S.C. Code Regs. 117-307.7 — The Application of Tax to Hurricane Rental Insurance Charges Imposed by Hotels,

Motels, and Other Facilities.
An optional charge for hurricane rental insurance is not subject to either the 7% sales tax on
accommodations under Code Section 12-36-920(A) or the 6% sales tax as an ''additional guest charge''
under Code Section 12-36-920(B). However, if the charge for hurricane rental insurance is mandato-
ry, then the charge is subject to the 7% sales tax as a part of the charge for furnishing the sleeping
accommodations.
Note: If a mandatory evacuation order or hurricane causes the complete cancellation of a person's
vacation because law enforcement will not allow anyone to enter the area during the entire time
originally reserved for the vacation, or a hurricane destroys the rental unit and the vacationer cannot
take occupancy of the unit or any replacement unit during the entire time originally reserved for the
vacation, then the sleeping accommodations were not ''furnished'' and the charges for the sleeping
accommodations are not subject to the tax. In addition, charges for the optional or mandatory
hurricane rental insurance are not subject to the tax.