Accommodations

2025-2026 Bill 3876: Accommodations - South Carolina Legislature Online

South Carolina General Assembly
126th Session, 2025-2026
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Indicates Matter Stricken
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H. 3876
STATUS INFORMATION
General Bill
Sponsors: Reps. Hewitt, Bailey, Kirby, Oremus, Hardee, Hayes, Cobb-Hunter, Ligon, Rutherford, B.L. Cox, Henderson-Myers and Atkinson
Document Path: LC-0082DG25.docx
Introduced in the House on January 30, 2025
Introduced in the Senate on January 21, 2026
Last Amended on May 8, 2025

Currently residing in the Senate
Summary: Accommodations
HISTORY OF LEGISLATIVE ACTIONS

Date

Body

Action Description with journal page number

1/30/2025

House

Introduced and read first time (
House Journal-page 48
)

1/30/2025

House

Referred to Committee on
Ways and Means
(
House Journal-page 48
)

4/23/2025

House

Member(s) request name added as sponsor: Cox

4/30/2025

House

Committee report: Favorable with amendment
Ways and Means
(
House Journal-page 50
)

5/1/2025

House

Member(s) request name added as sponsor:
Henderson-Myers, Atkinson

5/6/2025

Scrivener's error corrected

5/6/2025

House

Debate adjourned until Wed., 5-7-25 (
House Journal-page 23
)

5/7/2025

House

Member(s) request name removed as sponsor: McGinnis

5/7/2025

House

Requests for debate-Rep(s). Oremus, Frank, Pace,
Magnuson, Edgerton, Beach, White, Ballentine,
Chapman, Morgan, Terrible, Ligon, Gilreath,
Cromer, Huff (
House Journal-page 15
)

5/8/2025

House

Amended (
House Journal-page 100
)

5/8/2025

House

Read second time (
House Journal-page 100
)

5/8/2025

House

Roll call Yeas-66 Nays-38 (
House Journal-page 102
)

1/20/2026

House

Read third time and sent to Senate (
House Journal-page 23
)

1/21/2026

Senate

Introduced and read first time (
Senate Journal-page 11
)

1/21/2026

Senate

Referred to Committee on
Finance
(
Senate Journal-page 11
)

5/5/2026

Senate

Committee report: Favorable with amendment
Finance
(
Senate Journal-page 11
)

View the latest
legislative information
at the website
VERSIONS OF THIS BILL
01/30/2025
04/30/2025
05/06/2025
05/08/2025
05/05/2026

Indicates Matter Stricken

Indicates New Matter

Committee Report

May 5, 2026

H. 3876

Introduced by Reps. Hewitt, Bailey, Kirby,
Oremus, Hardee, Hayes, Cobb-Hunter, Ligon, Rutherford, Cox, Henderson-Myers and
Atkinson

S. Printed 5/5/26--S.

Read the first time January 21, 2026

________

The committee on Senate Finance

To whom was referred a Bill (H. 3876) to amend
the South Carolina Code of Laws by adding Section
12-36-72
so as to specify the
party responsible for collecting and remitting certain taxes and fees imposed, etc.,
respectfully

Report:

That they have duly and carefully considered
the same, and recommend that the same do pass with amendment:

Amend
the bill, as and if amended, SECTION 1, by striking Section
12-36-72
(A)(2) and
inserting:

(2) "Accommodations
provider" means any person, firm, or corporation which owns, directly or
indirectly, or any professional property management company which manages, an
accommodation and engages in transactions subject to the tax levied pursuant to
Section
12-36-920
that is required to have an active account with the
department and is required to collect and remit tax on such transactions and
who designates the merchant of record for the purposes of collecting and
remitting taxes and any associated fees. .

Amend
the bill further, SECTION 1, by striking Section
12-36-72
(B)(1) and (2) and
inserting:

(B)(1) Except as provided in
subsection (D)(C), an accommodations intermediary shall collect and remit the
tax levied pursuant to Section
12-36-920
and any applicable local
accommodations taxes or fees levied pursuant to Section
5-7-30
,
6-1-520
, or
6-1-630
for any transactions it facilitates.

