Businesses must obtain a retail license before making any sales of taxable goods in South Carolina. This includes:

  • Brick and mortar locations in South Carolina (You'll need a separate retail license for each location.)

  • Services taxed under Sales and Use Tax

  • Internet/remote sales, unless only made through a marketplace facilitator

  • Out-of-state sellers with economic nexus, which means you are:

    • An out-of-state retailer with no physical presence

    • A seller whose gross revenue exceeds $100,000, in the previous or current calendar year, from sales of:

      • Tangible personal property

      • Products transferred electronically

      • Services delivered into South Carolina

  • Infrequent sales (in most cases)

 Check out the South Carolina Department of Revenue (SCDOR)'s Retail License page for more details.

Important: Your retail license is NOT the same as your local business license. You typically need both to operate, unless your municipality and county do not require a local business license. Check out our Local Business License page for more details.

Taxes and Credits

Ready to apply?

Complete your Business Tax Application with the South Carolina Department of Revenue. The licensing fee is $50.

 

 

South Carolina Retail License FAQs

Yes. A return is due even if you make no sales or purchases in a particular month. But don't worry, it's super simple to file if you've made $0 in sales. 

No. If all of your sales are through a marketplace facilitator, then you are not the retailer and would not be required to obtain a retail license or collect Sales Tax on those sales. 

However, if only some of your products are sold through a marketplace facilitator and some of your products are sold through your own website or brick & mortar, then you would need to get a retail license.

The SCDOR requires you to purchase a retail license and collect the South Carolina Use Tax if you have:

  • Retail locations in South Carolina
  • An office, warehouse, or other place of business in South Carolina
  • A salesperson in South Carolina soliciting orders on a regular basis
  • An agent located in South Carolina
  • Deliveries of your goods on your own trucks and advertises on a regular basis in South Carolina using media that has extensive coverage in the state.

Out-of-state retailers requirements are related to nexus, which means a sufficient connection between an out-of-state retailer and the state.

If you:

  • Sell at flea markets
  • Conduct a yard sale no more than once per quarter
  • Sell at events or festivals (that require paid admission) no more than once in a 24-month period
  • Furnish accommodations to transients for one week or less in any calendar quarter
  • Are a qualifying 501(c)(3) nonprofit organization

You may not need a retail license. If you're not sure, check with the SCDOR.