The Business Narrative: Tax Changes in South Carolina

Local Sales Tax Adjustments in Three Counties

Significant changes in local sales taxes are taking place in South Carolina, starting March 1, 2025. Beaufort County will see the expiration of its Green Space Sales Tax, whereas Chesterfield and Jasper counties will implement new local taxes. This transition comes as per an announcement by the South Carolina Department of Revenue.

Expiration of Beaufort County’s Green Space Tax

The revenue officials have announced the cessation of the Green Space Sales Tax in Beaufort County, leading to a reduction in the county’s sales tax rate from 7 percent to 6 percent. This tax facilitated the county’s Green Space program, which was instrumental in preserving open spaces, protecting natural resources, and offering land for recreational purposes. The program was scheduled for a two-year limit or until it accrued $100 million, which it has now reached.

New Tax Initiatives in Chesterfield and Jasper Counties

Also commencing on March 1, 2025, Chesterfield and Jasper counties will replace the School District Sales Tax with a new Education Capital Improvement Sales Tax. The sales tax in both counties will remain at 8 percent, comprising a 1 percent Local Option Tax and a 1 percent Education Capital Improvement Tax, in addition to the 6 percent state sales tax. Retailers in these counties are advised to continue reporting their net taxable sales under the same column on the Schedule for Local Taxes form.

National and Local Perspectives on Construction Industry Outlook

The construction sector is experiencing optimistic projections despite some industry-wide concerns. A survey from the Associated General Contractors of America (AGC) in collaboration with Sage reveals positive expectations for numerous public-sector projects nationally, though labor shortages and materials costs remain significant concerns.

Optimism in the Carolinas

Dave Simpson, President and CEO of Carolinas AGC (CAGC), provides an optimistic view regarding the commercial construction industry for the Carolinas. Despite workforce shortages and challenges in attracting talented individuals, the region is anticipated to experience a period of growth in the next few years. Initiatives like Construction Bootcamps and Construction Business Academies are in place to entice new talent to join the industry and address member concerns.

Concerns in the construction sector also include expectations for higher direct labor costs, the availability of skilled workers, and material costs, the latter potentially intensifying through anticipated tariffs from President Trump’s administration. AGC advocates for legislative actions including the establishment of temporary work visa programs and the passage of the Stronger Workforce for America Act to enhance funding for construction training at post-secondary and high-school levels.

Spotlight on Economic and Leadership Transitions

Merle Johnson’s Return to Charleston County

Charleston County has announced the return of Merle Johnson as the new Economic Development Executive Director effective February 7, 2025. Johnson, with a two-decade-long career in economic development, returns from his role as Executive Director of Orangeburg County Development Commission. During his previous tenure in Charleston, and recent role, Johnson contributed significantly to economic growth including leading investment efforts and job creation.

His extensive background includes fostering corporate relocations and infrastructural developments which have strengthened the economic landscape of the counties he has served, showcasing a robust leadership portfolio in economic growth and business expansion.

Ellie Perry Named Market Executive

Bank of America has announced the appointment of Ellie Perry as Market Executive for Upstate South Carolina. With over 30 years in financial services, Perry, who recently moved to Greenville, will oversee local banking operations and community partnerships. Her efforts will align with initiatives headed by the bank’s local leadership, further cementing their presence in the Upstate region.

Industry Partnerships and Growth

In keeping with the progressive economic shifts across various South Carolina sectors, companies are encouraged to participate in the region’s evolving business narrative. With notable leadership transitions like Merle Johnson’s return and Ellie Perry’s appointment, the community remains poised for sustainable growth and development across multiple industries.

The upcoming period promises to be an insightful and transformative time for South Carolina, fostering opportunities for business expansion, renovation in educational and economic frameworks, and a commitment to addressing pressing industry challenges.

Engage in the development: For businesses looking to tell their stories, connect, and grow within South Carolina’s vibrant economic landscape, reach out to David Dykes for press release submissions and navigation through the business narrative.

Source: https://www.greenvillebusinessmag.com/2025/02/05/522246/the-business-narrative-tax-changes