S 1246 General Bill, By M.T. Rose
 A Bill to amend Section 4-10-40, Code of Laws of South Carolina, 1976,
 relating to distribution of revenue allocated to the Property Tax Credit Fund,
 so as to provide for application of property tax credit to school millage
 levies.

   02/04/92  Senate Introduced and read first time SJ-5
   02/04/92  Senate Referred to Committee on Finance SJ-5

A BILL

TO AMEND SECTION 4-10-40, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DISTRIBUTION OF REVENUE ALLOCATED TO THE PROPERTY TAX CREDIT FUND, SO AS TO PROVIDE FOR APPLICATION OF PROPERTY TAX CREDIT TO SCHOOL MILLAGE LEVIES.

Be it enacted by the General Assembly of the State of South Carolina:

SECTION 1. Section 4-10-40 of the 1976 Code is amended to read:

"(A) The revenue allocated to the Property Tax Credit Fund, as provided in Section 4-10-90, must be distributed to the county and the municipalities in the county area as follows:

(1) sixty-seven percent to the county; and

(2) thirty-three percent to the municipalities in the county area so that each municipality receives an amount equal to what its percentage of population bears to the total population in all the municipalities in the county area.

(B) All of the revenue received by a county and municipality from the Property Tax Credit Fund must be used to provide a credit against the property tax liability of taxpayers for school and other millage levies authorized by law in the county and municipality in an amount determined by multiplying the appraised value of the taxpayer's taxable property by a fraction in which the numerator is the total estimated revenue received by the county or municipality from the Property Tax Credit Fund during the applicable fiscal year of the political subdivision and the denominator is the total of the appraised value of taxable property in the county or municipality as of January first of the applicable taxable year.

(C) All interest accruing to the credit funds received by a county or a municipality from the Property Tax Credit Fund must be used to provide an additional credit as provided in this section. (D) If a municipality has adopted or adopts a redevelopment plan for a tax increment financed redevelopment project pursuant to Chapter 6 of Title 31, a deficiency resulting from the application of this section in the tax allocation fund or separate fund established to pay project costs must be funded from the municipality's allocation from the County/Municipal Revenue Fund each year so as to provide full funding for the project. A tax increment financing bond holder, agent, or trustee may enforce this requirement. (E) For motor vehicles subject to the payment of property taxes pursuant to Article 21, Chapter 37 of Title 12, the credit provided under this section applies against the tax liability for motor vehicle tax years beginning after December of the year in which the credit is calculated."

SECTION 2. This act takes effect upon approval by the Governor.