SOUTH CAROLINA INCENTIVES SUMMARY

Economic Development Set-Aside Program
This program assists companies in locating or expanding in South Carolina by providing financial assistance for infrastructure improvements related to business location or expansion, including road, water/sewer, and site improvements.

Governor Closing Fund
The Closing Fund may be available when additional funding is needed to attract or retain high-impact economic development projects to South Carolina. The funds are used to assist with costs associated with real property or infrastructure improvements.

Rural Infrastructure Fund (RIF)
The RIF may be available to support job creation, product development, and infrastructure improvements that enhance economic growth in qualified counties in rural areas of South Carolina. The Department of Revenue defines qualified counties as Tier III or Tier IV and has approved an economic development strategic plan by the Coordinating Council for Economic Development.

Job Development Credit
This program provides companies with cash grants to assist with the cost of locating or expanding a facility in South Carolina. The Job Development Credit reimburses companies a percentage of the personal state withholding tax of new employees filling new full-time jobs that provide health care benefits. The program caps the annual grant amount to $3,250 per employee annually for up to ten years. Employees receive an annual tax credit equal to the grant awarded to the company.

Corporate Headquarters Credit
South Carolina provides a 20% tax credit based on the value of the percentage of a building dedicated to headquarters operations or direct lease costs for the facility over the first five years of operation. This tax credit is not limited to eliminating corporate income taxes and may potentially eliminate corporate income taxes for up to ten years. Headquarters operations include executive, administrative, or professional workers performing headquarters-related functions and services who spend 80% of their time on corporate-wide duties.

Enhanced Corporate Headquarters Tax Credit
In addition to the Corporate Headquarters Credit, which is based on the value of the building devoted to corporate functions, the Enhanced Corporate Headquarters Tax Credit provides a tax credit equal to 20 percent of the tangible personal property costs of establishing the headquarters facility.

Manufacturing Investment Tax Credit
Manufacturers locating or expanding in South Carolina may claim a one-time tax credit against their corporate income tax of up to 2.5% of their investment in new production equipment. The tax credit may offset up to 100% of income tax liability, and any unused credits may be carried forward for up to ten years.

Jobs Tax Credit
The Jobs Tax Credit allows companies to claim a tax credit ranging from $1,500 to $25,000 per job, based on the company's industry and location, for creating at least ten net new jobs. The credit is available for a five-year term.

Investment Tax Credit
Manufacturers locating or expanding in South Carolina may receive a one-time credit of up to 2.5 percent of a company's investment in new production equipment.

Workforce Training
South Carolina offers several training programs to assist companies in locating or expanding in the state. readySC provides recruiting and training assistance via the 16 state technical colleges to develop customized employee training programs at no cost to companies.

Other training programs include on-the-job training, which reimburses between 50-90 percent of wages or salaries for costs associated with training new employees. Incumbent worker training may assist with training current employees to upgrade skills to support new technology, restructuring, new product lines, and other events that impact existing workforces.