Current Status Introducing Body:House Bill Number:4651 Primary Sponsor:Carnell Committee Number:30 Type of Legislation:GB Subject:Motor vehicle rental companies Residing Body:House Current Committee:Ways and Means Computer Document Number:CYY/18990.SD Introduced Date:Apr 01, 1992 Last History Body:House Last History Date:Apr 01, 1992 Last History Type:Introduced, read first time, referred to Committee Scope of Legislation:Statewide All Sponsors:Carnell McAbee Holt Type of Legislation:General Bill
Bill Body Date Action Description CMN
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4651 House Apr 01, 1992 Introduced, read first time, 30
referred to Committee
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TO AMEND CHAPTER 31, TITLE 56, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE RENTAL OF PRIVATE PASSENGER MOTOR VEHICLES BY ADDING SECTION 56-31-50 SO AS TO PROVIDE THAT RENTAL COMPANIES ENGAGED IN THE BUSINESS OF RENTING PRIVATE PASSENGER MOTOR VEHICLES FOR PERIODS OF THIRTY-ONE DAYS OR LESS SHALL COLLECT CERTAIN SURCHARGES ON ALL RENTAL CONTRACTS AND TO PROVIDE FOR THE USE OF THE REVENUE GENERATED BY THESE SURCHARGES.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The 1976 Code is amended by adding:
"Section 56-31-50. (A) Rental companies engaged in the business of renting private passenger motor vehicles for periods of thirty-one days or less shall collect, at the time the vehicle is rented in South Carolina, a five percent surcharge in each rental contract. For purposes of this section, a vehicle is rented in South Carolina if it is picked up by the renter in South Carolina. The surcharge must be computed on the total amount stated in the rental agreement, except that taxes imposed by Chapter 36 of Title 12 must not be used in computing the surcharge, and the surcharge is not subject to the taxes imposed by Chapter 36 of Title 12.
(B) The surcharge must be noted in the rental contract and collected in accordance with the terms of the contract. The surcharges must be retained by the vehicle owner or the rental company engaged in the business of renting private passenger motor vehicles. Surcharges collected pursuant to this section may be used only by the vehicle owner or the rental company for reimbursement of the amount of personal property taxes imposed and paid upon these vehicles by the vehicle owner or rental company as provided by law.
(C) On February fifteenth of each year all rental companies engaged in the business of renting private passenger motor vehicles which collect surcharges pursuant to this section shall file a report with the South Carolina Tax Commission stating the total amount of South Carolina personal property taxes on private passenger motor vehicles paid in the previous calendar year, the total amount of private passenger motor vehicle rental revenues earned on rentals in South Carolina for the previous calendar year, and the amount by which the total amount of the surcharges for the previous year exceeds the total amount of personal property taxes on private passenger motor vehicles paid for the previous calendar year. All surcharge revenues collected in excess of the total amount of personal property taxes on private passenger motor vehicles must be remitted to the Tax Commission for deposit in the state general fund.
(D) Any rental company which makes a false report to the Tax Commission with the intent to misrepresent the amount of personal property taxes on private passenger motor vehicles paid or the amount of surcharges collected is guilty of a misdemeanor and, upon conviction, must be punished by a fine not exceeding one thousand dollars or by a term of imprisonment not exceeding one year or both. Each violation constitutes a separate offense.
(E) The South Carolina Tax Commission shall promulgate those regulations necessary to implement the provisions of this section and shall provide the necessary forms to meet the filing requirements of this section.
(F) A rental company is considered to be engaged in the business of renting private passenger motor vehicles for periods of thirty-one days or less if more than fifty percent of the total automobile rentals of that company for the previous calendar year were for periods of thirty-one days or less."
SECTION 2. This act takes effect upon approval by the Governor.