Current Status Bill Number:3856 Type of Legislation:General Bill GB Introducing Body:House Introduced Date:19970409 Primary Sponsor:H. Brown All Sponsors:H. Brown, McKay, Koon, Robinson, Vaughn, Keegan and Kelley Drafted Document Number:pt\1121mm.97 Residing Body:House Current Committee:Ways and Means Committee 30 HWM Subject:Sales and use tax, local option; supplemental revenue, unidentified funds to counties; Political Subdivisions
Body Date Action Description Com Leg Involved
______ ________ _______________________________________ _______ ____________
House 19970409 Introduced, read first time, 30 HWM
referred to Committee
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TO AMEND SECTION 4-10-10, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO DEFINITIONS IN CONNECTION WITH LOCAL OPTION SALES AND USE TAX, SO AS TO DELETE REFERENCE TO "MINIMUM DISTRIBUTION"; TO AMEND SECTION 4-10-65, RELATING TO THE LOCAL OPTION SUPPLEMENTAL REVENUE FUND, SO AS TO DELETE REFERENCE TO "MINIMUM DISTRIBUTION" AND AUTHORIZE THE DEPARTMENT OF REVENUE TO DISTRIBUTE UNIDENTIFIED FUNDS TO PARTICIPATING COUNTIES; TO REPEAL SECTION 4-10-60 RELATING TO MINIMUM DISTRIBUTION OF FUNDS COLLECTED BY COUNTIES FROM THE LOCAL OPTION SALES TAX, AND TO PROVIDE TRANSITION PROVISIONS.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 4-10-10 of the 1976 Code, as added by Act 317 of 1990, is amended to read:
"Section 4-10-10. For purposes of this chapter:
(1) 'County area' means a county and all municipalities within its geographical boundaries.
(2) 'County' means the unincorporated areas of a county area or county government as the use of the term dictates.
(3) 'Municipality' means a municipal corporation created pursuant to Chapter 1 of Title 5 or a municipal government as the use of the term dictates.
(4) "Minimum distribution" means an amount equal to two million dollars for the first distribution and after that adjusted annually on a cumulative basis by a percentage equal to the increase in revenues credited to the Education Improvement Act Fund for the most recently completed fiscal year over the revenues credited to that fund in the preceding fiscal year.
(5) 'Population' means population as determined in the most recent official United States Census."
SECTION 2. Section 4-10-65 of the 1976 Code, as added by Act 164 of 1993, is amended to read:
"Section 4-10-65. Funds collected by the Tax Commission Department of Revenue from the local option sales tax which are not identified as to the governmental unit due the tax, shall, after a reasonable effort by the commission department to determine the appropriate governmental unit, must be deposited to a local option supplemental revenue fund. These funds must be distributed in accordance with Section 4-10-60 to those counties generating less than the minimum distribution by the department to counties having a local option sales tax on a per capita basis."
SECTION 3. Section 4-10-60 of the 1976 Code is repealed with respect to counties imposing the local sales and use tax after June 30, 1997. The provisions of Sections 4-10-60 and 4-10-10(4) of the 1976 Code as repealed by this act continue to apply through June 30, 2001, for counties imposing the local sales and use tax before July 1, 1997, but the withholding percentage rate for all donor counties shall decline by one and one-third percent in each fiscal year, beginning in fiscal year 1998-99, according to the following schedule:
Fiscal Year Percentage Withheld
1998-99 four and one-third percent
1999-2000 three percent
2000-01 one and two-thirds percent
after June 30, 2001No withholding.
SECTION 4. This act takes effect July 1, 1997.