Business Climate

Hilton Head Island

Since development reached maturity, the emphasis has swung to the business of sustaining year-round jobs through the area’s two largest industries – tourism and real estate.

With an average of more than two million annual visitors, both small and large businesses are impacted by the tourism industry, which sustains 24,000 local jobs. In 2008, tourism had a local economic impact of $1.4 billion.

Bluffton

Like Hilton Head Island, Bluffton’s economy is driven largely by real estate and tourism. The community is flourishing with new home construction and a steady number of visitors to the area. Once a tiny town encompassing only the historic district of one square mile, Bluffton now covers a 50 square-mile area and is one of the fastest growing communities in the state of South Carolina.

Commercial Resource Guide

The Commercial Resource Guide is a compilation of statistics, demographics and other data that provides businesses and entrepreneurs with valuable information about the expanding business community. For more information, email Anna Cauthen or call (843) 341-8379.

Taxes

Income tax exemptions, adjustments and deductions allowed on a federal income tax return are allowed on a state return. A person's federal taxable income is the starting point to determine tax liability.

• Deductions: In the first year retirement income is received, taxpayers may claim an income tax deduction of up to $3,000 of retirement income. When taxpayers turn 65, they may take a $10,000 deduction from retirement income.
• Social Security: Social Security benefits are exempt from income tax in South Carolina. If benefits were taxed at the federal level, that portion may be deducted from the South Carolina taxable income.
• Property taxes: Click here for more. (link Real Estate page)
• Sales Tax: South Carolina has a 5 percent sales tax. Persons 85 years or older pay only 4 percent sales tax. A maximum of $300 is imposed on purchases of motor vehicles, boats, and leased vehicles.
• Accommodations Tax: There is a state-wide accommodations tax of 2 percent. Hilton Head Island imposes an additional 3 percent accommodations tax.
• Estate Tax: As of 2006, estates worth $1 million or less will be exempt from estate tax in South Carolina.