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Taxes

South Carolina Taxes for New Residents

South Carolina's tax picture is one of the reasons people cross the state line: a relatively low income tax structure, an owner-occupied property tax break, and a vehicle tax that is paid to the county rather than a sticker fee.

Every rate and form here changes, and exact numbers depend on your income, home value, and county, so use this as a map and verify the current figures with the official sources below.

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The practical list

What do you need to do first?

Income tax in South Carolina

For tax year 2026, South Carolina moved to a simplified two-bracket individual income tax: a lower rate on taxable income below a threshold and a higher bracket with a fixed-dollar subtraction above it, with rates scheduled to keep dropping toward a flat low rate in future years if revenue triggers are met.

Social Security income is exempt from SC income tax in SC, retirement income qualifies for deductions in many cases, and you file the SC-1040 on all income while you are a resident. Get the current rates from the SC Department of Revenue rather than relying on any printed number from an article.

Property tax: the owner-occupied 4%

South Carolina assesses property on a percentage of value, and an owner-occupied home that qualifies as your legal residence is assessed at 4% of appraised value rather than the higher ratio applied to rentals and second homes.

You must apply for the legal-residence status with the York County assessor after you own and occupy the home, and before the penalty date, so do not expect it to happen automatically. Qualifying households age 65 and older may also qualify for additional homeowner exemption relief through the county.

Vehicle taxes

SC taxes vehicles annually through the county: the county assesses the vehicle's value, applies its millage, and you pay the bill to the treasurer before registering or renewing. The amount depends on your county and the vehicle's value, so it is a real annual cost to budget, not just a one-time transfer fee.

Sales tax and everyday costs

South Carolina applies state and local sales tax to most goods, with the combined rate varying by county and some items, like unprepared groceries, treated differently across the state. The rate that applies at your address in York County is what matters, so check the current local rate.

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Official sources

Where should you verify the details?

These are the official agencies and providers for this topic. Rules, fees, and availability change, so always confirm the current requirements with the source itself before you act.

Tax rates, thresholds, forms, and county millage all change. Verify current income tax rates with the SC Department of Revenue, apply for your legal-residence 4% assessment with York County on time, and confirm county rates for your specific home and vehicles before you budget.

Tracey's local insight

Have a question about the move itself?

Tracey has helped relocating buyers on both sides of the NC/SC line for over 20 years, and she is happy to answer the practical questions these checklists cannot. Call 314-603-8628 or book a free consultation.

She can also connect you with the neighborhoods that fit your move: ask about living in Fort Mill, community comparisons, and current inventory.

Tracey De Simon, Broker with Coldwell Banker Realty, licensed in SC and NC. Equal Housing Opportunity.

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