Tax Preparation Service CoLumbia SC - Tax incentives for home owners in Columbia SC. - South Carolina offers many attractive incentives to homebuyers. These include tax credits and rebates, as well as tax credits for energy savings and home improvements. Local governments assess property taxes based upon the fair market value of a property, its assessment ratio and its millage rate. Local governments may also offer abatements (or exemptions) to encourage new investments or retain existing businesses.
Homestead Exemption
The Homestead Exemption program in many states offers homeowners a discount on their property taxes. The amount varies by state and county; some exempt a certain percentage of value while others may exempt an allotted dollar amount.
You must own your home and occupy it as your legal residence to qualify for the Homestead Exemption. You can apply for it online or in person at the Assessor's Office each year.
The Assessor's Office is responsible for assessing, appraising and equalizing the real estate in Columbia County. They also handle tax appeals, and review denials for Homestead Exemption claims. When applying for homestead exemption you must present proof of age (birth certificate or South Carolina driver's license) as well as proof that confirms both your age and date of birth; additionally if claiming blindness or disability this must include documentation from state/federal agencies certifying your condition.
Property Tax Exemption
Property taxes are one of the most unpredictible and expensive bills that homeowners have to pay. They can be a huge drain on income. Many homeowners seek Columbia SC property tax exemptions in order to reduce their financial burden.
Local governments typically provide multiple property tax exemptions. Homestead exemptions are one of these property tax exemptions. They allow homeowners to exclude from tax assessments a certain percentage their home's valuation. The eligibility requirements include age restrictions, residency requirements and income limitations.
Businesses may also seek a property tax incentive, or abatement, as part of their development expenses. These incentives are available through local governments and can be applied to manufacturing, research-and-development facilities, corporate headquarters and distribution facilities that meet specific criteria. Usually negotiated with county governments for projects over $30 million worth of taxable development investments.
Solar Energy Exemption
South Carolina offers homeowners who install solar energy at their home an additional tax credit in addition to the federal Investment Tax Credit.
Residents of South Carolina can claim a tax credit of 25% on their solar installation cost. Any credits that are not used can be carried over for ten years. This state tax credit program also exempts sales taxes on any additional equipment that is used with the system, such as batteries.
South Carolina offers exemptions from property taxes for renewable energy systems that are owned by homeowners, rather than leased to third parties. This is a great incentive when you consider the costs of installing solar panels on your home.
It is easy to claim state tax credits. Just make sure you have the necessary documentation and that you are working with a provider who has been endorsed by the Energy Office (such as Blue Raven Solar).
Home Improvement Tax Credit
Are you planning to upgrade your home's energy efficiency? Federal tax credits could help you cover some of the cost. These credits are available for improvements such as heat pump installations, energy-efficient doors and windows, electrical panel upgrades, insulation upgrades and home energy audits.
These tax credits offer homeowners an excellent way to reduce the costs of upgrades on properties used as primary residences, helping to keep taxes at an all-time low. Unfortunately, only homeowner who have chosen this path are eligible for these credits.
Columbia offers forgiven loans to encourage business growth and expansion in its boundaries. To find out more, visit the Office of Business Opportunities.