finance and administration
university purchasing

Purchasing Card (PCard) Program - Sales Tax Help

 
Using the Purchasing CardSales Tax Guide for P Card Users

The Medical University of South Carolina is designated as a State Government Organization and is not tax exempt from the application of sales and use taxes.  We are mandated by the South Carolina Department of Revenue 1976 Code of Laws to pay taxes on tangible personal property which also includes services and intangibles.
South Carolina Code Section 12-36-60 defines “Tangible personal property” as property which may be seen, weighed, measure, felt, touched, or which in any other manner perceptible to the senses. It also includes services and intangibles including communications and related services.

You should review your P Card purchases for the following:
1.  Is this a taxable item?  (
table of taxable items)
2.  Did the vendor already charge taxes on the transaction (review receipt)?
If it is a taxable item and the vendor charged tax, no further action is needed. However, if the purchase is taxable, and the out of state (non SC) vendor did not charge taxes, then the department must self assess the tax rate.

We do not have the capability with the Works Software to automatically charge the department account taxes, because it does not provide enough information on what was actually purchased. Therefore, it is imperative that departments become familiar with the common sales and use tax regulations.

Questions about sales and use tax should be directed to University Tax Services 792-5400.

This is a list of common taxable and nontaxable purchases made by university departmens. While this list is not comprehensive, it includes is the major categories used by departments.

User Reference ToolsP Card Manual
 
 
 

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