For some values of "they", and some values of "the confederate flag", yes.
The Battle Flag of the Army of Tennessee, the one that's red with white stars on a dark blue saltire (diagonal cross) that most people automatically think of when they think "confederate flag", is flown by some people as a symbol of their heritage, or in some cases as a symbol of a heritage they wish they had.
It's also flown by some racist morons.
Distinguishing between the two groups can, in some cases, be problematic, since the racist morons like to hide behind the "heritage" folks.
Also:
The current Georgia state flag is quite similar to the first Confederate national flag (the "Stars and Bars"); it's essentially identical to the 13-star variant of the Stars and Bars with an additional emblem in the center of the circle of stars.
Mississippi's state flag is a bit like the secondConfederate national flag (the "Stainless Banner"), except that instead of a pure white field the field is divided into three bars, from top to bottom blue, white, and red.
Mainly the Southern Confederate Flag
The Sons of Confederate Veterans and People who have pride and Love for Dixieland.
It is not illegal, but it is against tradition and protocol and would not be proper. The United States flag flies on top, then beneath that the state flag, and then beneath that, the Confederate flag may be flown.
Historically, it was the official flag of the CSA (Confederate States of America) as the US flag is for the US today. Now days it has become a symbol of southern heritage.
As a resident of SC and to my knowledge the confederate flag does not fly over the capital building. I seem to recall it was moved to the grounds in front of the capital with it's own monument.
They fly a different flag, because they are a different country, now if they were the same country, they would fly the the US flag.
Yes, Its legal to fly it in any state. It's your 1st Amendment right.
Yes, it is legal in the US to fly a US, or other flag, from your car. Many people do that.
Well I fly it because it symbolizes a governmental system and values I believe in.
Texas
Technically, they are on their own soil, so no, they don't have to fly our flag. Just as our embassies don't fly their flag.
No, it's not illegal, although some people think it is racist and immoral.