Casual Excise Tax is due when the title or other proof of ownership is issued for a boat, motor, or airplane that is required to be registered, titled, or licensed. It applies to the last sale before the application for the title.

The tax rate is 5% of the fair market value of the airplane, motor, or boat purchased.

Fair market value is defined as:

1. the total purchase price (price agreed upon by the buyer and seller) minus any trade-in allowance of the boat, motor, or airplane; or
   
2. its value listed in a national publication (NADA) adopted by the SCDOR.
   

​Casual Excise Tax on sales of boats, motors, or airplanes may not exceed the $500 Maximum Tax.

​Any item subject to the $500 Maximum Tax is taxed at a state rate of 5% and is not subject to any local tax administered by the SCDOR. However, any transaction not subject to the Maximum Tax is taxed at a state rate of 6% and is sub​ject to any local tax administed by the SCDOR.

For example: The tax is 5% of the fair market value of a motor that is purchased alone (not permanently attached to the boat).