Click for Myrtle Beach, South Carolina Forecast

 

 

Home | Vacation InfoWeather | Employment | FAQs


MORE FAQs


Looking for more information?  Visit our Frequently Asked Questions page for additional facts and details about the City of Myrtle Beach and the Grand Strand.

Events | Meetings

 

Corner Icon Need to know the holiday schedule for solid waste and recycling?  Visit our Solid Waste Division page for more information. 


Corner Icon "First in Service" is our philosophy...  We believe that the employees of the city are collectively among the most talented and dedicated to be found in any workforce.  Through the efforts of these employees, the City of Myrtle Beach serves the public in an outstanding manner, providing needed services efficiently and courteously.  We believe that we can learn from the collective experiences of this work force to focus our efforts, provide even better service to the public, and improve the satisfaction experienced by all employees for the contributions they make.


Blue Box  See our Frequently Asked Questions page for more information about the City of Myrtle Beach.  The city's ADA Policy also is available.


Corner Icon Questions?  E-mail info@cityofmyrtlebeach.com or call (843) 918-1212.  

   

Business License Fees, Hospitality Fee and Local Accommodations Tax FAQs

   
 

Frequently asked questions for our businesses


   
 

The Finance Department's Business License Division is responsible for issuing Business Licenses and collecting the 1% Hospitality Fee and .5% Local Accommodations Tax.  The Business License Division is located in the City Services Building, 921 Oak Street.  Call 843-918-1200 for assistance.

 

BUSINESS LICENSE

 

Who needs a business license?

 

Every person, firm, corporation, or other legal entity engaged in business or maintaining an office, or acting as an agent within the city limits of Myrtle Beach must obtain an annual license.

 

When is the business license fee due?

 

The Business License year starts June 1 and ends on May 31.  Business License renewal forms are mailed to business license holders on or before April 1st.  Renewals are due June 1st but are not considered delinquent until July 1st.  Beginning on July 1st, penalties are assessed at the rate of 5% per month, with a maximum penalty of 30% until all license fees and penalties are paid.   New businesses or new owners of existing businesses must purchase the business license prior to operation within the city limits.  A 5% penalty per month is assessed for opening a business prior to obtaining a business license.

 

How is the license fee calculated?

 

Fees are calculated using the gross receipts of your business.  Gross receipts are the total revenues generated by the business.  Taxes collected for a governmental entity, or income which cannot be included for computation of the tax pursuant to State and Federal law are not deemed income and are exempt.  Gross receipts from business done outside the city for which a license tax is paid to another municipality or county are also exempt.

 

The license fee for a new business is calculated on an estimation of gross receipts from the first day of operation until May 31st.  The reporting period for renewals is based on the preceding calendar or fiscal year.  (Further information and instruction can be found on the reverse side of the business license application form.)

 

Are rental properties required to have a business license?

 

Yes.  On June 10, 2014, City Council adopted a new business license ordinance effective June 1, 2015.   The ordinance requires a business license for ALL rental properties which include short-term, long-term, residential and commercial. 

 

Will one license cover my business?

 

A separate license is required for each place of business and for each classification of business conducted at one place.  If gross income cannot be separated for each classification at one location, the business license fee will be computed on the combined income for the classification requiring the highest rate.

 

What happens if I operate without a license?

 

Violations are misdemeanors, subject to a maximum fine of $500 (plus court costs) and/or up to 30 days in jail, upon conviction.  Each day of violation is considered a separate offense.

 

Can the city refuse to license a business?

 

 A license will not be issued if:

  1. The application is incomplete. 

  2. Prior year’s license fees and penalties have not been paid in full.

  3. The business location is not zoned for your type of business.

  4. A violation of City Ordinance exists.

  5. The applicant is delinquent in the payment to the Municipality of any tax or fee.

 

How long does it take to obtain a business license?

 

The approval process depends on the classification of the business.  Applications are subject to approval by City Departments and State Agencies which include but are not limited to Zoning, Building, Fire, Police, SC DHEC, and the SC Dept. of Revenue Alcohol Beverage Licensing.

 

Do I have to display the license?

 

Yes.  The Business License Ordinance requires the license to be conspicuously displayed for the public to view.  Transient or non-resident businesses must carry the license upon their person or in their vehicle.

 

Where do I apply for a business license?

