Tax Incentives

Supporting and Empowering Business

Aiken, Edgefield, Saluda, and McCormick Counties build upon South Carolina’s business-friendly reputation by offering companies politically stable counties and communities that have low local tax rates and a remarkably stable tax base.

Our area’s long tradition of business ownership and manufacturing means that we understand the value of healthy businesses that are unencumbered by needless taxes and regulation. We’re a longtime right-to-work state, and our workforce understands that sustainable employment growth comes from hard work, skills, and an appreciation for quality.

South Carolina’s state government has developed a variety of incentives and other programs to assist companies that want to invest in our strong economy. If you’d like specific examples of the state and local support your company can expect, please contact us.

With a 5% Corporate Income Tax, South Carolina has one of the lowest rates in the Southeast. Many companies qualify for a Job Tax Credit, which eliminates up to 50% of a company’s corporate income tax liability for a specified number of years.

Additionally, South Carolina offers the following statutory incentives:

  • No State Property Tax
  • No Local Income Tax
  • No Inventory tax (Raw material, work in progress, finished goods)
  • No Sales Tax on Utilities, Manufacturing Machinery, or Manufacturer’s Raw Materials
  • No Wholesale Tax
  • No Unitary Tax on Worldwide Profits

Sales Tax Exemptions

  • Machinery and equipment, and applicable repair parts, used in the production of tangible goods;
  • Materials that will become an integral part of the finished product;
  • Coal, coke or other fuel for manufacturers, transportation companies, electric power companies and processors;
  • Industrial electricity and other fuels used in manufacturing tangible personal property;
  • Research and development machinery and equipment;
  • Air, water and noise pollution control equipment;
  • Material handling equipment for manufacturing or distribution projects investing $35 million or more in the state;
  • Packaging materials; and
  • Long distance telephone calls and access charges, including 800 services.

Additional South Carolina Exemptions

Construction Materials

Construction materials used in the construction of a single manufacturing or distribution facility with a capital investment of at least $100 million in an 18-month period will be exempt from sales tax.

Technology Intensive Materials

Such as computer equipment, electricity used by the facility and equipment and raw materials.

Datacenter Materials

Such as computer equipment, software and electricity directly used in datacenter operations.

Local Property Taxes & Incentives

Exemptions
  • All inventories (raw materials, work-in-progress, and finished goods)
  • All Intangible property
  • All pollution control equipment
Fee in Lieu of Property Taxes (FILOT)

Companies investing more than $2.5 million qualify for a lower assessment ratio. Assessment ratio can be lowered from 10.5% to as low as 6%

Textile Revitalization Credit

Sites that are eligible for these credits are abandoned sites initially used for, or designed for use by, textile manufacturing. “Abandoned” means that at least 80% of the site has been closed for a period of at least one year.

A company that improves, renovates or redevelops an eligible site may be eligible for one of two tax credits:

  • A credit against income taxes or license taxes equal to 25% of the rehabilitation expenses.
  • A credit against real property taxes equal to 25% of the rehabilitation expenses of an eligible site multiplied by the local taxing ratio of each local taxing entity that has consented to the tax credit

For more information about taxes and incentives, visit the South Carolina Department of Commerce.

Available Sites & Buildings

If you’re thinking about bringing your business to South Carolina’s Aiken, Edgefield, and Saluda region, we’re ready to accommodate you with a broad variety of existing facilities and ready-to-build sites.