The SC Legislature has proposed and is considering a change in the amount of sales tax a customer would pay on the purchase of a vehicle. The proposal is to increase the CAP to $600 from the current $300. The sales tax would become a Road Use Fee and the revenue would be used for roads and bridge repairs throughout the State of South Carolina.
Contact your local Senator. Use the following information. The legislation is currently under consideration in the SENATE so call your state senator.
Find your Senator by going to or clicking here: http://www.scstatehouse.gov/legislatorssearch.php
The Carolinas Independent Automobile Dealers Association (CIADA) has concerns about proposed HB 3516 and SB 54 as currently written. The CIADA would encourage consideration of reducing the rate of taxation when increasing the cap from $300 to $600. Many of our customers will be adversely affected with maintaining the current rate of 5% and increasing the maximum amount paid to $600. Many of our customers are the ones who least can afford this change. Many of our customers are seniors on fixed incomes. College students. Service sector employees who work for minimum wage. Single parent families and the working poor.
Key Talking Point
The CIADA supports legislation that would provide a long term solution to fixing out roads, highways and bridges. We are asking for consideration to make this legislation more equitable on many of the customers we serve.
Purchase for $10,000. Current tax would be capped at $300. Under the proposal capped at $600. The Tax represents 6% of the sales price.
Purchase of $60,000. Current tax would be capped at $300. Under the proposal capped at $600. The Tax represents 1% of the sales price.
The less fortunate customer has to pay a rate of 6 times more in taxes to purchase a car 6 times less in value.
Additional Action Needed
CLICK HERE for a letter you can give to your customers, who can in turn send it to their Senator
CLICK HERE for an email template that you can send to your Senator.
CLICK HERE for a letter that you can print out and send to your Senator