Taxation of commercial aircraft

2025-2026 Bill 436: Aircraft

South Carolina General Assembly

126th Session, 2025-2026

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A165, R136, S436

STATUS INFORMATION

General Bill

Sponsors: Senators Grooms, Fernandez and Leber

Document Path: SR-0266KM25.docx

Introduced in the Senate on March 11, 2025

Introduced in the House on April 30, 2026

Last Amended on April 28, 2026

Currently residing in the House

Governor's Action: May 18, 2026, Signed

Summary: Taxation of commercial aircraft

HISTORY OF LEGISLATIVE ACTIONS

Date

Body

Action Description with journal page number

3/11/2025

Senate

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

3/11/2025

Senate

Referred to Committee on
Finance
(
Senate Journal-page 8
)

4/15/2026

Senate

Committee report: Favorable with amendment
Finance
(
Senate Journal-page 43
)

4/28/2026

Senate

Committee Amendment Adopted (
Senate Journal-page 42
)

4/28/2026

Senate

Read second time (
Senate Journal-page 42
)

4/28/2026

Senate

Roll call Ayes-42 Nays-2 (
Senate Journal-page 42
)

4/29/2026

Senate

Read third time and sent to House (
Senate Journal-page 31
)

4/30/2026

House

Introduced and read first time (
House Journal-page 154
)

4/30/2026

House

Referred to Committee on
Ways and Means
(
House Journal-page 154
)

5/6/2026

House

Committee report: Favorable
Ways and Means
(
House Journal-page 10
)

5/7/2026

House

Debate adjourned (
House Journal-page 27
)

5/12/2026

House

Read second time (
House Journal-page 76
)

5/12/2026

House

Roll call Yeas-111 Nays-0 (
House Journal-page 77
)

5/13/2026

House

Concurred in Senate amendment and enrolled (
House Journal-page 22
)

5/14/2026

Ratified R 136

5/18/2026

Signed By Governor

5/27/2026

Effective date 05/18/26

5/27/2026

Act No. 165

View the latest
legislative information
at the website

VERSIONS OF THIS BILL

03/11/2025
04/15/2026
04/28/2026
05/06/2026

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

NOTE: THIS IS A TEMPORARY VERSION. THIS DOCUMENT WILL REMAIN IN THIS VERSION UNTIL FINAL APPROVAL BY THE LEGISLATIVE COUNCIL.

(A165, R136, S436)

AN ACT TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY AMENDING SECTION 12-43-220, RELATING TO ASSESSMENT RATIOS, SO AS TO PROVIDE THAT FEE IN LIEU OF TAX AGREEMENTS MAY INCLUDE CERTAIN COMMERCIAL AIRCRAFT.

Be it enacted by the General Assembly of the State of South Carolina:

Taxation of commercial aircraft

SECTION 1. Section 12-43-220(g) of the S.C. Code is amended to read:

(g) All real and personal property owned by or leased to companies primarily engaged in the transportation for hire of persons or property and used by such companies in the conduct of such business and required by law to be assessed by the department shall be taxed on an assessment equal to nine and one-half percent of the fair market value of such property. Notwithstanding this provision, until June 30, 2027, fee in lieu of tax agreements may include commercial aircraft as part of a qualifying project in support of economic development, subject to all other statutory requirements for fee in lieu of tax agreements, as approved by the Coordinating Council for Economic Development.

The department shall apply an equalization factor to real and personal property owned by or leased to transportation companies for hire as mandated by federal legislation.

Notwithstanding any other provision of this article, on June 3, 1975, if it is found that there is a variation between the ratios being used and those stated in this section, the county may provide for a gradual transition to the ratios as herein provided for over a period not to exceed seven years; provided, however, that all property within a particular classification shall be assessed at the same ratio, provided, further, however, that all property enumerated in subsection (a) shall be assessed at the ratio provided in such subsection and the property enumerated in subsections (b), (c), (d), (e), (f), and (g) shall be increased or decreased to the ratios set forth in this article by a change in the ratio of not less than one-half of one percent per year nor more than one percent per year. Provided, however, that notwithstanding the provisions of this section, a county may, at its discretion, immediately implement the assessment ratios contained in subsections (b), (c), (d), (e), and (f). Provided, however, that livestock shall not be subject to ad valorem taxation unless such livestock is physically located within the State for a period in excess of nine months. Provided, that this section shall not apply to farm animals and farm equipment in use on a farm in those counties which do not tax such property as of June 3, 1975.

Provided, however, all agricultural or forest land within easements granted to public bodies, agencies, railroads, or utilities for rights of way of thirty feet in width or greater shall be assessed at the same cropland value per acre as soil class 7 in schedule 1 of R 117-126 of the State Department of Revenue. In order to receive such assessment the landowner must apply to the tax assessor of the county where the easement is located, with documentation of the existence, location, and amount of acreage contained in the easement.

As used in this section, fair market value with reference to real property means fair market value determined in the manner provided pursuant to Article X of the Constitution of this State, Section 12-37-930 and Article 25, Chapter 37 of this title.

Time effective

SECTION 2. This act takes effect upon approval by the Governor.

Ratified the 14th day of May, 2026.

Approved the 18th day of May, 2026.

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This web page was last updated on
June 2, 2026 at 11:14 AM