South Dakota is a destination-based state (sales are taxed where the buyer is located).
You may file returns and pay taxes online.
The state sales tax rate is 4.5%. Additional local taxes apply, and total tax rates range from 4.5% to 6.5%.
Look up rates by county.
Grocery items, as well as prepared food and drinks sold in eating establishments, are subject to the full sales tax rate.
The following conditions create nexus in South Dakota:
Additionally, remote sellers without a traditional tax presence in the state meet the requirements to establish nexus if they meet one of the two following criteria:
Electronic returns are due on the 20th of the month and the electronic payments for those returns are due the on 25th of the month.
Timely filers receive a discount of 1.5% of the tax due, not to exceed $70, each reporting period.
Access the South Dakota Tax Application.
Penalties: A penalty of 10% of the tax liability is charged when a return is not received within 30 days following the month the return is due. The minimum penalty is $10 and is assessed even if no tax is due.
Interest: 1% interest is charged each month on any past due tax until the tax is paid in full.