Download This Version in Microsoft Word format
Indicates Matter Stricken
Indicates New Matter
Indicates Matter Stricken
Indicates New Matter
COMMITTEE REPORT
April 18, 2007
H. 3233
S. Printed 4/18/07--H.
Read the first time January 11, 2007.
To whom was referred a Bill (H. 3233) to amend Section 50-23-295, Code of Laws of South Carolina, 1976, relating to the requirement for personal property taxes on a watercraft and outboard motor, etc., respectfully
That they have duly and carefully considered the same and recommend that the same do pass:
DANIEL T. COOPER for Committee.
REVENUE IMPACT 1/
This bill is not expected to have any impact on state revenues. The impact on local revenues, if any, would be negligible.
Explanation
This bill makes changes to South Carolina Code of Laws Section 50-23-295. Act Number 403 added this section to the Code of Laws in 2000. It was approved on October 3, 2000. This bill adds language to stipulate that the certificate of title to watercraft or outboard motors may not be transferred if the department has notice that property taxes for property tax years beginning after 1999 are owed on the watercraft or outboard motor. Section 3 of this bill adds language that states used watercraft and outboard motors obtained from a licensed dealer on or after October 3, 2000 are free and clear of the lien for property taxes for property tax years before the 2000 property tax year. Section 4 adds language that states property taxes paid on watercraft and outboard motors for property tax years before the 2000 property tax year are not refundable pursuant to any provision of this act. Section 5 repeals Act 451 of 2002. This Act contains similar language to this bill, but is only applicable to Lexington County. Overall, this bill is not expected to have any impact on state revenues. The impact on local revenues, if any, would be negligible.
Approved By:
William C. Gillespie
Board of Economic Advisors
1/ This statement meets the requirement of Section 2-7-71 for a state revenue impact by the BEA, or Section 2-7-76 for a local revenue impact or Section 6-1-85(B) for an estimate of the shift in local property tax incidence by the Office of Economic Research.
TO AMEND SECTION 50-23-295, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE REQUIREMENT FOR PERSONAL PROPERTY TAXES ON A WATERCRAFT AND OUTBOARD MOTOR TO BE CURRENT BEFORE THE TITLE TO THESE ITEMS MAY BE TRANSFERRED, SO AS TO PROVIDE THAT THIS PROHIBITION ON THE TRANSFER OF TITLE APPLIES ONLY FOR PROPERTY TAXES DUE FOR PROPERTY TAXES FOR PROPERTY TAX YEARS BEGINNING AFTER 1999 AND TO ELIMINATE UNNECESSARY LANGUAGE AND MAKE TECHNICAL CHANGES, TO PROVIDE THAT USED WATERCRAFT AND USED OUTBOARD MOTORS OBTAINED FROM A LICENSED DEALER ON OR AFTER OCTOBER 3, 2000, ARE FREE OF THE LIEN FOR THE PAYMENT OF PROPERTY TAXES FOR PROPERTY TAX YEARS BEFORE 2000, AND TO PROVIDE THAT NO REFUNDS OF PROPERTY TAXES ON WATERCRAFT AND OUTBOARD MOTORS ARE PAYABLE FOR PROPERTY TAX YEARS BEFORE 2000 PURSUANT TO THE PROVISIONS OF THIS ACT; AND TO REPEAL ACT 451 OF 2002 RELATING TO TRANSFER OF TITLES TO WATERCRAFT IN LEXINGTON COUNTY.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. The General Assembly finds that the application of the provisions of Section 50-23-295 of the 1976 Code enacted by Act 403 of 2000, to property tax years before the year of the enactment of the statute has caused great inconvenience to both the sellers and owners of used watercraft and outboard motors. The General Assembly further finds that it is appropriate to provide clearly that Section 50-23-295 applies only to property taxes on watercraft and outboard motors that become due and payable after the enactment of the section and that this property is purchased free and clear of the liens for property tax years before the 2000 property tax year.
SECTION 2. Section 50-23-295 of the 1976 Code, as added by Act 403 of 2000, is amended to read:
"Section 50-23-295. A certificate of title to watercraft or an outboard motor may not be transferred if the department has notice that property taxes payable by the current owner within the past three years for property tax years beginning after 1999, are owed on the watercraft or outboard motor. If transfer of title has been denied pursuant to this section, a tax receipt on the watercraft or outboard motor from the person officially charged with the collection of ad valorem taxes in the owner's county of residence must be accepted as proof that the taxes have been paid. The bill of sale or title to watercraft or an outboard motor shall must require certification that property taxes that are due and payable for property tax years beginning after 1999, have been paid by the current owner as of the date of sale.
The county treasurer or other appropriate official annually, or more frequently as the county may deem considers appropriate, shall transmit a list of delinquent taxes due on watercraft and outboard motors to the department. The list may be transmitted in any electronic format as may be deemed considered acceptable by the department.
The current owner is not required to pay property taxes pursuant to the provisions of this section if such tax levy is below exemption for the minimum tax on boats. The tax levies for the prior three years may not be used cumulatively to exceed the minimum tax levy collection threshold."
SECTION 3. Used watercraft and outboard motors obtained from a licensed dealer on or after October 3, 2000, are free and clear of the lien for property taxes for property tax years before the 2000 property tax year.
SECTION 4. Property taxes paid on watercraft and outboard motors for property tax years before the 2000 property tax year are not refundable pursuant to any provision of this act.
SECTION 5. Act 451 of 2002 is repealed.
SECTION 6. This act takes effect upon approval by the Governor.
This web page was last updated on Monday, June 22, 2009 at 2:36 P.M.