(2) An accommodations
intermediary is not liable for the taxes for which a professional property
management company is responsible for collecting and remitting due to its
statuselected and designated as merchant of record pursuant to subsection
(D)(C).

Amend
the bill further, SECTION 1, by striking Section
12-36-72
(C), (D), (E), and (F)
and inserting:

(C) In any accommodations
transaction in which an accommodations intermediary facilitates the rental or
provision of the accommodation, the accommodations intermediary shall
separately state the amount of the taxes on the bill, invoice, or similar
documentation and shall add the taxes to the room charge. Thereafter, such
taxes are a debt from the customer to the accommodations intermediary.

(D)(C) In any accommodations
transactions subject to the tax levied pursuant to Section
12-36-920
and that
are facilitated through an accommodations intermediary, if If an accommodations
provider has contracted with or engaged a professional property management
company to manage or oversee the rental of the property subject to the
accommodations transaction, and that property is subsequently booked through an
accommodations intermediary, the intermediary shall notify both the
accommodations provider and the property management company of the booking
within twenty-four hours. Upon receipt of such notice, the accommodations
provider shall have five calendar days to designate in writing, or
electronically, the accommodations intermediary or the property management
company to serve as the merchant of record for the transaction. If the
accommodations provider designates the property management company as the
merchant of record, the accommodations intermediary shall transmit to the
property management company the following within five calendar days of the
written designation: the location of the accommodations, the amount of agreed
upon rental charges, the payor, the form of payment, and the details of said
form of payment within five business days of receipt by the intermediary. The
recipient of such information shall treat it as confidential and shall use it
solely for the purposes set forth in this section. The recipient shall not
disclose, sell, transfer, use, or otherwise make available such information except
as necessary to fulfill the merchant of record obligations as described in this
section. If an accommodations provider fails to make such designation within
five business days of the property being booked, the intermediary shall serve
as the merchant of record for the transactions. If the professional property
management company is designated the merchant of record for such transactions,
the professional property management company and is responsible for the
collection and remittance of applicable taxes and fees levied pursuant to
Sections
12-36-920
,
5-7-30
,
6-1-520
, and
6-1-630
. Any information and
documentation pertaining to the location of the accommodations, the amount of
agreed upon rental or charges, the payor, the form of payment, and the details
of said form of payment such as credit card number, that are obtained by the
accommodations intermediary must be provided to the merchant of record within
one business day of receipt by the accommodations intermediary.

(D) In any accommodations
transaction in which an accommodations intermediary facilitates the rental or
provision of the accommodation, the accommodations intermediary shall
separately state the amount of the taxes on the bill, invoice, or similar
documentation and shall add the taxes to the room charge. Thereafter, such
taxes are a debt from the customer to the accommodations intermediary.

(E) Every accommodations
intermediary and accommodations provider annually shall submit a report in a
form prescribed by the department that includes the physical address of each
accommodation that was rented or furnished for more than fourteen days during
the previous calendar year. The report must be treated as confidential.

(E) In addition to other
penalties and interest imposed by the ordinance of an implementing jurisdiction
for failure to comply with local accommodations tax requirements imposed
pursuant to Article 5, Chapter 1, Title 6, the jurisdiction may impose, with
respect to a single rental property, a one-time civil penalty for noncompliance
for failure to collect and remit local accommodations tax of not less than five
hundred dollars nor more than two thousand dollars for each seven days the
property was rented.

(F) By February first of each
year, any entity serving as a merchant of record must provide a report to each
municipality detailing the amount and type of taxes collected from each
property located in the municipality in the previous calendar year in which
they collect and remit taxes pursuant to this section.

(F)(G) This section does not
apply to a hotel that collects and remits the tax levied pursuant to Section
12-36-920
.

