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. Abatements (or exemptions) may also be offered by local governments to encourage new investment or retain existing businesses.
Homestead Exemption
The Homestead Exemption program in many states offers homeowners a discount on their property taxes. The amount differs by state and county. Some states exempt a percentage of value, while others may exempt a dollar amount.
To qualify for the Homestead Exemption, you must own and occupy your property as your legal residence. Filing for it each year either online or at the Assessor's Office.
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 Tax Liens disability this must include documentation from state/federal agencies certifying your condition.
Property Tax Exemption
Property taxes are among the least-preferred bills homeowners have to deal with, often taking an enormous bite out of income and being unpredictable in nature. Many homeowners seek property tax exemptions in order to reduce their financial burden.
Local governments usually offer multiple exemptions from property taxes. Homestead exemptions are one of these property tax exemptions. They allow homeowners to exclude from tax assessments a certain percentage their home's valuation. Eligibility requirements typically include residency requirements, age restrictions and income limitations.
Businesses may also seek a property tax incentive, or abatement, as part of their development expenses. Such incentives may be available through local government and can apply to manufacturing, research and development facilities, corporate headquarters offices and distribution facilities that meet certain criteria. These incentives are usually negotiated with the county governments for projects that exceed $30 million in taxable development investment.
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. Furthermore, sales taxes on additional equipment used with their system such as batteries are exempted by this state tax credit program.
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.
Claiming state tax credits is relatively easy and straightforward; just ensure you have all of the required documentation, and are working with an Energy Office-endorsed provider (such as Blue Raven Solar).
Home Improvement Tax Credit
Are you planning to upgrade your home's energy efficiency? If so, federal tax credits may help cover some of the costs. These credits apply to improvements such as heat pumps, energy-efficient windows and doors, insulation upgrades, electrical panel upgrades and home energy audits.
These tax credits are a great way for homeowners to save money on upgrades to their primary residences and keep taxes low. Unfortunately, only homeowner who have chosen this path are eligible for these credits.
Columbia offers forgivable loans to promote business growth and expansion within its boundaries. To find out more, visit the Office of Business Opportunities.