ORDERS:
FINAL ORDER AND DECISION
STATEMENT
OF THE CASE
This
matter came before me pursuant to S.C. Code Ann. § 12-60-2940 (2000) for a
contested case hearing requested by the Petitioner against the Greenwood County
Auditor (Auditor), seeking a pro rata refund of property taxes paid on a 2003
Toyota 4Runner (Toyota) for the tax year beginning August 31, 2006. A hearing
was held before me at the offices of the Administrative Law Court (ALC or Court)
in Columbia, South Carolina on February 15, 2007.
FINDINGS
OF FACT
Having
carefully considered all testimony, exhibits, and arguments presented at the
hearing of this matter, and taking into account the credibility and accuracy of
the evidence, I make the following findings of fact by a preponderance of
evidence:
1.
This Court has procedural and subject matter jurisdiction over this case.
2.
The parties have exhausted their pre-hearing remedies. Furthermore, notice of
the date, time, place and subject matter of the hearing was timely given to all
parties.
3.
Honest Muffler & Brakes, Inc. (Honest Muffler) owns a 2003 Toyota 4Runner
which is titled in the name of Honest Muffler & Brakes, Inc. The present address
for the registered office for Honest Muffler is 1401 Bucklevel Road, Greenwood,
South Carolina. The registered address for Honest Muffler was changed from 1301
Montague Avenue, Greenwood, South Carolina to the present address via a “Notice
of Change of Registered Office or Registered Agent or Both of a South Carolina
or Foreign Corporation” form filed with the South Carolina Secretary of State
on December 20, 2006.
4.
Honest Muffler currently owns a Midas Auto Service Businesses located at 1301
Montague Avenue Extension, Greenwood, South Carolina. The Greenwood location
is situated within the city limits of Greenwood, South Carolina.
5.
Wayne Lecompte (Lecompte or Petitioner) is the registered agent for Honest
Muffler. His address is 1401 Bucklevel Road, Greenwood, South Carolina. This
address, which is also the present address for the registered office of Honest
Muffler, is located in the county of Greenwood but is not in the city limits of
the city of Greenwood. The Toyota is leased to Petitioner’s wife and she uses
the car in her business which is located on Lake Greenwood. Lake Greenwood is
not in the Greenwood city limits.
6.
Honest Muffler has owned the Toyota for three years. The tax year beginning
August 31, 2006 is the first year that the Toyota has been assessed city of
Greenwood taxes. The amount of the assessment by the city is one hundred
seventy-six and 75/100 dollars ($176.75).
CONCLUSIONS
OF LAW
Based
upon the foregoing Findings of Fact, I conclude the following as a matter of
law:
1.
S.C. Code Ann. § 1-23-600 (Supp. 2006) grants jurisdiction to the Court to hear
contested cases under the Administrative Procedures Act. S.C. Code Ann. § 12-60-2920
(2000) authorizes the Court to conduct contested case hearings concerning
property tax assessment decisions made by county auditors.
2.
S.C. Code Ann. § 12-37-210 (2000) defines property which is taxable in South
Carolina as follows:
All real and
personal property in this State, personal property of residents of this State
which may be kept or used temporarily out of the State, with the intention of
bringing it into the State, or which has been sent out of the State for sale
and not yet sold, and all moneys, credits and investments in bonds, stocks,
joint-stock companies or otherwise of persons resident in this State shall be
subject to taxation.
3.
The Petitioner contends that the vehicle should not be subject to Greenwood
city taxes because it is owned by Honest Muffler whose office is located in his
home and outside of the city limits. S.C. Code Ann. § 12-37-890 (2000) provides
that: "All . . . vehicles used in any business . . . shall be returned for
taxation and taxed in the county, city and town in which it is situated. All
other personal property shall be returned for taxation and taxed at the place
where the owner thereof shall reside at the time of listing the same, if the
owner reside in this State; if not, at the residence of the person having it in
charge." In other words, a vehicle used in a business is to be taxed at
the place where the business is located. Additionally, "[a] determination
of where business personalty is situated depends upon the totality of facts for
the tax year. . . ." 1995 WL 117041, *1 (S.C.A.G.). However, it is
immaterial if the owner is a county resident and not a city resident, if the
business property is, in fact, used within the city. See 1979 WL 43208,
*1 (S.C.A.G.); See also 1979 S.C. Op. Atty. Gen. 68; 1979 S.C.
Op. Atty. Gen. No. 79-54; 1979 WL 29060, *4 (S.C.A.G.) ("If [a] mobile
home has a tax situs in [a] county it would be subject to taxation by the
county notwithstanding that the principal office of the business was in another
county.")
In
this case, Honest Muffler’s primary business is the management of Midas Auto
Service locations, which includes a location in the city of Greenwood.
Furthermore, when the current tax year began on August 31, 2006, the street
address for the registered office of Honest Muffler was 1301 Montague Avenue,
Greenwood, South Carolina, which is in the city limits of the city of
Greenwood. Thus, when the Toyota was assessed, Honest Muffler was located
within the city of Greenwood. Therefore, for tax purposes at the time in question,
the Toyota was situated in the city of Greenwood and is subject to taxes
accessed by the city of Greenwood for the tax year beginning on August 31, 2006.
ORDER
Based
upon the above Findings of Fact and Conclusions of Law:
IT
IS HEREBY ORDERED that the 2003 Toyota 4Runner titled and registered to
Honest Muffler & Brakes, Inc. is subject to Greenwood city taxes for the tax
year beginning on August 31, 2006.
AND
IT IS SO ORDERED.
__________________________________
JOHN
D. MCLEOD
Administrative
Law Judge
March 15, 2007
Columbia, South Carolina
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