Amend
the bill further, SECTION 2, by striking Section
12-36-70
(1)(b) and inserting:

(b) furnishing
accommodations to transients for a consideration, except an individual
furnishing accommodations of less than six sleeping rooms on the same premises,
which is the individuals place of abode;

Amend
the bill further, SECTION 2, by striking Section
12-36-70
(4) and inserting:

(4) operating as an
accommodations intermediary, accommodations provider, or professional property
management company, as applicable for purposes of serving as the merchant
record, as defined in Section
12-36-72
.

Amend the
bill further, SECTION 3.A., by striking Section
12-36-920
(E) and inserting:

(E)
The taxes imposed
by this section are imposed on every person engaged or continuing within this
State in the business of furnishing accommodations to transients for
consideration.
Except as required
otherwise
by Section
12-36-72
(B), the taxes imposed by this section must be collected and remitted
by the person engaged or continuing within this State in the business of, or
acting as merchant of record, as defined in Section
12-36-72
, with respect to
furnishing accommodations to transients for consideration.

Amend the bill
further, SECTION 3.B., by striking Section
12-36-920
(F) and inserting:

(F) Annually, the department shall publish
the applicable tax rate, fees, and surcharges imposed on accommodations by the
State or any local governing body including, but not limited to, the taxes,
fees, and surcharges imposed pursuant to Chapter 1, Title 6, and Chapter 7,
Title 5. If a local governing body imposes a new tax, fee, or surcharge on
accommodations or increases the rate of any existing tax, fee, or surcharge on
accommodations, the department shall notify each accommodations intermediary
accommodations provider, or professional management
company, as defined in Section
12-36-72
,
from which it has received
remittances of the new tax, fee, or surcharge at least sixty days before the
provisions of subsection (G) may be utilized.

Amend the bill
further, by deleting SECTION 5 from the bill.

Amend the bill
further, by striking SECTION 7.B and inserting:

S
ECTION
X.
A
rticle 1, Chapter 57, Title 40 of the S.C. Code is amended
by adding:

S
ection
40-57-260
. Unless the provisions of
12-37-72
(C) apply, a professional property management company is not
responsible for the collection and remittance of the tax levied pursuant to
Section
12-36-920
and any applicable local accommodations taxes or fees levied
pursuant to Section
5-7-30
,
6-1-520
, or
6-1-630
if the transaction was
facilitated by an accommodations intermediary as defined in Section
12-36-72
.
This provision may not be construed to relieve the payment of the tax as
lawfully due.

S
ECTION
X.
A
rticle 1, Chapter 1, Title 6 of the S.C. Code is amended by
adding:

S
ection
6-1-200
.
(
A) By February 1, 2027, any
municipality or county that levies any tax associated with accommodations
transactions shall notify the Department of Revenue of such tax. Such
notification must include the following: the name and type of tax, the
applicable rate, the boundaries to which the tax applies, the remittance
procedures and schedule required, and the designated recipient and remittance
information for the payment of the tax. By March 1, 2027, the Department of
Revenue shall compile and publicly publish all information received pursuant to
this subsection in a manner that is readily available and accessible to
accommodations providers, accommodations intermediaries, and any other party
responsible for the collection and remittance of such applicable taxes. A
municipality or county must notify the Department of Revenue of any amendments
to the applicable tax, and the department shall update and publish the
information.

(
B) The duty to notify the department of
any tax levied on accommodations transactions pursuant to this section shall
rest solely with the municipality or county that levies such taxes. No
accommodations provider, accommodations intermediary, or the department shall
bear any obligation to independently identify, research, or determine the
existence of such tax. If a municipality or county fails to provide timely
notification to the Department of Revenue, neither the Department of Revenue
nor any accommodations provider, nor any accommodations intermediary shall be
subject to liability for the failure to collect or remit such tax.

Renumber sections to conform.

Amend title to conform.

