The bill H. 4578 proposes an amendment to Section 12-37-250 of the South Carolina Code of Laws, which pertains to the homestead exemption for taxpayers aged sixty-five and older, as well as those who are totally and permanently disabled or legally blind. The amendment specifies that the homestead exemption will not apply to certain millage imposed for servicing the general obligation debt of a school district. This means that homeowners eligible for the homestead exemption will still be responsible for paying the portion of their property taxes that goes towards school district debt, which is secured by the district's full faith and credit.

Additionally, the bill clarifies that the exemption from school debt service millage applies to one hundred percent of the fair market value of the dwelling, regardless of the maximum fair market value limit previously established. It also states that the reimbursement provisions outlined in Section 12-37-270 will not apply to any portion of the school debt service millage that exceeds the maximum fair market limit. The act is set to take effect upon approval by the Governor and will first apply to homestead exemptions for property tax years beginning after 2026.

Statutes affected:
12/17/2025: 12-37-250
Latest Version: 12-37-250