Rock Hill SC Sales Tax: Rates, $500 Cap, and Filing

The Rock Hill SC sales tax rate is 7%, made up of a 6% South Carolina state tax and a 1% York County Capital Projects Tax known locally as Pennies for Progress. That full rate applies to most retail purchases, but groceries, prescription medicines, and a handful of other categories are exempt or taxed at a lower rate. Vehicles and other large purchases follow a separate cap.

How the 7% Breaks Down

South Carolina’s base sales tax is 5% under S.C. Code Section 12-36-910.¹ An added 1% state tax took effect in June 2007 under Section 12-36-1110, with that revenue directed to the Homestead Exemption Fund.² Together those make the 6% state portion.

The last penny is York County’s Capital Projects Tax. Voters first approved it in 1997 and renewed it again in November 2024.³ Collections under the current renewal began May 1, 2025, and the money funds road construction, bridge repairs, and other county capital projects.⁴

What the Full Rate Applies To

The 7% rate covers retail sales of tangible personal property: furniture, electronics, clothing, hardware, and nearly anything else you can touch and carry out of a store. Several services are also taxed at the same rate. Commercial laundering, dry cleaning, and pressing all count. Telecommunications charges, both local and long-distance, are subject to sales tax as well.¹ Renting or leasing tangible property triggers the same obligation as buying it.

Restaurant meals and prepared foods pay the full rate. So do hot deli items at the grocery store, even though the raw ingredients next to them do not.

The $500 Cap on Cars, Boats, and Other Large Purchases

Cars, motorcycles, boats, RVs, and aircraft follow a different rule. South Carolina caps the sales tax on these items at a maximum of $500, calculated at 5% but limited no matter how much you spend.⁵ The additional 1% state tax under Section 12-36-1110 does not apply to max-tax items.²

The cap also covers trailers pulled by truck tractors, horse trailers, self-propelled light construction equipment, and more recently ATVs, UTVs, golf carts, and dirt bikes.⁶ A $15,000 used truck and a $90,000 boat both generate the same $500 bill.

What’s Exempt or Taxed Less

Groceries

Unprepared food that qualifies for purchase with USDA food stamps is exempt from the 6% state portion.⁷ Bread, produce, canned goods, cereal, and meat are all included.

York County’s 1% Pennies for Progress tax is not collected on groceries or gas either.⁸ That means qualifying unprepared food in Rock Hill carries no sales tax at all. Prepared and restaurant food still pays the full 7%.

Prescriptions and Medical Items

Prescription medicines and prosthetic devices sold by prescription are exempt, including dental prosthetics and diabetic supplies such as insulin, blood glucose meters, and testing strips. Hearing aids are separately exempt under the same statute.⁷

One thing worth knowing: eyeglasses are not listed as a general exemption. Unless prescribed eyewear qualifies as a prosthetic device under specific circumstances, expect the full 7% on glasses purchased in Rock Hill.

Agricultural Supplies

Livestock, animal feed used for poultry and livestock production, and farming inputs like seeds, fertilizers, insecticides, and soil conditioners used solely for producing goods for sale are exempt.⁷

The Annual Tax-Free Weekend

Once a year, usually the first weekend in August, South Carolina drops the full 7% on four categories of items. In 2025 the holiday ran August 1–3.⁹ The exempt categories are:

School supplies used in the classroom or at home, including calculators, headphones, and musical instruments.
Computers, printers, and software. Monitors, keyboards, and similar accessories qualify only when sold as a package with a computer.
Clothing and footwear of all kinds, including school uniforms, athletic shoes, swimwear, and graduation caps and gowns.
Bed and bath items: sheets, pillows, towels, bedspreads, and shower curtains.

There is no price cap. A $1,200 laptop saves $84, and new and used items both qualify.⁹ The SCDOR confirms exact dates each year.

Online and Out-of-State Purchases

If you buy something online or out of state and the seller doesn’t collect South Carolina sales tax, you owe use tax at the same 7% rate. This applies to individuals and businesses alike.¹⁰

Most large online retailers already collect it because they meet the state’s economic nexus thresholds for remote sellers.¹¹ Smaller out-of-state vendors, private sales, and purchases made while traveling often do not. Individuals report use tax on their South Carolina income tax return or directly to the SCDOR. Businesses report it on their regular sales tax return.

If You Collect Sales Tax in Rock Hill

Any business making retail sales needs a South Carolina Retail License before collecting. You apply through the SCDOR’s Tax Registration Application, Form SCDOR-111, with your SSN or FEIN, business name, address, and a description of your sales.¹² The license is a one-time $50 fee.¹³ Remote sellers meeting the state’s economic nexus thresholds must also hold this license before collecting here.¹¹

Filing and payment run through MyDORWAY, the SCDOR’s online portal.¹⁴ New accounts default to monthly filing. Lower-volume businesses can request quarterly or annual filing with written SCDOR approval.¹⁵ Any business with $15,000 or more in liability per filing period must file and pay electronically.

File on time and you keep a small discount: 3% of the tax owed if the period’s total is under $100, 2% if it’s $100 or more, capped annually at $3,000 for paper filers and $3,100 for electronic filers. The discount disappears entirely one day late.

Penalties for Filing or Paying Late

The failure-to-file penalty is 5% of the unpaid tax for the first month late, plus 5% for each additional month, up to 25%. The failure-to-pay penalty is 0.5% per month, also capped at 25%, with interest accruing on both from the day after the due date.¹⁶ The interest rate follows the IRS underpayment rate and adjusts twice a year.

A $2,000 sales tax bill ignored for three months would run a $300 failure-to-file penalty, roughly $30 for failure to pay, and interest on top. If you can’t pay the full balance, file on time with whatever you can send. On a monthly basis the failure-to-file penalty is ten times the failure-to-pay penalty.

1
South Carolina Legislature. South Carolina Code 12-36-910 – Five Percent Tax on Tangible Personal Property; Laundry Services, Electricity, Communication Services, and Manufacturer-Consumed Goods
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South Carolina Legislature. South Carolina Code 12-36 – South Carolina Sales and Use Tax Act
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York County, SC. Pennies 5 Information
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South Carolina Department of Revenue. Local Sales Taxes
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South Carolina Legislature. South Carolina Code 12-36-2110 – Maximum Tax on Sales or Leases
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South Carolina Department of Revenue. Maximum Tax (Max Tax)
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South Carolina Legislature. South Carolina Code 12-36-2120 – Exemptions from Sales Tax
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York County, SC. Pennies For Progress Is on the Ballot This November
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South Carolina Department of Revenue. South Carolina’s 2025 Tax Free Weekend Starts Friday, August 1
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South Carolina Department of Revenue. Use Tax
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South Carolina Department of Revenue. Remote Sellers
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South Carolina Department of Revenue. Apply for a Business Tax Account
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South Carolina Department of Revenue. Licensing (Retail License)
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South Carolina Department of Revenue. Sales Tax
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South Carolina Business One Stop. South Carolina Sales Tax
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South Carolina Legislature. South Carolina Code 12-54 – Departments of Revenue and Motor Vehicles, Divisions, and Officials