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Can I sell products or services online without violating e-commerce laws in South Carolina? What are the requirements?

To sell products or services online in South Carolina, you must comply with the state’s e-commerce laws. Here are the requirements:

Retail License

Every retailer must obtain a retail license for each permanent branch, establishment, or agency and pay a license tax of fifty dollars for each retail license at the time of application. [1.4]

Sales and Use Tax

Any person engaged in business as a retailer must remit the sales and use tax on all retail sales of tangible personal property not otherwise excluded or exempted from the tax. This requirement applies to all retail sales of tangible personal property by the retailer, whether the tangible personal property is owned by the retailer or another person. Retailers selling tangible personal property at retail on consignment, by auction, or in any other manner must remit the sales and use tax on such retail sales. [1.1][1.2]

Marketplace Facilitator

If you are a marketplace facilitator, you are required to remit the sales and use tax to the State. A marketplace facilitator means any person engaged in the business of facilitating a retail sale of tangible personal property by listing or advertising, or allowing the listing or advertising of, the products of another person in any marketplace where sales at retail occur; and collecting or processing payments from the purchaser, either directly or indirectly through an agreement or arrangement with a third party. [1.3]

Business Opportunity Sales Act

If you are selling a business opportunity, you must comply with the South Carolina Business Opportunity Sales Act. The Act requires business opportunity sellers to provide certain disclosures to purchasers and prohibits the use of untrue or misleading statements in the sale of a business opportunity. [2.2][2.1]

Violations

Violations of the South Carolina Business Opportunity Sales Act constitute an unfair trade practice. [2.3]

In summary, to sell products or services online in South Carolina, you must obtain a retail license, remit the sales and use tax, comply with the South Carolina Business Opportunity Sales Act if you are selling a business opportunity, and avoid using untrue or misleading statements in the sale of a business opportunity. If you are a marketplace facilitator, you are also required to remit the sales and use tax to the State.

Source(s):
Jurisdiction

South Carolina