South Carolina Charity Registration and Nonprofit Compliance

South Carolina regulates charitable fundraising through the Solicitation of Charitable Funds Act, enforced by the Secretary of State’s Division of Public Charities. Charitable organizations that ask South Carolina residents for support, or receive contributions on a recurring basis from the state, generally register before solicitations begin and then renew each year through the Secretary of State’s online system.

Religious bodies, certain schools, small organizations below specific contribution thresholds, and several other categories rely on statutory exemptions, but those groups still submit an annual exemption filing to the Secretary of State to confirm their status. Professional fundraisers, fundraising counsel, commercial co-venturers, and nonprofits that run raffles follow related registration rules under Title 33, with detailed supervision of contracts, financial reports, and advertising.

Donor Solicitation in South Carolina

Registration expectations

The Act covers any request for a charitable contribution made to South Carolina residents, whether the request appears in person, by mail, phone, or electronic communication. Charitable organizations that plan to solicit in the state file a registration statement before the first appeal and then submit annual updates with financial information and copies of Form 990 or substitute financial reports.

Several exemptions sit at the center of planning for churches and ministries, schools, and smaller nonprofits. Religious organizations, educational institutions that fit defined criteria, membership-only solicitations, and organizations with modest nationwide contribution levels often qualify for relief from full registration, so long as they meet the statute’s conditions and keep exemption paperwork current with the Secretary of State. Leadership still reviews governance structure, donor base, and planned campaigns before relying on an exemption, since a new program or outside fundraising partner can move the organization into full registration territory very quickly.

Professional solicitors and fundraising counsel register separately, file copies of written agreements, and provide post-campaign reports. Professional solicitors also maintain a surety bond of fifteen thousand dollars with the Secretary of State before campaigns begin. Churches, ministries, and charities that hire calling centers, direct response firms, or digital fundraising agencies often run contract language, fee structures, and disclosure plans through a South Carolina compliance review before signing.

Online giving and digital outreach

Donation pages, email newsletters, text appeals, livestream appeals, crowdfunding campaigns, and social media promotions that reach South Carolina residents fall under the same solicitation statute that applies to mail and phone outreach. A charity formed in another state still enters South Carolina’s system once development staff focus on South Carolina donors, address lists, or advertising segments with a meaningful presence in the state.

Many organizations route recurring gifts through third-party platforms or church management systems. Others build regional online campaigns or peer fundraising challenges that highlight South Carolina stories or events. Registration status, legal name, and contact information appearing on donation pages and receipts should match Secretary of State records, and acknowledgments for South Carolina donors work best when they align with the statute’s disclosure expectations and any use of professional fundraisers or co-venturers.

Events, raffles, and campaigns in South Carolina

Banquets, golf outings, concerts, conferences, 5K runs, and similar gatherings in Columbia, Charleston, Greenville, and other communities often function as solicitation campaigns when ticket revenue, sponsorships, auctions, or live appeals support charitable work. Those receipts roll into contribution totals that drive registration, exemption eligibility, and professional solicitor reporting.

Raffles receive separate treatment. South Carolina’s Nonprofit Raffles for Charitable Purposes Act requires qualified nonprofits to register annually to conduct raffles, even when they hold an exemption from the general charitable solicitation rules. The statute limits the number and duration of raffles, requires clear disclosures in raffle advertising, and restricts casino-style gaming and third-party operators. Churches, schools, and ministries that plan raffles or casino-themed events often step through South Carolina’s raffle and gaming rules at the same time they address routine charitable registration.

Tax Topics for South Carolina Nonprofits

Income tax

Recognition as a 501(c)(3) or other exempt organization at the federal level brings important state consequences, but it does not end every South Carolina tax question. State law imposes a five percent income tax on South Carolina taxable income of exempt organizations, calculated on unrelated business income that appears on federal Form 990-T. Mission-related income remains outside that base, so many charities file state income tax returns only when they report unrelated business activity to the IRS.

Boards often align Form 990, South Carolina filings, and charitable registration descriptions so program narratives, revenue categories, and related-organization disclosures tell a consistent story. New ventures, facility-sharing arrangements, sponsorship packages, and joint projects with for-profit partners frequently trigger fresh review of unrelated business exposure for South Carolina purposes.

