South Carolina Guide for Canadians

Quick Facts

State Income Tax	Progressive 0% to 6.2% (3 brackets)
Sales Tax	6% state + local (avg 7.5% combined)
Driver's License Grace Period	90 days for residents
Residency Requirement for Tax	183+ days or domicile in South Carolina
Vehicle Registration Deadline	45 days for residents
REAL ID Deadline	May 7, 2025 for domestic flights
Property Tax	0.46% effective rate on owner-occupied housing

First 90 Days Checklist

Week 1-2: Essential Documents & Registration

• Register with USCIS if staying 30+ days (required by April 11, 2025)
• Gather required documents for driver's license
• Open US bank account
• Set up South Carolina mailing address

Week 3-4: Official Registration

• Apply for South Carolina driver's license (within 90 days of residency)
• Pass written knowledge test and road skills test
• Register vehicle if brought from Canada (within 45 days)
• Register to vote (if eligible)

Month 2-3: Establishing Residency

• Update address with Canadian financial institutions
• Establish South Carolina ties and connections
• Research healthcare options and insurance
• Note: 183+ days establishes South Carolina tax residency

Driver's License & Vehicle Requirements

For Canadian Citizens

Required Documents:

• Valid Canadian passport with valid U.S. visa and I-94
• Birth certificate or citizenship documents
• Two proofs of South Carolina residential address
• Social Security Number documentation (if applicable)

Testing Requirements:

• Written knowledge test required for foreign license holders
• Road skills test required - South Carolina does not waive tests
• Vision screening required
• International Driving Permit helpful but not required

License Options:

• Standard Class D license (most common)
• REAL ID compliant license available
• Enhanced license not available in South Carolina
• Standard license valid for 8 years ($25 fee)

Important Notes:

• 90-day grace period for new residents to get SC license
• Foreign license surrendered upon South Carolina license issuance
• REAL ID required by May 7, 2025 for air travel
• Visitors can drive with valid foreign license temporarily

Vehicle Registration

• Register within 45 days of establishing residency
• Biennial safety inspection required
• South Carolina insurance required for registration
• Property tax on vehicles assessed annually

Tax & Residency Considerations

South Carolina State Tax Structure

• **Progressive income tax** 0% to 6.2% (3 brackets)
• **Moderate sales tax** 6% state + local (7.5% average)
• **No estate or inheritance tax**
• **Low property taxes** 0.46% effective rate
• **Retirement income benefits** - military and some other pensions exempt

Establishing South Carolina Tax Residency

South Carolina residency is based on domicile and statutory presence:

• Domiciled in South Carolina (intent to make permanent home)
• Statutory resident: 183+ days in tax year
• Maintaining permanent place of abode in South Carolina

Documentation to Establish Residency

• South Carolina driver's license and voter registration
• Bank accounts and utility bills in South Carolina
• Employment or business activities in South Carolina
• Professional licenses, club memberships
• Property ownership or long-term lease

Tax Advantages

South Carolina offers moderate tax rates with no estate tax, relatively low property taxes, and tax benefits for retirees. The state is considered tax-friendly for retirement income.

US Federal Tax Implications for Canadians

Important: Under the Substantial Presence Test, you may be considered a U.S. resident for tax purposes.
New Requirement: Canadians staying 30+ days must register with USCIS by April 11, 2025.
Recommendation: Consult a cross-border tax professional.

Healthcare Considerations

Insurance Options

• South Carolina did not expand Medicaid
• HealthCare.gov marketplace for health insurance
• Travel insurance strongly recommended for visitors
• Quality medical facilities in Charleston, Columbia, Greenville

Prescription Medications

• Bring adequate supply from Canada
• Understand prescription transfer requirements
• US prices often higher than Canadian prices
• Research pharmacy options and discount programs

Special Considerations for Snowbirds

New US Registration Requirements (2025)

• Canadians staying 30+ days must register with USCIS
• Registration required by April 11, 2025
• Print and carry latest I-94 as proof of legal entry
• Failure to register may affect future US travel

Maintaining Canadian Ties

• Keep principal residence in Canada
• Monitor days in U.S. for tax reasons (183-day rule)
• Maintain Canadian insurance & banking relationships
• South Carolina's 183-day rule for tax residency

Property Considerations

• Affordable coastal and inland property options
• Low property tax rates (0.46% effective)
• Beach and golf course communities popular
• Impact on Canada's principal residence exemption

Climate & Lifestyle Factors

• Humid subtropical climate with mild winters
• Excellent golf, beaches, and historic attractions
• Lower cost of living than northeastern states
• Growing retiree communities from Canada and northern US

Border Distance

• Significant distance from Canadian border
• Enhanced Driver's License not available in South Carolina
• NEXUS/Global Entry beneficial for air travel to Canada
• Consider direct flights to major Canadian cities

Travel Documentation

• Ensure passport validity (6+ months remaining)
• Consider Global Entry/NEXUS for easier airport processing
• Enhanced Driver's License not available in South Carolina
• I-94 registration now required for 30+ day stays

Southern Hospitality Advantage

South Carolina offers warm weather, affordable living, excellent golf and beaches, historic charm, and tax-friendly policies for retirees. Popular snowbird destinations include Myrtle Beach, Hilton Head, and Charleston areas.

Key Contacts & Resources