufacturer's price |
Source: Sales Tax Handbook
| Product | Tax Amount |
|---|---|
| Beer | $0.77 per gallon |
| Wine | $0.90 per gallon |
| Liquor | $2.72 per gallon |
Source: Sales Tax Handbook
South Carolina estate and inheritance taxes
South Carolina doesn't have an estate or an inheritance tax.
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