columbia south carolina tourism tax

Voices. Knowledge. Solutions.

Accommodations Tax FAQs

​what is the difference between the state accommodations tax and the local accommodations tax.

State Accommodations Tax The  state accommodations tax  is a mandatory 2 percent charge applied to all accommodations statewide. Accommodations are defined as "the rental or charges for any rooms, campground spaces, lodgings, or sleeping accommodations furnished to transients by any hotel, inn, tourist court, tourist camp, motel, campground, residence, or any place in which rooms, lodgings, or sleeping accommodations are furnished to transients for a consideration." The SC Department of Revenue collects these dollars and distributes them back to cities and counties by a formula based on the location of the short-term rental. Local Accommodations Tax County and municipal governments may impose a  local accommodations tax  by ordinance adopted by a positive majority of the entire governing body. The cumulative rate of the tax may not exceed 3 percent. A county government may not impose an accommodations tax exceeding 1.5 percent within a municipality without consent by resolution of the municipal council.

Who approves accommodations tax expenditures?

State Accommodations Tax A municipality receiving more than $50,000 in revenue from the state accommodations tax must appoint an advisory committee to make recommendations for how the revenue generated from the accommodations tax should be spent. The advisory committee consists of seven members, with a majority being selected from the hospitality industry of the municipality or county receiving the revenue. At least two of the hospitality industry members must be from the lodging industry, where applicable. One member must represent the cultural organizations of the municipality receiving the revenue. The advisory committee submits written recommendations to the municipal council at least once annually. The report addresses how to spend the portion of accommodations tax revenue that remains after allocations are made to the general fund and the tourism and promotion funds. The municipal council may accept, reject or modify these recommendations. The council must submit an annual report detailing use of the state accommodations tax proceeds to the state Tourism Expenditure Review Committee. TERC is an 11-member committee that reviews the tourism-related expenditures funded with state accommodations tax revenue. Local Accommodations Tax There is no requirement for an advisory committee for local accommodations tax expenditures. The municipal council is solely responsible for approving local accommodations tax expenditures unless otherwise established by the council.

Are there restrictions on the use of the accommodations tax revenue?

State Accommodations Tax Yes. State law is very specific about how cities and counties can spend state accommodations tax revenue. The first $25,000 is deposited into the local governments' general fund, 30 percent of the balance must be allocated to a special fund for the exclusive use of tourism advertising and promotion, and the remaining balance must be used for tourism-related expenditures as defined in  SC Code Section 6-1-530 . Local Accommodations Tax Local Accommodations Tax proceeds must be used for tourism-related projects and programs as defined in SC Code Section 6-1-530.

Acceptable tourism-related expenses

As defined by SC Code Section 6-1-530 :

• Tourism-related buildings such as civic centers, coliseums and aquariums.
• Tourism-related cultural, recreational or historic facilities.
• Beach access, renourishment, or other tourism-related lands and water access.
• Highways, roads, streets and bridges providing access to tourist destinations.
• Advertisements and promotions related to tourism development.
• Water and sewer infrastructure to serve tourism-related demand.

Funds can also be used for operation and maintenance of the above items, including police, fire protection, emergency medical services and emergency-preparedness operations.

Learn more about South Carolina regulations for short-term rentals .

• Affiliate Associations
• Board of Directors
• Association Awards
• Contact (Map/Directions)
• Directory of Services
• Media Contact
• Staff Directory
• Legislative Report
• Legislative Tracking System
• From the Dome to Your Home
• Hometown Legislative Action Day
• Legislative Agenda Process
• Regional Advocacy Meetings
• Tracking Federal Legislation
• Legislative Principles
• Advocacy Initiatives
• Annual Meeting
• Small Cities Summit
• Association of South Carolina Mayors
• Municipal Court Administration Association of SC
• Municipal Technology Association of SC
• SC Association of Municipal Power Systems
• SC Association of Stormwater Managers
• SC Business Licensing Officials Association
• SC Community Development Association
• SC Municipal Attorneys Association
• SC Municipal Finance Officers, Clerks and Treasurers Association
• SC Municipal Human Resources Association
• SC Utility Billing Association
• Advanced Municipal Elected Officials Institute
• Municipal Clerks and Treasurers Institute
• Municipal Elected Officials Institute of Government
• Newly-elected Officials
• On-demand Municipal Clerks Training
• Planning and Zoning Training
• Risk Management Institute
• Risk Management Services - LocalGovU
• Risk Letter
• SC Municipal Insurance Trust
• SC Municipal Insurance and Risk Financing Fund
• Cable Franchise Assistance
• City Connect Market
• Brokers Tax Program
• Insurance Tax Program
• Local Business License Renewal Center
• Setoff Debt Program
• Telecommunications Tax Program
• Main Street South Carolina
• South Carolina Other Retirement Benefits Employer Trust
• Technology Services
• Trades certification
• Achievement Awards
• Business Licensing in SC
• Civility Initiative
• Items for Sale
• Municipal Association Job Openings
• Post a Job Opening or Item for Sale
• City Quick Connect Podcast
• Legislator Online Directory
• Municipal Online Directory
• City Connect Blog
• Request Municipal Assistance
• Compensation Survey - Completed Surveys
• Court Opinions
• State Code of Laws

