States / South Dakota

South Dakota

Last checked Oct 22, 2026

South Dakota has no personal or corporate income tax, so practitioner work runs through three state logins: the Department of Revenue's EPath for sales, use and contractor's excise tax, the Department of Labor and Regulation's employer menu for reemployment assistance (unemployment) tax and new hire reports, and the Secretary of State's SOSEnterprise for business filings and annual reports. Unlike most states, South Dakota has not bought a commercial tax or unemployment system. The sales tax systems are state hosted and no vendor contract for them was found; in 2022 the Department of Revenue sought consultants to plan their replacement because they were near the end of their lifespan, but only the motor vehicle half has been replaced so far, by FAST Enterprises' 605Drive ($44.7M ten-year contract, live February 2025). The reemployment assistance system was built in the 1980s on the state mainframe; state developers at the Bureau of Information and Technology, with contract programmers from My3Tech, have been rewriting it in house since FY2023 on $11.1M appropriated so far, and the state put the work at 25 to 40 percent complete in late 2025. The Secretary of State is upgrading SOSEnterprise under a sole-source Tecuity contract now at $3.9M. South Dakota has no state paid family and medical leave program.

Who administers what

Every fact links to its source and carries a label: Public record Vendor claim Press / secondary

What the state has spent

Contract totals are the approved ceilings or current contract values the sources state, not money paid, and they are added up only where a plain contract figure exists. The yearly average spreads each system's payments over the years they cover (marked p), or, where no payment data was found, its contract total over the contract term (marked c); systems with neither are left out; it is an estimate of the yearly cost, not a reported figure. Payments to date and project budgets or estimates are added up in their own tiles, from the figures shown in the table; the three kinds of figure overlap and are never added together. Follow each system below for its sources.

Portals practitioners use

Leadership and contacts

Checked Oct 30, 2026. People change roles often; confirm on the agency's site before relying on a name.

Chain of command

• Voters
  • Governor: Larry Rhoden
    • Secretary of Revenue: Michael Houdyshell South Dakota Department of Revenue
    • Interim Secretary of Labor and Regulation: Kendra Ringstmeyer (acting) South Dakota Department of Labor and Regulation
    • Interim Secretary of Social Services: Brenda Tidball-Zeltinger (acting) South Dakota Department of Social Services, Division of Child Support
  • Secretary of State: Monae L. Johnson South Dakota Secretary of State

Employer account numbers

Checked Oct 29, 2026. No state income tax on wages, so no withholding account.

South Dakota has no state income tax, so there is no state withholding account: the Department of Revenue says "South Dakota is one of seven states that does not impose a state income tax." The only state employer payroll account is the reemployment assistance (RA, South Dakota's name for unemployment insurance) account issued by the Department of Labor and Regulation (DLR), Reemployment Assistance Division. The investment fee and the administrative fee are reported and paid on the same quarterly report under the same RA account number. South Dakota has no state paid family or medical leave or disability insurance program with its own employer account.

Layout: 9 is a digit, A is a letter, other characters are shown as the agency writes them. No real account numbers appear on this site.

Employer tax ID numbers for every state researched

Unemployment insurance tax

Checked Nov 3, 2026. South Dakota Department of Labor and Regulation, Reemployment Assistance Division

South Dakota calls unemployment insurance reemployment assistance (RA). The taxable wage base is a fixed $15,000 (2015 and after), not indexed. A new employer pays 1.20% (6.00% in construction) in its first year, plus a 0.55% investment fee; from 2026 every experience-rated employer also pays a 0.08% administrative fee.

Taxable wage base

2027: $15,000
2026: $15,000
Not indexed: DLR lists $15,000 for 2015 and after, subject to change by the Legislature. The 2027 entry assumes no change; DLR has not published a separate 2027 figure. source Public record

New employer rate

2026: 1.2% First year: 1.20% RA tax plus 0.55% investment fee (1.75% total). Years 2 and 3: 1.00% plus 0.55% (for employers with a positive account balance). Construction: 6.00% plus 0.55% in year 1, then 3.00% plus 0.55% in years 2 and 3. The administrative fee does not apply to employers not yet eligible for an experience rate. source Public record

Rate range

2026: 0% to ?, Reserve ratio table with Schedule A and Schedule B columns The FAQ table that applies to taxable wages paid on and after January 1, 2026 runs from 0.00% (reserve ratio 2.25% and over) to 9.45% under Schedule A or 9.35% under Schedule B (reserve ratio less than -7.00%); the page does not say which schedule is in effect. The investment fee (0.00% to 0.53%) and the 0.08% administrative fee are added. DOL's Significant Provisions (effective July 2026) gives South Dakota 0.00% to 8.52%, which matches neither FAQ schedule maximum; because DLR's own table exists, its figures are kept and the maximum is left null. source Public record