HARVEY PEELER for Committee.

_______

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION
12-36-72
SO AS TO SPECIFY THE PARTY RESPONSIBLE FOR COLLECTING AND REMITTING
CERTAIN TAXES AND FEES IMPOSED ON ACCOMMODATIONS; BY AMENDING SECTION
12-36-70
,
RELATING TO THE DEFINITION OF RETAILER, SO AS TO INCLUDE PERSONS OPERATING AS
AN ACCOMMODATIONS INTERMEDIARY AND TO DELETE AN EXCEPTION; BY AMENDING SECTION
12-36-920
, RELATING TO THE ACCOMMODATIONS TAX, SO AS TO SPECIFY THE PARTY
RESPONSIBLE FOR COLLECTING AND REMITTING CERTAIN TAXES AND FEES IMPOSED ON
ACCOMMODATIONS AND TO REQUIRE AN ANNUAL REPORT ON IMPOSITIONS; BY AMENDING
SECTION
6-1-510
, RELATING TO THE LOCAL ACCOMMODATIONS TAX, SO AS TO INCLUDE
GROSS PROCEEDS OF PERSONS ACTING AS MERCHANTS OF RECORD; BY AMENDING SECTION
6-1-520
, RELATING TO THE LOCAL ACCOMMODATIONS TAX, SO AS TO REQUIRE A LOCAL
GOVERNMENT TO NOTIFY THE DEPARTMENT OF REVENUE AND THE STATE TREASURER OF
CERTAIN IMPOSITIONS; BY AMENDING SECTION
6-1-570
, RELATING TO REMITTING THE
LOCAL ACCOMMODATIONS TAX, SO AS TO CLARIFY THE TAX IS TO BE COLLECTED; BY
AMENDING SECTION
6-1-630
, RELATING TO THE BEACH PRESERVATION FEE, SO AS TO
REQUIRE THE FEE TO BE COLLECTED AND REMITTED IN THE SAME MANNER AS THE LOCAL
ACCOMMODATIONS TAX AND TO REQUIRE THE LOCAL GOVERNMENT TO NOTIFY THE DEPARTMENT
OF REVENUE AND THE STATE TREASURER OF THE IMPOSITION OF THE FEE; AND BY
AMENDING SECTION
5-7-30
, RELATING TO THE POWERS OF A MUNICIPALITY, SO AS TO
REQUIRE CERTAIN UNIFORM SERVICE CHANGES ON ACCOMMODATIONS BE COLLECTED AND
REMITTED IN THE SAME MANNER AS THE LOCAL ACCOMMODATIONS TAX AND TO REQUIRE THE
LOCAL GOVERNMENT TO NOTIFY THE DEPARTMENT OF REVENUE AND THE STATE TREASURER OF
THE IMPOSITION OF THE FEE.

B
e it enacted by the
General Assembly of the State of South Carolina:

S
ECTION 1.
A
rticle 1, Chapter 36, Title 12 of the S.C. Code is
amended by adding:

S
ection
12-36-72
.
(
A) For purposes of this
section:

(
1)
"Accommodations intermediary" means any person, firm, or corporation other than
an accommodations provider, including online travel agencies and digital
booking platforms, that facilitates the rental or provision of accommodations
for rent, or that otherwise facilitates lodging or accommodation transactions,
all which are subject to the tax levied pursuant to Section
12-36-920
, and
charges a fee or commission to the customer which it retains as compensation
for such facilitation.

(
2)
"Accommodations provider" means any person, firm, or corporation which owns,
directly or indirectly, or any professional property management company which
manages, an accommodation and engages in transactions subject to the tax levied
pursuant to Section
12-36-920
that is required to have an active account with
the department and is required to collect and remit tax on such transactions.

(
3)
"Facilitate" means brokering, coordinating, arranging, or otherwise enabling
the rental or purchase of the right to use accommodations, including through
online marketplaces, digital platforms, or via one or more payment processors,
directly between a customer and an accommodations provider.

