S.C. Code Regs. 117-307.4 — Rentals in Excess of Ninety Days Not Subject to the Tax-Airlines, Bus Companies,

Etc.
A business, usually an airline, bus company or railroad, will reserve a certain number of rooms in a
hotel for use by its personnel. Usually the hotel is guaranteed a certain minimum occupancy. The
hotel is paid for the number of rooms that are occupied and would not necessarily furnish the same
rooms each time. Such proceeds derived from the rentals of the accommodations supplied would be
subject to the sales tax.
A business rents from a hotel certain specific rooms on a continuing basis. These rooms are
occupied by authorized personnel of the corporation, on a daily basis. The hotel is paid for the
specific number of rooms that are rented, whether they are used or not.
Transactions of this nature would not be subject to the tax if the contract remains in force for a time
in excess of 90 continuous days.