The South Carolina Department of Revenue recently clarified in a revenue ruling that increases in the sales price of goods due to tariffs are included in the "sales price." South Carolina taxes the sales price of goods. An increase in the price of a good due to a tariff is considered to be part of the sales price. So, the taxability of a tariff depends on the taxability of the underlying transaction. When the underlying transaction is exempt, so is the increased price due to the tariff. When the underlying transaction is taxable, so is the increased price due to the tariff. However, when the purchaser or importer is personally liable for the tariff, the cost of the tariff is not included in the gross proceeds of the sale.