(
4)
"Merchant of record" means the legally authorized and responsible entity that
receives and processes customer payments for the sales of goods or services,
including the facilitation of accommodations transactions within this State.

(
5)
"Professional property management company" means a business operating under a
licensed real estate broker-in-charge or property manager-in-charge authorized
under the laws of this State to engage in the business of property management
services on behalf of property owners.

(
6)
"Rental or charges" means the total price paid by the guest for an
accommodation, including any accommodations fee, charges for use or rental of
personal property and services furnished in the room or accommodation, and any
other fees or charges.

(
B)
(
1) Except as provided in subsection
(D), an accommodations intermediary shall collect and remit the tax levied
pursuant to Section
12-36-920
and any applicable local accommodations taxes or
fees levied pursuant to Section
5-7-30
,
6-1-520
, or
6-1-630
for any
transactions it facilitates.

(
2)
An accommodations intermediary is not liable for the taxes for which a
professional property management company is responsible for collecting and
remitting due to its status as merchant of record pursuant to subsection (D).

(
C) In
any accommodations transaction in which an accommodations intermediary
facilitates the rental or provision of the accommodation, the accommodations
intermediary shall separately state the amount of the taxes on the bill,
invoice, or similar documentation and shall add the taxes to the room charge.
Thereafter, such taxes are a debt from the customer to the accommodations
intermediary.

(
D) In
any accommodations transactions subject to the tax levied pursuant to Section
12-36-920
and that are facilitated through an accommodations intermediary, if
an accommodations provider has contracted with or engaged a professional
property management company to manage or oversee the rental of the property
subject to the accommodations transaction, the professional property management
company is the merchant of record for such transactions and is responsible for
the collection and remittance of applicable taxes and fees levied pursuant to
Sections
12-36-920
,
5-7-30
,
6-1-520
, and
6-1-630
. Any information and
documentation pertaining to the location of the accommodations, the amount of
agreed upon rental or charges, the payor, the form of payment, and the details
of said form of payment such as credit card number, that are obtained by the
accommodations intermediary must be provided to the merchant of record within
one business day of receipt by the accommodations intermediary.

(
E)
Every accommodations intermediary and accommodations provider annually shall
submit a report in a form prescribed by the department that includes the
physical address of each accommodation that was rented or furnished for more
than fourteen days during the previous calendar year. The report must be
treated as confidential.

(
F)
This section does not apply to a hotel that collects and remits the tax levied
pursuant to Section
12-36-920
.

S
ECTION 2.
S
ection
12-36-70
of the S.C. Code is amended to read:

S
ection
12-36-70
.
"
Retailer" and "seller" include every
person:

(
1)
(
a) selling or auctioning tangible
personal property whether owned by the person or others;

(
b)
furnishing accommodations to transients for a consideration
, except an individual furnishing accommodations of less than
six sleeping rooms on the same premises, which is the individuals place of
abode
;

(
c)
renting, leasing, or otherwise furnishing tangible personal property for a
consideration;

(
d)
operating a laundry, cleaning, dyeing, or pressing establishment for a
consideration;

(
e)
selling electric power or energy;

(
f)
selling or furnishing the ways or means for the transmission of the voice or of
messages between persons in this State for a consideration. A person engaged
in the business of selling or furnishing the ways or means for the transmission
of the voice or messages as used in this subitem (f) is not considered a
processor or manufacturer;

(
2)
(
a) maintaining a place of business or
qualifying to do business in this State; or

(
b)
not maintaining an office or location in this State but soliciting business by
direct or indirect representatives, manufacturers agents, distribution of
catalogs, or other advertising matter or by any other means, and by reason
thereof receives orders for tangible personal property or for storage, use,
consumption, or distribution in this State.

(
3)
operating as a marketplace facilitator, as defined in Section
12-36-71
.

(
4) operating as an accommodations
intermediary, as defined in Section
12-36-72
.

