Drivers Avoiding Vehicle Property Taxes in South Carolina

In an anonymous letter to News Channel 7 a concerned property taxpayer wrote about people in South Carolina avoiding higher vehicle property taxes by registering in North Carolina. So we took those concerns straight to Spartanburg County auditor Sharon West.

"The out of state tags are a problem," said West. "They're a problem for any county that lives on a border of another state or even other counties."

West said since January her office has received 16 complaints about illegal tags. She said due to budget cuts they don't have an enforcement officer to talk to violators directly. That's why they rely on the public to call in about drivers they think are breaking the law.

"We collect around $25,000 a year of taxes that we would not have collected had these people not called," West said.

So why register in another state? It's all about the money. West said people in South Carolina pay on average three times more in vehicle property taxes than in North Carolina. For instance, she said on a 2007 Chevrolet Malibu the Spartanburg county tax would be $287 while it is only $84 in North Carolina. West said that can lure people in to break the law, at a cost to everyone.

"Every tax dollar that that person is not paying is being reflected in my tax bill and in your tax bill," said West.

We found out it's not hard to beat the system all someone would have to do is drive over the North Carolina border to the Department of Motor Vehicles give an address and you'd be able to get a registration. The reason: West says both states rely on the word of the applicant.

North Carolina's Department of Transportation says it's not that easy. Spokesperson Steve Abbott said a law was passed in 2007 that has significantly cut down illegal registrations. But he admits, "there are still some loopholes we likely have to address, and that will probably take place when the legislators meet again in 2010."

And until those are addressed, West said drivers should be on the lookout.

"If we can get the tag number and the state that issued the tag we can find out who the owner is," said West.

Here's what you need to know about registering a car in South Carolina. By law you must register your vehicle with the Department of Motor Vehicles within 45 days of moving to the state. You must also register if you operate it in the state for an accumulated period of 150 days. Click here for more information.
If you think someone is violating this law contact your county auditor with the tag number and state. You can reach your auditor at the following numbers:

Spartanburg County Auditor (864) 596-2600
Greenville County Auditor (864) 467-7040
Anderson County Auditor (864) 260-4027