South Dakota Sales and Use Tax

The South Dakota sales tax rate is currently 4.2%.

The State of South Dakota relies heavily upon tax revenues to help provide vital public services, from public safety and transportation to health care and education, for its citizens.

The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services.

The state sales and use tax rate is 4.2%. Sales tax rates in South Dakota are destination-based meaning the sales tax rate is determined from the shipping address.

Sales Tax

In South Dakota, each county, city and special district can add sales taxes on top of the state rate. The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services.

Use Tax

The South Dakota use tax is the counterpart of the South Dakota sales tax. The two taxes apply to the sales of the same products and services, have the same tax rates, and have similar laws. The difference is in how the taxes are applied. Use tax applies when state and applicable municipal sales tax has not been paid on products and services (including products and services transferred electronically) that are used, stored, or consumed in South Dakota

Remote Sellers

As of November 1, 2018, remote sellers who meet certain thresholds must obtain a South Dakota sales tax license and pay applicable sales tax.

Special Tax Rules for South Dakota:

Finance charges are exempt from sales tax, when stated separately.
Clothing is taxed at the same rate as the general sales tax.
South Dakota Sales tax holidays are not planned for this state.

Shipping Taxability in South Dakota:

A retailer’s charge for delivery and handling of taxable products is subject to the same state and municipal sales tax as the product when delivered in South Dakota.

If the product is not taxable, the delivery and handling charges are not taxable.

Delivery charges are the charges by the retailer for preparation and delivery to a location designated by the purchaser of tangible personal property, products transferred electronically, or services.

Delivery charges include transportation, shipping, postage, handling, crating, and packing.
Delivery surcharges or fuel charges are considered delivery charges.
If a retailer hires a transportation company and bills the customer for the transportation service, the retailer must include the transportation charges in their taxable receipts.
If both taxable and nontaxable products are in the same shipment, sales tax is due on the portion of the delivery charge for the taxable products. This is determined by using a percentage of the sales price of the taxable products compared to the total sales or weight of the taxable products compared to the total weight of all property in the shipment.

Follow this link to the South Dakota Department of Revenue for more information.

Sales and Use Tax Solutions for Your Company

Purchase an Excel / .csv formatted table for a complete list of all rates in South Dakota. Easily integrate the table into shopping carts, ERPs, call center software, and more.

For a quick rate and a sales tax calculator, use our easy Sales Tax Online Lookup Solution. Enter a ZIP code in our browser or desktop app for a full breakout of South Dakota sales tax rates by state, county, city and special district. Enter the sales amount for a quick sales tax calculation.

South Dakota State Map

Sales tax rates in South Dakota are destination-based meaning the sales tax rate is determined from the shipping address. In South Dakota, each county, city and special district can add sales taxes on top of the state rate. The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services. The South Dakota use tax is the counterpart of the South Dakota sales tax. The two taxes apply to the sales of the same products and services, have the same tax rates, and have similar laws. The difference is in how the taxes are applied. Use tax applies when state and applicable municipal sales tax has not been paid on products and services (including products and services transferred electronically) that are used, stored, or consumed in South Dakota. As of November 1, 2018, remote sellers who meet certain thresholds must obtain a South Dakota sales tax license and pay applicable sales tax. Purchase an Excel / .csv formatted table for a complete list of all rates in South Dakota. Easily integrate the table into shopping carts, ERPs, call center software, and more. For a quick rate and a sales tax calculator, use our easy Sales Tax Online Lookup Solution. Enter a ZIP code in our browser or desktop app for a full breakout of South Dakota sales tax rates by state, county, city and special district. Enter the sales amount for a quick sales tax calculation. Sales tax rates in South Dakota are destination-based meaning the sales tax rate is determined from the shipping address. In South Dakota, each county, city and special district can add sales taxes on top of the state rate. The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services. The South Dakota use tax is the counterpart of the South Dakota sales tax. The two taxes apply to the sales of the same products and services, have the same tax rates, and have similar laws. The difference is in how the taxes are applied. Use tax applies when state and applicable municipal sales tax has not been paid on products and services (including products and services transferred electronically) that are used, stored, or consumed in South Dakota. As of November 1, 2018, remote sellers who meet certain thresholds must obtain a South Dakota sales tax license and pay applicable sales tax. Purchase an Excel / .csv formatted table for a complete list of all rates in South Dakota. Easily integrate the table into shopping carts, ERPs, call center software, and more. For a quick rate and a sales tax calculator, use our easy Sales Tax Online Lookup Solution. Enter a ZIP code in our browser or desktop app for a full breakout of South Dakota sales tax rates by state, county, city and special district. Enter the sales amount for a quick sales tax calculation. Sales tax rates in South Dakota are destination-based meaning the sales tax rate is determined from the shipping address. In South Dakota, each county, city and special district can add sales taxes on top of the state rate. The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services. The South Dakota use tax is the counterpart of the South Dakota sales tax. The two taxes apply to the sales of the same products and services, have the same tax rates, and have similar laws. The difference is in how the taxes are applied. Use tax applies when state and applicable municipal sales tax has not been paid on products and services (including products and services transferred electronically) that are used, stored, or consumed in South Dakota. As of November 1, 2018, remote sellers who meet certain thresholds must obtain a South Dakota sales tax license and pay applicable sales tax. Purchase an Excel / .csv formatted table for a complete list of all rates in South Dakota. Easily integrate the table into shopping carts, ERPs, call center software, and more. For a quick rate and a sales tax calculator, use our easy Sales Tax Online Lookup Solution. Enter a ZIP code in our browser or desktop app for a full breakout of South Dakota sales tax rates by state, county, city and special district. Enter the sales amount for a quick sales tax calculation. Sales tax rates in South Dakota are destination-based meaning the sales tax rate is determined from the shipping address. In South Dakota, each county, city and special district can add sales taxes on top of the state rate. The sales tax applies to the gross receipts of all retail sales, including the sale, lease, or rental of tangible personal property or any product transferred electronically, and the sale of services. The South Dakota use tax is the counterpart of the South Dakota sales tax. The two taxes apply to the sales of the same products and services, have the same tax rates, and have similar laws. The difference is in how the taxes are applied. Use tax applies when state and applicable municipal sales tax has not been paid on products and services (including products and services transferred electronically) that are used, stored, or consumed in South Dakota. As of November 1, 2018, remote sellers who meet certain thresholds must obtain a South Dakota sales tax license and pay applicable sales tax. Purchase an Excel / .csv formatted table for a complete list of all rates in South Dakota. Easily integrate the table into shopping carts, ERPs, call center software, and more. For a quick rate and a sales tax calculator, use our easy Sales Tax Online Lookup Solution. Enter a ZIP code in our browser or desktop app for a full breakout of South Dakota sales tax rates by state, county, city and special district. Enter the sales amount for a quick sales tax calculation.