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Town Taxes and Fees

Beaufort County collects property tax revenues for the Town of Hilton Head Island. Property taxes may be paid at the Beaufort County Government Offices on Hilton Head Island, located at 539 William Hilton Parkway at beachwood, between mile markers five and six, or online at www.bcgov.net.external link icon

Business Related Town Taxes & Fees

The Town of Hilton Head Island requires any business operating within the limits of the Town, including home occupations, to obtain a Business License. The Business License fee is based upon the type of business, location, and the estimated gross revenue of the business for the remaining calendar year. Fees for new businesses are paid at the time the business is opened. The initial fee is based upon projection of the gross revenue and a pro rata percentage of the annual fee determined from the month of startup. The Business license fees will then be paid yearly upon renewal of the license.

Some business may require that the following taxes and fees also be paid to the Town based on the type of business:

Beach Preservation Fee and Accommodations Tax

All persons or businesses renting sleeping accommodations for less than ninety (90) days or less are required to open an account with the Town's Business License Department in order to remit quarterly payments of 3% based on their gross revenue by the 20th day of the month following each quarter. The breakdown is 2% going to the Beach Preservation Fee and 1% going to the Accommodations Tax.

Payment coupons for the current year will be mailed when an account is opened. Renewals will occur each year in January or February. Coupons shall be remitted by the 20th day of the month following the quarter to The Town of Hilton Head Island, One Town Center Court, Hilton Head Island, SC 29928. In the event "beach preservation fees" are not remitted to the Town of Hilton Head Island the violator shall pay a penalty of five (5) percent of the unpaid amount for each month or portion thereof past due until said "beach preservation fees" are paid in full. The statement may be submitted via hand delivery, mail or fax at (843)341-4637.

Upon the sale of a rental unit, please submit a Statement of Closure form to the Town's Business License Department to close the account. The statement may be submitted via hand delivery, mail, or fax (843)341-4637.

Note: if there is not any gross revenue to report, please send in your signed coupon marked -0- for posting to your record. 

Hospitality Tax

Hospitality tax is paid by the consumer or patrons of restaurants, lounges, grocery stores, convenience stores and any other establishments that sell prepared food and beverages. This tax is based on 2% of the total gross sales price received for prepared food, meals and beverages sold. It generates approximately $4.8 million annually that is dedicated to pay debt service on a $10 million bond for public safety projects and other capital improvement projects.

Payment Forms for the current year will be mailed when an account is opened. Renewals will occur each year in January or February. Forms shall be remitted by the 20th day of the month following the quarter to The Town of Hilton Head Island, One Town Center Court, Hilton Head Island, SC 29928. In the event "Local Hospitality Taxes" are not remitted to the Town of Hilton Head Island the person failing to remit shall also pay a penalty of five (5) per cent of the unpaid amount for each month or portion thereof until said "Local Hospitality Taxes" are paid in full.

Upon the closure of a business, please submit a Statement of Closure form to the Town's Business License Department to close the account. The statement may be submitted via hand delivery, mail, or fax (843)341-4637.

Note: if there is not any gross revenue to report, please send in your signed coupon marked -0- for posting to your record.

Hospitality Tax Payment Form pdf icon
Business License / Accommodations Tax and Beach Preservation Fee Permit/Application pdf icon

Real Estate Transfer Fee

The Real Estate Transfer Fee is .25 of 1% on each real estate transaction in the Town. It generates an average of $4.2 million each year that is dedicated to the Land Acquisition Program. This fee is usually included in the closing costs of a real estate transaction. The fee is collected by Beaufort County for the Town.

Please contact the Town's Revenue and Collections office at (843)341-4631 if you have any questions.