The law, enacted in 2000, let each county council vote to cap increases in properties' taxable values at 15 percent. It was seen as a reaction to a spate of reassessments statewide in which property values were doubling and tripling.
In a 5-0 unsigned opinion, the court struck down the cap because each county could choose whether to apply it, while the state constitution requires statewide uniformity in assessment. Charleston is the only county that adopted the cap.
The case before the court did not address the issue of whether there can be a statewide limit on how much property values increase during a reassessment. Last year, the legislature approved a bill that would have capped increases statewide at 20 percent, but it was vetoed by Gov. Mark Sanford, who said the bill would violate the state constitution's requirement that tax assessments be based on fair market value.
One legislator said Monday's court ruling could breathe new life into this year's attempts to overhaul the state-mandated
system of property assessments and taxes. But House Ways and Means Committee Chairman Bobby Harrell said any new law might be difficult to pass before the legislature adjourns June 2.
"It probably improves the chances of legislation being passed because we're back to square one in solving this problem," said the Charleston Republican. "Whether you can get it passed in the next two months or not, I don't know."