South Carolina General Assembly
126th Session, 2025-2026
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H. 5122
STATUS INFORMATION
General Bill
Sponsors: Reps. B. Newton, Bannister, Herbkersman, Yow, C. Mitchell, Rose, Cobb-Hunter, Lawson, Brewer, Kirby, Ballentine, Rutherford, Hiott, Gagnon, Guest, M.M. Smith, Howard, Pope, Grant, Anderson, Schuessler, G.M. Smith, Caskey, Davis and Govan
Document Path: LC-0277HA26.docx
Introduced in the House on February 5, 2026
Introduced in the Senate on May 5, 2026
Last Amended on April 30, 2026
Currently residing in the Senate Committee on Judiciary
HISTORY OF LEGISLATIVE ACTIONS
| Date | Body | Action Description with journal page number |
|---|---|---|
| 2/5/2026 | House | Introduced and read first time (House Journal-page 18) |
| 2/5/2026 | House | Referred to Committee on Ways and Means (House Journal-page 18) |
| 2/18/2026 | House | Member(s) request name added as sponsor: Yow, C. Mitchell, Rose, Cobb-Hunter |
| 2/19/2026 | House | Member(s) request name added as sponsor: Lawson, Brewer, Kirby, Ballentine, Rutherford, Hiott, Gagnon, Guest, M.M. Smith, Howard, Pope |
| 2/25/2026 | House | Member(s) request name added as sponsor: Grant, Anderson, Schuessler, G.M. Smith |
| 4/1/2026 | House | Member(s) request name added as sponsor: Caskey |
| 4/23/2026 | House | Member(s) request name added as sponsor: Davis |
| 4/28/2026 | House | Committee report: Favorable with amendment Ways and Means (House Journal-page 4) |
| 4/29/2026 | House | Debate adjourned |
| 4/30/2026 | House | Member(s) request name added as sponsor: Govan |
| 4/30/2026 | House | Amended (House Journal-page 31) |
| 4/30/2026 | House | Read second time (House Journal-page 31) |
| 4/30/2026 | House | Roll call Yeas-82 Nays-15 (House Journal-page 32) |
| 4/30/2026 | House | Unanimous consent for third reading on next legislative day (House Journal-page 33) |
| 5/1/2026 | House | Read third time and sent to Senate (House Journal-page 1) |
| 5/5/2026 | Senate | Introduced and read first time |
| 5/5/2026 | Senate | Referred to Committee on Judiciary |
View the latest legislative information at the website
VERSIONS OF THIS BILL
02/05/2026
04/28/2026
04/30/2026
05/05/2026
May 5, 2026
H. 5122
Introduced by Reps. B. Newton, Bannister, Herbkersman, Yow, C. Mitchell, Rose, Cobb-Hunter, Lawson, Brewer, Kirby, Ballentine, Rutherford, Hiott, Gagnon, Guest, M. M. Smith, Howard, Pope, Grant, Anderson, Schuessler, G. M. Smith, Caskey, Davis and Govan
S. Printed 5/5/26--S.
Read the first time May 5, 2026
________
A bill
TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING ARTICLE 31 TO CHAPTER 9, TITLE 58 SO AS TO PERMIT CERTAIN ITEMS SOLD TO OR USED BY INTERNET ACCESS SERVICE PROVIDERS AND COMMUNICATIONS SERVICE PROVIDERS TO BE EXEMPT FROM SALES TAX.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Chapter 9, Title 58 of the S.C. Code is amended by adding:
Article 31
Service Provider Tax Exemptions
Section 58-9-3100. (A) All supplies, technical equipment, machinery, and electricity sold to internet access service providers and communications service providers, for use in producing, broadcasting, or distributing internet access service, communications services, or any combination thereof are exempt from sales tax imposed by Chapter 36, Title 12 pursuant to the provisions of Section 12-36-2120. For purposes of this section, internet access service providers and communications service providers are deemed to be manufacturers.
(B) An internet access provider or communications service provider shall apply to the Department of Revenue for a refund of state and local sales and use taxes paid on items exempt under this section not later than January thirty-first for the prior calendar year. No later than May first, the department shall calculate the total amount of qualifying refund claims. If the total amount of refund claims exceeds ten million dollars for any year, the department shall issue pro-rata refunds such that the total amount of refund claims shall not exceed ten million dollars for any year. Refunds shall be paid no later than June first.
SECTION 2. This act takes effect upon approval by the Governor and applies to tax years beginning after 2025.
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This web page was last updated on May 5, 2026 at 9:52 PM