South Carolina 2025-2026 Regular Session

South Carolina Senate Bill S0728

Introduced
1/13/26  

Caption

Tax Free Month

Summary

S0728 would expand South Carolina’s existing sales tax holiday by changing the tax-free period from a single weekend in August to the entire month of August. During that month, qualifying purchases would be exempt from sales tax if they are clothing, clothing accessories, footwear, school supplies, computers and related printer/software items, and certain bedding and bath items. The bill amends the state sales tax exemption statute in Section 12-36-2120 of the South Carolina Code of Laws. The measure is structured as a straightforward change to the timing of the exemption, replacing the current Friday-through-Sunday holiday with an August 1 through August 31 tax-free period. It would take effect upon approval by the Governor. The bill title, “Tax Free Month,” reflects the broader scope of the exemption compared with the current tax-free weekend.

Impact

If enacted, the bill would broaden South Carolina’s sales tax exemption for back-to-school and household items by extending the holiday from three days to the full month of August. This would reduce sales tax collections on qualifying purchases during that period and would affect retailers selling the listed goods, as well as consumers purchasing school-related and apparel items. The bill directly amends Section 12-36-2120 of the South Carolina Code of Laws, which governs sales tax exemptions.

Sentiment

No committee transcripts or recorded votes were provided, so there is no direct evidence of debate or opposition in the available materials. Based on the bill text alone, the proposal appears consumer-friendly and aimed at easing costs for families and shoppers during the back-to-school season. The caption and drafting suggest a generally favorable policy goal of expanding tax relief.

Contention

The main potential point of contention is fiscal impact: extending the tax holiday to an entire month would likely reduce state sales tax revenue more than the current weekend exemption. Another possible issue is whether the broader exemption would disproportionately benefit higher-volume retailers or shift consumer purchasing behavior rather than simply providing relief. However, no specific objections, amendments, or opposing viewpoints appear in the provided legislative history.

Companion Bills

No companion bills found.

Previously Filed As

SC HB1437

In sales and use tax, further providing for exclusions from tax.

SC SB0001

Local government finance.

SC HB1001

State budget.

SC HB2391

Relating To Taxation.

SC HF2705

Clothing exemption modified to include only clothing $150 or less per item.

SC HB2971

Back to school sales tax holiday

SC HB5235

Back to school sales tax holiday

SC HB175

AN ACT relating to a sales and use tax holiday and declaring an emergency.

SC S0131

Job Creation and Competitiveness Act

SC S0014

Tax Free Formula and Baby Food

Similar Bills

No similar bills found.