Mt. Pleasant Investments, LLC v. Charleston County Assessor, 2026 WL 2036002, Op No. 6153 (S.C. Ct. App. filed July 15, 2026) (Davis Adv. Sh. No. 26 at 18).
Ensuring the proper fair market value is used when the assessable transfer of interest (“ATI”) exemption is being calculated and applied can save thousands of dollars in taxable valuation.
In this property tax valuation dispute, the taxpayer appealed the order of the Administrative Law Court (“ALC”), which affirmed the county assessor’s valuation of the property at issue. The South Carolina Court of Appeals found that the ALC erred in adding the value of the improvements to the current fair market value of the property, and reversed the ALC’s order. The Court of Appeals found that the current fair market value of the taxpayer’s property for the year that its purchase was eligible for the ATI exemption did not include the value of improvements made prior to the purchase. The current fair market value was pre-sale fair market value, the improvements were completed within the tax year, and the improvements would not be subject to property taxation until the next year. In the enforcement of tax statutes, the taxpayer should receive the benefit in cases of doubt. However, tax exemption statutes are strictly construed against the taxpayer. This rule of strict construction simply means that constitutional and statutory language will not be strained or liberally constructed in the taxpayer’s favor.
https://www.sccourts.org/media/opinions/advSheets/no262026.pdf
Article from Hayes Walsh (SCR).
Posted by: Byron King on 10/26/26 (This information is only accurate as of 10/26/26. You must contact SCR for updates and changes to this information after 10/26/26, as laws and regulations may change over time. SCR 803-772-5206 or email info at screaltors.org or email byron at screaltors.org
This information is not legal advice. This information is intended only to provide general information and may not be relied upon as specific legal guidance. Legal counsel should always be consulted before acting in reliance on this information.