 

The Business License Office is located at 921 Oak Street in the City Services Building.  The office is open Monday through Friday, 8:00 a.m. to 5:00 p.m. and the telephone number is 843-918-1200.  You may download the business license application packet BUSINESS LICENSE APPLICATION PACKET.

 

HOSPITALITY FEE

 

What is the Hospitality Fee?

 

A 1% fee is imposed on transient accommodations, paid admissions to places of amusement, and the purchase of prepared or modified food and/or beverages intended for immediate consumption.

 

Why is it necessary to implement the Hospitality Fee?

 

To fund necessary capital improvements such as beach maintenance, public facilities related to the use of the beach, public transportation improvements, public park facilities, public parking, and facilities and equipment necessary for the provision of police, fire and other public safety activities without relying on property taxes and business license taxes.

 

Who is responsible for collecting and remitting the Hospitality Fee?

 

Any business that provides transient accommodations, paid admissions, or sells prepared or modified food and/or beverages for immediate consumption.  The fee is to be collected from the patrons of these businesses and then remitted to the City of Myrtle Beach.

 

When is the Hospitality Fee due and how is it reported?

 

Fees are remitted to the City of Myrtle Beach on a monthly basis.  The taxpayer may request to remit fees quarterly or every 28 days if the taxpayer reports their sales tax to the SC Dept. of Revenue on the same schedule.  Businesses are required to file a report for every reporting period.  If the business had no sales, a report showing zero gross must be filed.  The reporting period is defined as the prior month, quarter, or 28 days.  Remittance is due on the 20th day following the end of the reporting period. Every remittance must be accompanied by a completed Hospitality Fee Reporting Form.  PLEASE DO NOT REMIT THIS FEE TO THE SC DEPARTMENT of REVENUE.  THIS FEE IS NOT A LOCAL OPTION SALES TAX. 

 

When is the Hospitality Fee considered late?

 

If the stated due date falls on a weekend day or legal holiday, the following business day is the due date.  Any reports mailed MUST BE POSTMARKED BY THE US POSTAL SERVICE ON THE DUE DATE to be considered filed on time.

 

What if the Hospitality Fee is remitted late?

 

A 10% penalty in addition to the hospitality fee due must accompany all delinquent remittances.

 

What sales are affected by the Hospitality Fee for restaurants, bars and other food establishments? 

 

All food, beverage, and alcohol sales.

 

What sales are affected by the Hospitality Fee for convenience stores and grocery stores? 

 

All food and/or beverage items that are prepared or modified and available for immediate consumption.

 

What are some examples of prepared and/or modified food and beverages affected by the hospitality fee? 

 

a. Heated or prepared foods (pizza, nachos, hot dogs, sandwiches, salads, meats, vegetables, etc.)

b. Fountain drinks, frozen drinks, coffee, and cappuccino.

c. Meals that are prepared and then packaged for sale.

 

What are some examples of prepared and/or modified food and beverages not affected by the hospitality fee?

 

a. Packaged food or beverage items found in a grocery or convenience store that are not part of a meal.

b. Ground coffee and loose tea for sale by the pound.

c. Deli meats and cold salads sold by the pound in a grocery store or deli if not part of a prepared meal.

 

What sales are affected by the Hospitality Fee for food service which is an accessory to the primary business (arcades, amusements, theatres, etc.)?

Prepared or modified food and beverage items such as fountain drinks, popcorn, nachos, etc.

 

What sales are affected by the Hospitality Fee for accommodations?

 

The rental charge for rooms, campground spaces, lodging, or sleeping accommodations furnished to transients for less than 90 consecutive days and those guest charges that are affected by accommodations tax.

 

What sales are affected by the Hospitality Fee for paid places of amusement and what are some examples? 

 

All paid places of amusement that are affected by admissions tax unless exempted by the South Carolina Code § 12-21-2420.  Examples:  theater admissions, night club admissions, miniature golf admissions, amusement ride admissions, green fees, etc.

 

ACCOMMODATION TAX

 

What is the Local Accommodations Tax?

 

It is a one-half percent (.5%) tax on short-term or transient accommodations.

 

Why was it necessary to implement a Local Accommodations Tax?

 

Tourism is the major industry in the City and it accounts for millions of visitors annually.  This industry has been supported by the ad valorem taxation of the local stable population of the City.  The local accommodation tax will help to fund the cost of providing special or enhanced services required by the tourism industry. 

