The bill S. 125 aims to amend Section 12-37-220 of the South Carolina Code of Laws, specifically regarding property tax exemptions for nonprofit housing corporations. The amendment stipulates that the exemption for certain properties will only apply to the percentage of property that corresponds to the corporation's ownership interest. Additionally, it introduces certification and notice requirements for these corporations to claim the exemption. The bill outlines specific conditions under which the exemption can be claimed, including the necessity for the nonprofit housing corporation to provide documentation evidencing compliance with IRS safe harbor provisions.

Furthermore, the bill establishes that if a nonprofit housing corporation holds more than a fifty percent ownership interest in qualifying property, or if all units are designated for low-income residents, the exemption can be granted at a rate of one hundred percent. Nonprofit housing corporations must apply for the exemption and submit annual certifications to the department to maintain eligibility. The act will take effect upon the Governor's approval and will apply to property tax years beginning after 2025, while also ensuring that existing projects that have already received exemptions will still need to comply with the new annual certification requirements.

Statutes affected:
12/11/2024: 12-37-220
Latest Version: 12-37-220