South Carolina homeowners have two options for hurricane mitigation incentives: the SC Safe Home Mitigation Grant Program and the residential retrofit tax credit (Schedule TC-43). Homeowners may be able to use both to offset the cost of making their homes more hurricane resistant.
The SC Safe Home Grant Program is available to coastal homeowners and pays up to $7,500 for hurricane-related home safety upgrades, applied for through the SC Department of Insurance. The TC-43 tax credit is an individual income tax credit covering 25% of retrofitting costs or $1,000 (whichever is less), plus up to $1,500 for materials — for a combined credit of up to $2,500 — claimed on your state income tax return.
South Carolina's fortification tax credit
South Carolina homeowners are eligible for the TC-43 individual income tax credit on their legal residence. This means the home you live in as your primary residence — not a rental or vacation property. The credit applies to completing upgrades that make your home more resistant to hurricane, flood, or catastrophic wind damage.
The credit covers 25% of retrofitting costs or a maximum of $1,000 (whichever is less). A separate credit covers 6% of the sales or use tax you paid on qualifying materials, up to an additional $1,500. You claim both credits on the same form: Schedule TC-43.
To qualify, you'll need to provide receipts of your retrofitting costs and a written certification from a licensed professional (like a contractor, architect, or building inspector) or a signed affidavit confirming the fortification measures were completed.
Which retrofits qualify for South Carolina hurricane mitigation tax credits?
To qualify for the tax credit, retrofitting projects must meet South Carolina Department of Insurance Regulation 69-75. These are the same standards used for the SC Safe Home Grant Program. They include:
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Roof upgrades: Wind-rated roof coverings, roof deck attachment, secondary water barriers, and roof-to-wall connections
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Opening protection: Hurricane shutters, impact-rated windows and doors, and garage door bracing
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Structural reinforcements: Gable end bracing
The tax credit does not apply to routine maintenance, repairs, additions, or remodels. The project has to meet the specified fortification standards — not just improve the home generally.
The South Carolina Safe Home Mitigation Grant Program
Unlike the state tax credit, the SC Safe Home Mitigation Grant Program provides funding to homeowners who complete hurricane mitigation projects. It is administered by the South Carolina Department of Insurance, and qualifying upgrades must meet the same fortification standards listed above.
The grant is only available to homeowners in eligible coastal counties who are upgrading single-family homes. Eligible counties are Beaufort, Berkeley, Charleston, Colleton, Dorchester, Florence, Georgetown, Horry, Jasper, Marion, and Williamsburg.
Other requirements to qualify for the SC Safe Home grant include:
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Home must be your primary residence
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Home must have an active South Carolina home insurance policy
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You haven’t previously been awarded a Safe Home grant
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Home has no previous storm-related damage or insurance claim payouts
Grant amounts depend on the type of upgrades you’re making and your household income. You can use the insurance department’s award calculator to estimate your grant amount. Homeowners with higher household incomes are generally offered matching grants, meaning they’ll need to contribute an out-of-pocket amount equal to the grant.
|
Project type |
Non-matching grant cap |
Matching grant cap |
|
Resilient mitigation |
$7,500 |
$6,000 |
|
Sustainable mitigation |
$5,000 |
$4,000 |
|
Hurricane shutters/barriers |
$3,000 |
$3,000 |
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Resilient mitigation projects must meet both the SC Safe Home Retrofit Guidelines and the Insurance Institute for Business and Home Safety's FORTIFIED Roof Retrofit Guidelines.
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Sustainable mitigation projects only need to meet the SC Safe Home Retrofit Guidelines.
If you receive a matching grant, you may be able to claim the residential retrofit tax credit for your out-of-pocket contribution. Check with the SC Department of Revenue to confirm how this applies to your specific project.
How to apply for the tax credit
Complete Schedule TC-43 and file it with your South Carolina income tax return. Keep your receipts along with either a licensed professional's certification or a signed affidavit confirming the work meets fortification standards.
How to apply for the SC Safe Home Mitigation Grant
Apply through the SC Department of Insurance during an open application cycle. The program typically opens for applications twice a year. You'll generally need to work with a program-approved inspector or contractor as part of the process. Sign up for SC Safe Home program updates to get notified when the next cycle opens.
Pro tip: Confirm current deadlines and available funding before starting any work. Grant funding is limited and cycles have closed early in past years once funds ran out.
Note that the grant works on a reimbursement basis. You can't use it to pay for upgrades you've already completed. Once you receive your Grant Award Notification letter, you'll typically have three months to finish the approved improvements.
Frequently asked questions
Who is eligible for the $6,000 tax break?
There is no official $6,000 tax break for South Carolina homeowners completing hurricane mitigation projects. Homeowners can receive up to $7,500 for mitigation projects if they receive the SC Safe Home Mitigation Grant. The maximum grant amount for matching grants under the same program is $6,000. Whether you receive a matching grant or not depends on your household income. Alternatively, the residential retrofit tax credit provides an income tax credit for up to $2,500 — $1,000 for construction and 6% of material costs, capped at $1,500 — for hurricane mitigation projects.
Do hurricane shutters qualify for tax credits?
Hurricane shutters qualify for the TC-43 tax credit as long as they meet the standards outlined by the South Carolina Department of Insurance Regulation 69-75. Hurricane shutters also qualify for the SC Safe Home program, but the maximum grant award for this type of mitigation project is $3,000 (matching and non-matching).
What is a South Carolina refundable tax credit?
Refundable tax credits can reduce your tax bill below zero, with the leftover amount paid to you as a refund. Nonrefundable credits can only bring what you owe down to zero. Any unused credit isn't paid out. South Carolina's fortification tax credit is nonrefundable.
For example, if you spend $600 on qualifying retrofitting, the credit covers 25% of that cost — that's $150. If your remaining tax bill for the year is less than $150, you can only offset what you actually owe. You won't receive the difference as a refund.
Who is eligible for the SC Safe Home Roofing Grant?
There's no separate “roofing grant.” Roof retrofits are one of several project types covered under the SC Safe Home Mitigation Grant Program. Eligibility is the same across project types.
SC Safe Home Mitigation Grants are available for coastal homeowners in eligible South Carolina counties. You must apply the grant to a single-family primary residence that has an active home insurance policy. Homes cannot have previous storm damage, and you cannot receive the grant more than once. Grant eligibility and grant amounts depend on your household income. All projects must meet the SC Department of Insurance standards for mitigation efforts.
