South Carolina Property Tax for Senior Citizens | South Carolina Bar (2024)

FAQs

Do seniors get a break on property taxes in SC? ›

The Homestead Exemption is a complete exemption of taxes on the first $50,000 in Fair Market Value of your Legal Residence for homeowners over age 65, totally and permanently disabled, or legally blind.

To qualify for the special 4% property tax assessment ratio, the owner of the property must have actually owned and occupied the residence as his legal residence and been occupying that address for some period during the applicable tax year. Only an owner-occupant is eligible to apply for the 4% special assessment.

South Carolina Code §12-6-1170(B) provides an income tax deduction of up to $15,000 against any South Carolina taxable income of a resident individual who is 65 or older by the end of the tax year.

If you are a senior and your total income from all those sources is less than $10,000, you will not pay any South Carolina income taxes. Above that limit, you may need to pay taxes at the rates shown in the table below.

Residents of South Carolina may be exempt from paying a portion of property taxes for the following criteria: resident of the state for a full calendar year and either over 65 years of age or permanently disabled or legally blind.

For the 2022 tax year, seniors filing single or married filing separately get a standard deduction of $14,700. For those who are married and filing jointly, the standard deduction for 65 and older is $25,900.

§ 12-37-3135 provides that where (1) a property is taxed at 6% assessment ratio prior to a transfer (this generally means a second home, rental, or commercial property); (2) where the property remains taxed at 6% ratio after the transaction; and (3) the purchase price exceeds the value at which the property was being ...

The percentage, called an assessment ratio, depends on the type of property. For owner-occupied, primary residences the assessment ratio is 4%. For non-primary residences, the rate is 6%. Local assessors are required to reappraise all property in their jurisdiction once every five years.

You may be qualified for the Homestead Exemption if you: ARE at least 65 years of age on or before December 31^st, preceding the tax year in which you wish to claim the exemption.

MyDORWAY is the fastest, easiest way to apply for Property Tax Exemptions. If you apply for a Property Tax Exemption on MyDORWAY, you do not need to submit a paper copy of the PT-401-I. Visit MyDORWAY.dor.sc.gov to get started.

What are the pros and cons of retiring in South Carolina? ›

If you are at least 65, unmarried, and receive $15,700 or more in nonexempt income in addition to your Social Security benefits, you typically need to file a federal income tax return (tax year 2023).

Alaska, Florida, Nevada, New Hampshire*, South Dakota, Tennessee, Texas, Washington, and Wyoming do not tax income.

In the retirement destination showdown, South Carolina emerges as the top pick. With its lower taxes, lower cost of living and affordable housing options, and abundant cultural and recreational offerings, it's an unbeatable choice for retirees.

Some states do not tax Social Security or income, which could appeal to retirees. Alaska, Florida, Nevada, South Dakota, Tennessee, Texas, Washington and Wyoming stand out for their tax-friendly policies and other amenities that retirees may enjoy.

State property taxes which are actually paid may be fully deductible for federal income tax purposes if you itemize your deductions on your federal return. If you have any specific questions about the homestead tax exemption contact your county auditor, or your lawyer.

All Application for Exemption Certificate requests must be submitted on our free online tax portal, MyDORWAY, at MyDORWAY.dor.sc.gov. a MyDORWAY account to request Sales and Use Tax exemptions. If you do not have a Sales and Use Tax account, complete the Business Tax Application at dor.sc.gov/register.