H5122

Internet and Communications Service Providers Equipment

Complete·6/3/26

Exempts certain equipment used by internet and communications service providers from sales tax in South Carolina.

The bill amends the South Carolina Code to exempt supplies, technical equipment, machinery, and electricity sold to internet access service providers and communications service providers from sales tax. These providers must apply for a refund of state and local sales and use taxes paid on exempt items by January 31st. If refund claims exceed ten million dollars, the Department of Revenue will issue pro-rata refunds to keep the total at or below ten million dollars, paid by June 1st. This act takes effect upon approval by the Governor and applies to tax years beginning after 2025.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Sponsors

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17
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Democratic CaucusRepublican Caucus

Roll Call Votes

92 Yea

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18 Nay

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10 Not Voting

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4 Absent

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Calendar

Apr 23

12:00 AM

House Full Ways and Means Committee

History

Jun 5

Effective date See Act for Effective Date

Jun 3

Act No. 242

May 19

Signed By Governor