South Carolina General Assembly
111th Session, 1995-1996

Bill 661

Indicates Matter Stricken
Indicates New Matter 

                    Current Status

Bill Number:                       661
Type of Legislation:               General Bill GB
Introducing Body:                  Senate
Introduced Date:                   19950323
Primary Sponsor:                   Elliott 
All Sponsors:                      Elliott 
Drafted Document Number:           BBM\10017JM.95
Residing Body:                     Senate
Current Committee:                 Labor, Commerce and Industry
                                   Committee 12 SLCI
Subject:                           Real estate trust funds
History


Body    Date      Action Description                       Com     Leg Involved
______  ________  _______________________________________  _______ ____________

Senate  19950323  Introduced, read first time,             12 SLCI
                  referred to Committee
View additional legislative information at the LPITS web site.

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A BILL

TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTION 40-57-290, SO AS TO PROVIDE THAT REAL ESTATE TRUST FUNDS MAY BE PLACED IN INTEREST-BEARING ACCOUNTS, THAT INTEREST EARNED SHALL BELONG TO THE OWNER OF THE FUNDS UNLESS OTHERWISE AGREED TO IN WRITING, THAT SUCH WRITING SHALL BE A SEPARATE DOCUMENT STATING THAT THE OWNER OF THE FUNDS HAS BEEN INFORMED THAT INTEREST EARNED ON HIS FUNDS SHALL ACCRUE TO HIS BENEFIT BUT THAT THE OWNER DESIRES THE INTEREST TO GO TO ANOTHER PARTY, AND THAT THIS REQUIREMENT SHALL NOT APPLY TO RENTAL MONIES WHERE THOSE MONIES ARE SUBJECT TO THE SALES TAX ON ACCOMMODATIONS.

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

SECTION 1. The 1976 Code is amended by adding:

"Section 40-57-290. Notwithstanding any other provision of law, real estate trust funds may be placed in interest-bearing accounts in insured banks and savings and loan institutions. Interest earned shall belong to the owner of the funds, unless otherwise agreed to in writing. Such writing shall not be included as part of a pre-printed contract form but shall be a separate document stating that the owner of the funds has been informed that interest earned on his funds shall accrue to his benefit but that the owner of the funds nevertheless desires the interest to go to another party; however, this requirement shall not apply to rental monies held in trust, provided that those monies are subject to the South Carolina sales tax on accommodations as provided by Section 12-36-920."

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

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