Bill > H3378

This bill proposes a comprehensive property tax exemption for all property in South Carolina starting in 2025, with a unique dollar-for-dollar reimbursement mechanism. Specifically, the bill would exempt 100% of property tax value from taxation, with the exception of millage (tax rates) imposed for repaying general obligation debt. Despite the full exemption, the exempted property will still be considered taxable for purposes of bonded indebtedness under the state constitution. To ensure that local governments and school districts do not suffer financial losses, the bill mandates that each year, the revenue lost from this exemption will be fully reimbursed to political subdivisions at a fixed amount equal to the property taxes collected in the 2024 tax year. This means that local governments will receive the same level of funding they would have received before the exemption, effectively making the property tax exemption revenue-neutral for these entities. The bill would take effect upon the Governor's approval.

Budget and Finance

https://www.scstatehouse.gov/billsearch.php?billnumbers=3378&session=126&summary=B