Current Status Introducing Body:House Bill Number:4182 Primary Sponsor:Kirsh Committee Number:30 Type of Legislation:GB Subject:Business property tax assessment Residing Body:House Current Committee:Ways and Means Companion Bill Number:742 Computer Document Number:JIC/5792HC.93 Introduced Date:19930512 Last History Body:House Last History Date:19930512 Last History Type:Introduced, read first time, referred to Committee Scope of Legislation:Statewide All Sponsors:Kirsh Type of Legislation:General Bill
Bill Body Date Action Description CMN Leg Involved
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4182 House 19930512 Introduced, read first time, 30
referred to Committee
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TO AMEND SECTION 12-4-540, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE DUTIES OF THE SOUTH CAROLINA TAX COMMISSION WITH RESPECT TO THE APPRAISAL, ASSESSMENT, AND EQUALIZATION OF CERTAIN BUSINESS PROPERTY FOR PURPOSES OF AD VALOREM TAXATION, SO AS TO PROVIDE THAT THE COMMISSION SHALL PERFORM SUCH FUNCTIONS FOR ONLY THOSE DISTRIBUTION FACILITIES WITH MORE THAN ONE HUNDRED THOUSAND SQUARE FEET OF BUILDING SPACE OR WHICH QUALIFY FOR THE DISTRIBUTION FACILITY EXEMPTION; TO PROVIDE THAT THE COMMISSION SHALL PERFORM THESE FUNCTIONS FOR ENTERPRISES ENGAGED IN RESEARCH AND DEVELOPMENT ACTIVITIES AND TRANSPORTATION COMPANIES FOR HIRE, TO PROVIDE THAT THE VALUE OF PROPERTY ASSESSED BY THE UNIT VALUATION METHOD MUST BE DISTRIBUTED ON THE BASIS OF GROSS INVESTMENT EXCEPT WHERE OTHERWISE STATED, AND TO PROVIDE FOR THE APPRAISAL AND ASSESSMENT OF LEASED PROPERTY.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 12-4-540 of the 1976 Code, as added by Act 50 of 1991, is amended to read:
"Section 12-4-540. (A) The commission has the sole responsibility for the appraisal, assessment, and equalization of the taxable values of corporate headquarters, corporate office facilities, and distribution facilities with over one hundred thousand square feet in building space or when the distribution facility qualifies for exemption under Section 12-37-220(B)(32), and enterprises engaged in research and development activities and of the real and personal property owned, used, or leased by the following businesses in the conduct of their business:
(1) manufacturing;
(2) railway;
(3) private carline;
(4) airline;
(5) water, heat, light, and power;
(6) telephone;
(7) cable television;
(8) sewer;
(9) pipeline;
(10) mining;
(11) transportation companies for hire.
In addition, the commission has the sole responsibility for the appraisal, assessment, and equalization of the taxable values of the personal property of merchants.
(B) Except as otherwise provided, the commission may use any accepted or recognized valuation method which reflects the property's fair market value, including methods within the unit valuation concept. In assessing railroad transportation property, the commission shall use the unit valuation concept.
(C) When the unit valuation concept method is used, the value allocated to this State must be distributed to the taxing entities in which the property is situated political subdivisions on a basis of gross investment except as otherwise provided.
(D) Except as otherwise provided, the commission shall assess all real and personal property, leased or used, to the owner appraise and assess property leased to any taxpayer under its jurisdiction in the name of the lessee, if the lessee has control of the property and is contractually required to pay the tax.
(E) When the commission uses the unit valuation concept, property taxes on all leased and used real and personal property must be paid by the lessee. Whether or not the unit valuation concept is used, an airline or private carlines shall pay property taxes on all leased real and personal property in its control.
(F) If the commission discovers that property required by law to be returned to the commission has not been returned, the commission may value and assess the property. If property has been returned or assessed incorrectly, the commission may value revalue and assess reassess the property and give notice to the taxpayer of the valuation and assessment. After the expiration of the appeal period, the commission shall certify the corrected assessment to the county auditor of the county where the property is located."
SECTION 2. This act takes effect upon approval by the Governor.