South Carolina S 61: Taxation on boats

Bill Text

South Carolina General Assembly

126th Session, 2025-2026



S. 61



STATUS INFORMATION



General Bill

Sponsors: Senators Bennett, Hutto, Rice, Campsen and Leber

Document Path: LC-0036DG25.docx



Introduced in the Senate on January 14, 2025

Currently residing in the Senate Committee on Finance



Summary: Taxation on boats





HISTORY OF LEGISLATIVE ACTIONS



	Date	Body	Action Description with journal page number	

	12/11/2024	Senate	Prefiled
 

	12/11/2024	Senate	Referred to Committee on Fish, Game and Forestry

	1/14/2025	Senate	Introduced and read first time (Senate Journal‑page 54)

	1/14/2025	Senate	Referred to Committee on Fish, Game and Forestry (Senate Journal‑page 54)

	1/16/2025	Senate	Recalled from Committee on Fish, Game and Forestry (Senate Journal‑page 4)

	1/16/2025	Senate	Committed to Committee on Finance (Senate Journal‑page 4)



View the latest  legislative information  at the website





VERSIONS OF THIS BILL



12/11/2024

12/11/2024-A

























A bill



TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY AMENDING ARTICLE 1 OF CHAPTER 23, TITLE 50, RELATING TO THE TITLING OF WATERCRAFT AND OUTBOARD MOTORS, SO AS TO DELETE THE REQUIREMENT THAT OUTBOARD MOTORS BE TITLED; BY AMENDING SECTION 50‑23‑345, RELATING TO A TEMPORARY CERTIFICATE OF NUMBER, SO AS TO MAKE A CONFORMING CHANGE; BY AMENDING SECTION 50‑23‑375, RELATING TO A VALIDATION DECAL, SO AS TO MAKE A CONFORMING CHANGE; BY AMENDING SECTION 12‑37‑3210, RELATING TO TAX NOTICES FOR BOATS AND BOAT MOTORS, SO AS TO MAKE A CONFORMING CHANGE; AND BY ADDING ARTICLE 5 TO CHAPTER 23, TITLE 50 SO AS TO PROVIDE FOR THE REGISTRATION OF WATERCRAFT AND OUTBOARD MOTORS.



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



SECTION 1.	Article 1, Chapter 23, Title 50 of the S.C. Code is amended to read:



Article 1



Titling of Watercraft and Outboard Motors



	Section 50‑23‑5.	For purposes of this article, “watercraft” means anything used or capable of being used as a means of transportation on the water, including any affixed outboard motor, but does not include: a seaplane regulated by the federal government, water skis, aquaplanes, surfboards, windsurfers, tubes, rafts, and similar devices or anything that does not meet construction or operational requirements of the state or federal government for watercraft.



	Section 50‑23‑10.	Each entity desiring to be a marine dealer shall apply for a permit each year. A permit is valid from January first to December thirty‑first. The permit cost is ten dollars. Applications for renewals must be received by December fifteenth each year. A marine dealer shall have an established place of business with a street address separate from a residence. A marine dealer shall have a valid business license and permit for each separate facility. A facility is separate if it is not within the same compound or has a separate street address. Marine dealers who sell new or used watercraft shall sell a minimum of ten watercraft or outboard motors a year in order to renew the permit. A dealer who fails to meet minimum requirements each year may request in writing a review of the permit and sales. After review of the dealer’s records and after good cause has been shown by the dealer for not meeting the minimum requirements, the department may renew the permit for the calendar year. Permitted marine dealers may apply for demonstration numbers. Marine dealers permitted under this article consent to inspections of the business and its records during regular business hours by department personnel and other law enforcement officers. A dealer who fails to cooperate with department inspections forfeits his permit. A marine dealer permit is invalid when a change is made to one or more of the following:

	(1) location address;

	(2) federal employer identification number;

	(3) South Carolina tax number;

	(4) ownership; or

	(5) business name.



	Section 50‑23‑11.	(A) Dealer demonstration numbers are limited to watercraft that are:

		(1) held for sale by the dealership or assigned to the dealership, including customer watercraft in for service and watercraft being ferried by the dealership;

		(2) being operated for limited demonstration rides by prospective buyers;

		(3) being operated for purposes of buyer demonstration by owners, employees, or corporate officers of the dealership;

		(4) being tested for service by the dealership;

		(5) being temporarily operated by an established customer whose boat is being repaired;  and

		(6) valid from the date of issue until December thirty‑first inclusive of each year.

	(B) The demonstration numbers must not be permanently attached to the vessel but must be on board at all times. Marine dealers who sell watercraft are allowed nine demonstration numbers. Marine dealers who only service watercraft or outboard motors are allowed one demonstration number.

	If a dealer allows the operation of a watercraft with demonstration numbers, the dealer s