South Carolina imposes a tobacco products tax on every person engaged within the state in the business of selling tobacco products as a distributor. The tax is imposed on the person first receiving the untaxed tobacco products for sale, distribution, or other disposition in South Carolina and on any person within South Carolina importing, receiving, or acquiring tobacco products from outside the state or from any source whatsoever for use or consumption.
Department of Revenue staff reported that localities do not impose excise taxes on tobacco products. However, retailers are liable for the regular retail sales tax in the applicable locality in addition to the state excise tax.
Every distributor of tobacco products in South Carolina must file a Monthly Tobacco Tax Return (Form L-922) and all associated schedules on or before the 20th day of each month, along with payment for taxes due. All licensed distributors of tobacco products must use the “receipt method” to report and remit the tax on tobacco products as such products are received in South Carolina.
S.C. Code § 12-21-780: Returns shall be filed by distributors; payment of tax on tobacco products; discount
“Tobacco products” means cigars, cheroots, stogies, periques, granulated, plug cut, crimp cut, ready rubbed, and other smoking tobacco, snuff, snuff flour, cavendish, plug and twist tobacco, fine-cut, and other chewing tobacco, shorts, refuse scraps, clippings, cuttings and sweepings of tobacco, and other kinds and forms of tobacco, prepared in a manner to be suitable for chewing or smoking in a pipe or otherwise, or both for chewing or smoking, but does not include cigarettes.