Home » Hospitality Tax

• On a monthly basis when the estimated amount of average collections is more than fifty ($50.00) dollars a month (annual gross receipts in excess of $30,000).
• On a quarterly basis when the estimated amount of average collections is between twenty-five ($25.00) dollars to fifty ($50.00) dollars a month (annual gross receipts between $15,000 to $30,000).
• On an annual basis when the estimated amount of average collections is less then twenty-five ($25.00) dollars a month (annual gross receipts less than $15,000).

__________________________________________________________________________________

D) What if I did not receive my hospitality coupons in the mail?

You can print the form to submit with your remittance located here or the top of this page.

© 2024 businesslicensing.columbiasc.gov. All Rights Reserved.

• Business Licensing
• New Business License
• Business License Renewal
• Other Licenses & Permits
• Business License Ordinances
• Hospitality Tax
• Tourism Development Fee
• Frequently Asked Questions
• Back to ColumbiaSC.gov

Experts predict another strong summer for tourism in SC in 2024

COLUMBIA, S.C. — The weather is getting hotter and more humid, Memorial Day Weekend is just around the corner, and schools will be letting out soon.

So that means summer tourists will soon be flocking to South Carolina, one of the nation’s top destinations for visitors.

An economist with the University of South Carolina said current economic conditions all point to a strong summer for tourism in the Palmetto State.

“Consumer spending remains strong as the labor market remains strong, unemployment is low in South Carolina and across the US, and we also continue to see strong wage growth in 2024,” USC Research Economist Joey Von Nessen said.

Von Nessen said South Carolina is likely to see more growth in tourism as it has the last few years.

But he added that growth might taper a bit this summer, with South Carolina’s tourism industry fully recovered post-pandemic, more quickly than some experts predicted.

“One reason is that South Carolina is a drive-to state, meaning that a lot of our tourism comes from people driving from border states and from elsewhere in the country, so that’s enabled our tourism sector, number one, not to fall as fast as other states’ did during the pandemic, but number two, that means we were also able to recover much faster,” he said.

The director of South Carolina’s Department of Parks, Recreation and Tourism, Duane Parrish, said tourism contributed an estimated $29 billion to the state’s economy in 2022 and employs one in 10 South Carolina workers.

He said that benefits the pocketbooks of the state’s residents too.

“Tourism-related tax collections reduced the annual tax burden for every South Carolinian by nearly $1,000,” Parrish said during an event Monday in Columbia, marking May 19-25 as South Carolina Travel and Tourism Week.

And after record years for South Carolina tourism in 2022 and 2023, Parrish expects more of that this summer as well.

“Gas prices have remained stable. Inflation seems to have cooled a bit. People have just enjoyed the outdoor recreation more since COVID than ever, and that continues on today,” he said. “We have a lot of that in South Carolina, and I anticipate a great summer, quite frankly.”

One area of focus to bring more visitors to South Carolina is sports tourism, with Parrish pointing to Darlington and the new PGA Tour stop in Myrtle Beach as just a few examples.

He said this sector makes up about 10% of the entire tourism industry, with more growth expected in the coming years.

Feel more informed, prepared, and connected with WIS. For more free content like this, subscribe to our email newsletter , and download our apps . Have feedback that can help us improve? Click here .

Copyright 2024 WIS. All rights reserved.

West Columbia man arrested after deadly crash involving Lexington County school bus, motorcycle

Red Lobster seeks bankruptcy protection days after closing dozens of restaurants

Coroner identifies teens who drowned after jumping from bridge into Lake Hartwell

SCDC correctional officer arrested after inspector says she failed to report sexual relationship

‘They essentially robbed him of his life’: Midlands mother sues Snapchat after child dies by suicide

Latest news.

