Late last week the South Carolina legislature approved changes to numerous incentives to encourage the Carolina Panthers to move their business operations to the state. The final step to enact these changes is Governor McMaster’s signature which should occur very soon. Many of these incentives are specific to the team. However, there is one item which could encourage other employers to bring new jobs to the state.
The “Panthers Bill” includes significant increases to the SC jobs tax credit for companies hiring employees in Tier 3 or Tier 4 counties. These counties are historically less affluent and have struggled to add jobs in the past. An eligible employer could receive a SC Job Development Tax Credit of up to $20,250 for hiring employees in a Tier 3 county and up to $25,000 in a Tier 4 county. These are roughly triple the value of the credits offered currently. These increases won’t help employers in Charleston, Greenville, Spartanburg or York Counties, but they can make a huge difference in other surrounding counties. For instance, Chester and Union Counties are both Tier 4 counties and Cherokee and Colleton Counties are Tier 3. These counties border Tier 1 business hubs and are near major interstates. Horry County (Myrtle Beach) is a Tier 3 location as well. If you are considering an expansion in South Carolina in the near future, please make sure you are aware of these changes.
The “Panthers Bill” has created a lot of headlines locally, but it seems this particular benefit is not getting a lot of attention. These increases to the SC Jobs Development Tax Credit allowed the legislature to secure the support needed to pass the economic incentives offered to the Carolina Panthers. Make sure to consider these items as you evaluate growth in the Palmetto State.
Please contact Jason Pritchard if you have any questions.