 

Who is responsible for collecting and remitting the Local Accommodations Tax? 

 

The business that is affected by this fee is liable for the collection of this fee from patrons and to remit collections to the City of Myrtle Beach.

 

When is the Local Accommodations Tax due and how is it remitted?

 

Fees are due to the City on a monthly basis and are to be reported on the form provided by the City.  Upon request, the taxpayer may remit fees every 28 days or quarterly provided the taxpayer remits sales tax to the SC Dept. of Revenue on the same time schedule.  Businesses are required to file a report for every reporting period even if no fee is due for the period.  The reporting period is defined as the prior month, quarter, or 28 days.  Remittance is due on the 20th day following the end of the reporting period. A completed Hospitality Fee and Accommodation Tax Reporting Form must accompany each remittance. The due date for each remittance is printed on each form; however, 28 day filers must write the period start and end dates on each form.  Quarterly filers are required to use the designated reports in the booklet (the first 4 forms).   PLEASE DO NOT REMIT THIS FEE TO THE SC DEPARTMENT OF REVENUE. THIS FEE IS NOT A LOCAL OPTION SALES TAX OR STATE ACCOMMODATIONS TAX.

 

When is my Local Accommodations Tax considered late?

 

If the stated due date falls on a weekend day or legal holiday, the following business day is the due date.  Any reports mailed MUST BE POSTMARKED BY THE US POSTAL SERVICE ON THE DUE DATE to be considered filed on time.

 

What if my tax payment is late?

 

A 2% penalty per month or fraction of a month in addition to the Local Accommodation Tax due must accompany all delinquent remittances.

 

What sales are affected by the Local Accommodations Tax?

The gross proceeds derived from short-term or transient accommodations.  The rental charge for rooms, campground spaces, lodging, or sleeping accommodations furnished to transients and those guest charges that are affected by accommodations tax.

 

What are short-term or transient accommodations?

Accommodations provided on a daily, weekly, or monthly basis as defined in S.C. Code 1976 & 12-36-920.  Any stay of ninety (90) or more consecutive days in the same place is not considered a short-term accommodation.

 

MISCELLANEOUS INFORMATION

 

·   Business Licenses are not transferable with a change of ownership.

·   A change of address must be reported to the Business License office within 10 days, and the business must be in compliance with zoning and building codes and any other City or State Codes.  Failure to report the change of address shall invalidate the license, and the business can be prosecuted for operating without a business license.

·   License fees are not refundable.

·   License fees are not pro-rated.  On the initial license application, gross receipts estimate is pro-rated based on the number of months remaining in the license year.

·   Non-resident businesses are charged only for business done within the city, but their rate is double the resident rate.

·   Certain home occupations are not permitted.  (Please call the Zoning Department for more information.)

·   Coin-operated vending and amusement machines require a city-issued decal in addition to any requirements of the SC Dept. of Revenue.

·   General contractors, mechanical contractors (HVAC, Electrical, or Plumbing), residential builders, and residential specialty contractors must meet state standards and be licensed by the State of SC if required.

·   Fire protection sprinkler contractors and alarm installers must be licensed by the State of SC.

·   Burglar alarm installers must be licensed by the State of SC.

·   Taxi owners must have a Certificate of Convenience and Necessity issued by the City, must provide proof of insurance to the City Risk Manager, and must have their vehicle inspected by the Police Department.

·   Wrecker/Tow service operators must provide proof of insurance to the City Risk Manager and the wrecker/tow truck must be inspected by the Police Department.   

   
         
             
 

City Seal Icon  Home    Umbrella Icon  Vacation Info    Sun Icon  Weather    Employment Icon  Employment    Events Icon  City Events    Meetings Icon  Meetings    FAQs Icon  FAQs

Orange Box  City Hall    Orange Box  Departments    Orange Box  Forms    Orange Box  Links    Orange Box  Recreation   Orange Box  Facilities    Orange Box  Services    Orange Box  Payments


 
   
   

Thank You for Visiting!

City Hall
937 Broadway Street
P.O. Box 2468, Myrtle Beach, SC 29578
(843) 918-1000   Fax: (843) 918-1028
 
© Copyright 2010.  The City of Myrtle Beach.  All rights reserved.