Richland County committee approves motion to close ASG’s juvenile wing

McMaster signs ban on gender-affirming care for minors

Attorney General Alan Wilson travels to NYC in support of Trump during hush money trial

SC’s toughened-up DUI law to go into effect Sunday

Experts foresee bright summer for tourism in South Carolina

COLUMBIA, S.C. (WRDW/WAGT) - Tourism experts in South Carolina are expecting a record summer this year.

That’s good news for the Palmetto State – where tourism contributes an estimated $29 billion to the economy each year.

“Consumer spending remains strong as the labor market remains strong, unemployment is low in South Carolina and across the U.S., and we also continue to see strong wage growth in 2024,” said Joey Von Nessen, University of South Carolina research economist.

MORE | Local pools face lifeguard shortage prior to upcoming summer season

Memorial Day is almost here, and some pools are working to get as many lifeguards as they can. As recently as 2022, a third of pools across the U.S. saw closures or delayed openings.

Von Nessen says South Carolina is likely to see more growth in tourism – as it has in the past few years.

But he adds that growth might taper a bit this summer – with the tourism industry fully recovered from the pandemic.

Duane Parrish, the director of South Carolina’s Department of Parks, Recreation and Tourism, says 2022 and 2023 were record years for tourism in the state.

And he expects more of that this year.

“Gas prices have remained stable. Inflation seems to have cooled a bit. People have just enjoyed the outdoor recreation more since COVID than ever, and that continues today. We have a lot of that in South Carolina, and I anticipate a great summer, quite frankly,” Parrish said.

MORE | It’s snake season in our region: Here’s what you should know

What should you do if you encounter a snake? Here's what you need to know about the different types of snakes in our area.

One area of focus to bring visitors here to South Carolina is sports tourism – with Parrish pointing to Darlington and the new PGA tour stop in Myrtle Beach as just a few examples.

He says this makes up about 10% of the entire industry – with more growth expected in the coming years.

Von Nessen says one reason South Carolina is such a tourist hotspot – is because of its drivability from so many locations – particularly with the number of people who have been moving to this part of the country in recent years.

Copyright 2024 WRDW/WAGT. All rights reserved.

Coroner IDs 2 teens killed in crash during Edgefield County chase

Woman shot dead, shooter kills self in murder-suicide

Mom, infant found dead in Augusta home near Grovetown

1 dead, 1 injured in separate S.C. crashes just hours apart

Grovetown’s Big Blue Marble Academy hit with 40-day suspension

Latest news.

WATCH LIVE: Latest updates on elections in CSRA, Georgia

Incumbent Augusta DA, challenger battle in Democratic primary

Orangeburg deputies search for suspect in 2023 fatal stabbing

Primary could ultimately determine Richmond County sheriff’s race

Olive Road opens back up after bridge repairs

'South Carolina's Main Street': SCDOT breaks ground on I-26 expansion

The South Carolina Department of Transportation is expanding Interstate-26 between mile marker 125 and 136.

The $439 million project will expand the southbound and northbound lanes to three on each side.

Governor Henry McMaster says there is growth in South Carolina

“Well, you hear all this racket, all this noise. That’s the sound of money, and that means that South Carolina is growing,” said McMaster. “We’re ahead of the rest of the states, we’re the envy of the whole country. South Carolina is now a model of commerce and conservation.”

RELATED: New Broad River Road bridge opens, detour ahead for drivers

Justin Powell is the Secretary of Transportation at SCDOT. He says road expansion provides opportunities.

“I-26 is South Carolina's main street. It runs right through the heart of South Carolina, from the Upstate to the Lowcountry. It is critical to connecting people to jobs, economic opportunities and education.”

In addition to lane expansion, seven bridges between Gaston and St. Matthews will be replaced or rehabbed.

RELATED: Do you travel Sunset Drive in Columbia? You might need to find an alternate route for a few weeks

Lexington Senator Nikki Setzler says this expansion is needed for tourism in South Carolina.

“If you’re backed up on I-26 going to Charleston for three hours or four hours on Friday afternoon or Saturday, you got no tourism,” Setzler said. “It can help kill tourism if we don’t get this done, and we got a tremendous tourism industry in South Carolina. It’s a critical part of that.”

Construction is expected to be finished by the end of 2027.