T
he department, when
necessary for the efficient administration of this chapter, may treat any
salesman, representative, trucker, peddler, or canvasser as the agent of the
dealer, distributor, supervisor, employer, or other person under whom they
operate or from whom they obtain the tangible personal property sold by them,
regardless of whether they are making sales on their own behalf or on behalf of
the dealer, distributor, supervisor, employer, or other person. The department
may also treat the dealer, distributor, supervisor, employer, or other person
as a retailer for purposes of this chapter.

S
ECTION
3.A.
S
ection
12-36-920
(E) of the S.C. Code is
amended to read:

(
E)
The taxes
imposed by this section are imposed on every person engaged or continuing
within this State in the business of furnishing accommodations to transients
for consideration.
Except as required by Section
12-36-72
(B), the taxes imposed by this section must be collected and remitted
by the person engaged or continuing within this State in the business of, or
acting as merchant of record, as defined in Section
12-36-72
, with respect to
furnishing accommodations to transients for consideration.

B
.
S
ection
12-36-920
of the S.C. Code is amended by
adding:

(
F) Annually, the department shall
publish the applicable tax rate, fees, and surcharges imposed on accommodations
by the State or any local governing body including, but not limited to, the
taxes, fees, and surcharges imposed pursuant to Chapter 1, Title 6, and Chapter
7, Title 5. If a local governing body imposes a new tax, fee, or surcharge on
accommodations or increases the rate of any existing tax, fee, or surcharge on
accommodations, the department shall notify each accommodations intermediary
from which it has received remittances of the new tax, fee, or surcharge at
least sixty days before the provisions of subsection (G) may be utilized.

(
G)
The uniform provisions for the collection and enforcement of taxes assessed by
the department pursuant to Chapter 54, Title 12 apply to an accommodations
intermediary.

S
ECTION 4.
S
ection
6-1-510
(1) of the S.C. Code is amended to read:

(
1) "Local accommodations tax" means a
tax on the gross proceeds derived from the rental or charges for accommodations
furnished to transients as provided in Section
12-36-920
(A) and which is
imposed on every person engaged or continuing within the jurisdiction of the
imposing local governmental body in the business of
, or
acting as merchant of record as defined in Section
12-36-72
,
furnishing
accommodations to transients for consideration.

S
ECTION 5.
S
ection
6-1-520
of the S.C. Code is amended by adding:

(
C) If a local governing body imposes
the tax authorized by this section, it must notify the department and the State
Treasurer through delivery of a certified copy of the ordinance adopted by the
local governing body at least sixty days before the imposition takes effect.

S
ECTION 6.
S
ection
6-1-570
of the S.C. Code is amended to read:

S
ection
6-1-570
. The tax provided for in this article must be

collected and
remitted to the local governing body on a monthly basis
when the estimated amount of average tax is more than fifty dollars a month, on
a quarterly basis when the estimated amount of average tax is twenty-five
dollars to fifty dollars a month, and on an annual basis when the estimated
amount of average tax is less than twenty-five dollars a month.

S
ECTION
7.A.
S
ection
6-1-630
(E) of the S.C. Code is amended
to read:

(
E)
The fee
authorized by this article must be collected, remitted, and administered in the
same manner as the tax imposed pursuant to Section
6-1-520
.
All proceeds
from the beach preservation fee must be kept in a separate fund segregated from
the governing body's general fund. All interest generated by the beach
preservation fee fund must be credited to the beach preservation fee fund.

B
.
S
ection
6-1-630
of the S.C. Code is amended by adding:

(
F) If the fee authorized by this article
is imposed, the local governing body must notify the department and the State
Treasurer through delivery of a certified copy of the ordinance adopted by the
local governing body at least sixty days before the imposition takes effect.

S
ECTION 8. This act takes effect upon approval
by the Governor.

----XX----

This web page was last updated on May 5, 2026 at 9:22 PM