Textiles revitalization

2025-2026 Bill 5488: Textiles revitalization - South Carolina Legislature Online

South Carolina General Assembly
126th Session, 2025-2026
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H. 5488
STATUS INFORMATION
General Bill
Sponsors: Reps. B. Newton and M.M. Smith
Companion/Similar bill(s): 1122
Document Path: LC-0489DG26.docx
Introduced in the House on April 1, 2026
Introduced in the Senate on May 5, 2026
Currently residing in the Senate Committee on
Finance
Summary: Textiles revitalization
HISTORY OF LEGISLATIVE ACTIONS

Date

Body

Action Description with journal page number

4/1/2026

House

Introduced and read first time (
House Journal-page 8
)

4/1/2026

House

Referred to Committee on
Ways and Means
(
House Journal-page 8
)

4/14/2026

House

Member(s) request name added as sponsor: M.M. Smith

4/28/2026

House

Committee report: Favorable
Ways and Means
(
House Journal-page 4
)

4/29/2026

House

Debate adjourned

4/30/2026

House

Read second time (
House Journal-page 26
)

4/30/2026

House

Roll call Yeas-89 Nays-13 (
House Journal-page 27
)

4/30/2026

House

Unanimous consent for third reading on next
legislative day (
House Journal-page 29
)

5/1/2026

House

Read third time and sent to Senate (
House Journal-page 2
)

5/5/2026

Senate

Introduced and read first time (
Senate Journal-page 10
)

5/5/2026

Senate

Referred to Committee on
Finance
(
Senate Journal-page 10
)

View the latest
legislative information
at the website
VERSIONS OF THIS BILL
04/01/2026
04/28/2026

Indicates Matter
Stricken

Indicates New Matter

Committee Report

April 28, 2026

H. 5488

Introduced
by Reps. B. Newton and M. M. Smith

S. Printed 4/28/26--H.

Read the first time April 1, 2026

________

The committee on House Ways and
Means

To whom was referred a Bill (H. 5488) to amend
the South Carolina Code of Laws by amending Section
12-65-20
, relating to
definitions for the South Carolina Textiles Communities Revitalization Act, so,
etc., respectfully

Report:

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

B.W. BANNISTER for Committee.

statement of estimated fiscal impact

Explanation of Fiscal Impact

State Expenditure

This bill amends the South Carolina
Textiles Communities Revitalization Act tax credit to specify that in order for
expenses to qualify for the credit, the requirement to renovate or demolish the
textile mill and buildings in a Notice of Intent to Rehabilitate applies
independently to each notice without regard to the status of any parcel or
building not in the notice. This bill would allow a taxpayer that owns a
contiguous parcel that qualifies for the credit to claim the credit before the
textile mill has been rehabilitated if the parcel on which the textile mill
sits is owned by a different, unaffiliated taxpayer. If the parcels are owned
by the same or an affiliated taxpayer, then the textile mill and building on
the mill site must be either renovated or demolished in order for the expenses
related to a contiguous parcel to qualify for the credit.

This bill will not impact expenditures for
DOR as the changes to forms and guidance can be completed with existing staff
and resources.

State Revenue

This bill amends the South Carolina
Textiles Communities Revitalization Act tax credit to specify that in order for
expenses to qualify for the credit, the requirement to renovate or demolish the
textile mill and buildings in a Notice of Intent to Rehabilitate applies
independently to each notice without regard to the status of any parcel or
building not in the notice. The Act allows taxpayers to claim a credit against local
real property taxes or state income tax, corporate license fees, insurance
premium taxes, or bank taxes for qualifying expenses incurred to rehabilitate a
textile mill site.

Currently, DOR has provided guidance which
specifies that in order to qualify for the credit, each owner of a subparcel
must renovate or demolish all buildings which were on the original textile mill
site, and each taxpayer's eligibility for the credit is dependent on the
compliance by all owners of the subparcels with the requirement to renovate or
demolish the textile mill and all buildings on the mill site. This bill would
allow a taxpayer that owns a contiguous parcel that qualifies for the credit to
claim the credit before the textile mill has been rehabilitated if the parcel
on which the textile mill sits is owned by a different, unaffiliated taxpayer.
If the parcels are owned by the same or an affiliated taxpayer, then the
textile mill and buildings on the mill site must be either renovated or
demolished in order for the expenses related to a contiguous parcel to qualify
for the credit.

Based on discussions with DOR, this bill
would allow a taxpayer to claim a credit for qualifying expenses before the
unaffiliated taxpayer completes the demolition or renovation of the textile
mill site, but it does not change the amount of the credit or which properties
qualify. Therefore, the bill is not expected to change the amount of credits or
impact state and local revenues overall although the timing of when the credits
are claimed may change.

Frank A. Rainwater, Executive Director

Revenue and Fiscal Affairs Office

_______

A bill

TO AMEND THE SOUTH
CAROLINA CODE OF LAWS BY AMENDING SECTION
12-65-20
, RELATING TO DEFINITIONS FOR
THE SOUTH CAROLINA TEXTILES COMMUNITIES REVITALIZATION ACT, SO AS TO SPECIFY
QUALIFYING REQUIREMENTS FOR CERTAIN REHABILITATION EXPENSES
.

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

S
ECTION 1.
S
ection
12-65-20
(8)(a) of the S.C. Code is amended to
read:

(
a) "Rehabilitation expenses" means the
expenses or capital expenditures incurred in the rehabilitation, renovation, or
redevelopment of the textile mill site, including without limitations, the
demolition of existing buildings, environmental remediation, site improvements
and the construction of new buildings and other improvements on the textile
mill site, but excluding the cost of acquiring the textile mill site or the
cost of personal property located at the textile mill site. For expenses
associated with a textile mill site to qualify for the credit, the textile mill
and buildings
on the textile mill site
included in the Notice of Intent to Rehabilitate
must be
either renovated or demolished
, and this requirement
applies independently to each Notice of Intent to Rehabilitate without regard
to the rehabilitation status of any parcel or building not included in that notice;
provided, however, that for any contiguous parcel included within the textile
mill site pursuant to item 4(b), the textile mill and buildings on the textile
mill site must be either renovated or demolished if both the textile mill and
the contiguous parcel are owned by the same taxpayer or affiliated taxpayers
.

S
ECTION 2. This act takes effect upon approval
by the Governor.

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This web page was last updated on April 28, 2026 at 5:09 PM