Sales and use tax

South Carolina’s sales and use tax regime includes specific relief for religious and charitable institutions. State law and Department of Revenue guidance exempt many sales made by religious or charitable organizations in the course of their regular religious or charitable activities, and separate provisions allow exemption for qualifying purchases used in those activities once the organization secures an exemption certificate.

The details matter. Some fundraising sales, thrift operations, and related retail programs fall outside the regular-activity exemption or require careful tracking of net proceeds and use of funds. Churches, schools, and nonprofits often map each revenue stream and expense category against South Carolina’s exemption rules so vendor accounts, invoices, and receipts follow a clear pattern that matches Department of Revenue expectations.

Property tax

The South Carolina Constitution directs broad exemption for property used for religious worship, charitable and eleemosynary purposes, hospitals, educational institutions, and several other nonprofit categories, with statutory detail in section 12-37-220. County assessors apply those provisions parcel by parcel, focusing on both ownership and use.

Sanctuaries, classrooms, counseling centers, and similar spaces that serve religious, charitable, or educational programs often receive full exemption once the owner files the required application. Portions of a campus that support unrelated commercial tenants, for-profit ventures, or extended periods of nonuse draw closer review and sometimes partial taxation. Long-range planning for South Carolina facilities frequently includes an exemption strategy, lease framework, and approach to local conversations about voluntary payments or shared services.

Entity Types with Special Questions in South Carolina

Churches and religious ministries

Churches and many religious ministries fall within express statutory exemptions from charitable registration and receive strong protection for houses of worship and related property under South Carolina’s property tax rules. At the same time, related entities for schools, camps, outreach programs, or media work often stand outside the core congregational exemption and follow the standard registration, raffle, and sales tax structure.

Many churches and ministries face special exemption questions in this state once they operate multiple corporations, manage joint facilities with other groups, or work with professional fundraisers. A coordinated review of bylaws, contribution flows, raffles, online giving systems, and property holdings often brings clarity before regulators or donors start asking hard questions.

Faith based and community nonprofits

Faith based charities, rescue missions, campus ministries, neighborhood organizations, and other community nonprofits that look to South Carolina residents for support typically appear in the Secretary of State’s public charities registry or on the exemption list. They monitor contribution thresholds, reporting dates, contract filing duties, and any use of professional solicitors to avoid late fees and compliance gaps.

Boards in this group often focus on gift acceptance policies, acknowledgment templates, and fundraising scripts that match South Carolina disclosure rules. Careful coordination between executive leadership, development staff, and finance staff helps protect the organization’s reputation while preserving flexibility for new campaigns and partnerships.

Hospitals and health organizations

Nonprofit hospitals, health systems, behavioral health providers, and community clinics rely heavily on South Carolina property tax exemptions for clinical facilities and related land and on sales tax relief for qualifying purchases. Many systems sponsor separate charitable foundations that register as charitable organizations, follow the solicitation statute, and disclose relationships with professional fundraisers for capital campaigns and grateful patient programs.

Educational institutions

Independent schools, colleges, universities, and related foundations in South Carolina receive significant property tax and sales tax benefits when they meet constitutional and statutory standards, yet they still address charitable registration for public-facing fundraising arms and related nonprofits. Alumni associations, booster clubs, and parent-teacher organizations that reach beyond a narrow internal community often register on their own and follow the same filing and raffle rules as other charities.

Next Steps

South Carolina ties charitable registration, exemptions, raffle rules, professional fundraiser oversight, tax exemptions, and property treatment together in ways that shape decisions for churches, ministries, schools, hospitals, and community nonprofits. A new digital campaign, a raffle or casino-themed event, or a property purchase in the state sometimes shifts an organization into a new compliance tier or brings a fresh set of questions from regulators or donors.

Use the consultation form below to describe your South Carolina donors, events, raffles, digital outreach, property, and related entities. A member of the team will follow up to schedule a private consultation and outline practical options for South Carolina charity registration, exemption analysis, and governance planning that fit your mission and risk tolerance.