Other assessments

• Investment fee: 0.00% to 0.53% of taxable wages by reserve ratio (0.53% below a 1.0% reserve ratio, 0.00% at 1.6% and over); 0.55% for new employers. Not credited to the employer's experience-rating account. (2026) source Public record
• Administrative fee: 0.08% for calendar year 2026 and each year after, for every employer eligible for experience rating (in 2024 and 2025, 0.02% only if the reserve ratio was under 2.25%). Not credited to the experience-rating account. (2026) source Public record
• Surcharge (when the trust fund falls below $11 million): None in effect: DLR says there has not been a surcharge since the third quarter of 2010. (2026) source Public record

Rate notices

The Experience-Rating Notice (Notice of Rate Determination) is mailed no later than November each year (Employer Handbook, rev. 07/2022).. Protest: Request a review and redetermination in writing within 15 days of the date the notice is mailed. source Public record

Voluntary contributions

Allowed, Before December 31, to reduce the rate for the following calendar year (Employer Handbook, rev. 07/2022); DOL's 2023 Comparison instead says before February 1 source Public record

Filing

Employer's Reemployment Assistance Quarterly Report (Form 21)
Due: The last day of April, July, October and January.
Electronic filing: Online filing through the Internet Quarterly Wage Reporting System (with optional file upload), or on CD or DVD; paper Form 21 is still accepted. No electronic filing mandate was found.
DLR Employer Menu (Internet Quarterly Wage Reporting System) source Public record

FUTA credit reduction

None. Not listed by the U.S. Department of Labor as having a Title XII advance balance on January 1, 2026, and not a credit reduction state for 2025 or any earlier year from 2010. source Public record

Recent and coming changes

• Jan 1, 2026 Administrative fee becomes 0.08% for every experience-rated employer from calendar year 2026 (it was 0.02%, and only below a 2.25% reserve ratio, in 2024 and 2025). source Public record

The investment fee and the administrative fee are reported and paid on the same quarterly report and RA account as the contribution. The Employer Handbook on DLR's site is dated REV 07/2022, so its notice, protest and voluntary contribution statements may predate later changes.

Not confirmed: Which contribution schedule (A or B) applies in 2026 and 2027, and so the maximum rate: not stated on the FAQ. Maximum rate conflict: DOL's July 2026 summary says 8.52%, while DLR's FAQ table tops out at 9.45% (Schedule A) or 9.35% (Schedule B). 2027 rates and any 2027 change to the fees: not published on 2026-11-03. Current confirmation of the voluntary contribution deadline (December 31) and the November notice date: only the 2022 handbook states them. DOL's 2023 Comparison gives a different voluntary deadline (before February 1). Whether the investment fee and administrative fee count toward the FUTA credit: not stated in the sources read.

Unemployment insurance tax in every state

Income tax withholding

Checked Nov 3, 2026

South Dakota has no state income tax, so employers withhold no state income tax from wages and there is no state withholding certificate, supplemental rate, reciprocity or withholding deposit schedule. The Department of Revenue says South Dakota is one of seven states that does not impose a state income tax. No other wage-based tax withheld from employees and administered by the Department of Revenue was found.

Source: https://dor.sd.gov/individuals/taxes/. The employer's state payroll account is the reemployment assistance (unemployment insurance) account with the Department of Labor and Regulation, shown on the tax ID page.

Not confirmed: Local wage taxes: none found; South Dakota localities' income or wage taxes were not separately checked against a primary source.

Withholding rules in every state

Credits for other states' taxes and part-year residents

Checked Nov 3, 2026

South Dakota does not impose a state income tax, so there is no credit for taxes paid to other states, no part-year resident rule and no reverse credit. South Dakota is an associate member of the Multistate Tax Commission. Its bank franchise tax falls on financial institutions, not individuals.

Multistate Tax Compact

Associate member. source Public record

Other interstate rules

• Every financial institution regularly engaged in business in South Dakota during the year must file a bank franchise tax return; no individual income tax interacts with other states' resident credits. source Public record

Source for no income tax: https://dor.sd.gov/individuals/taxes/ ("South Dakota is one of seven states that does not impose a state income tax").

Not confirmed: How the bank franchise tax is measured, and whether any other state allows its residents a credit for it, was not checked.

Multistate rules in every state

Business return deadlines and annual reports

Checked Nov 4, 2026

South Dakota has no corporate, unitary or personal income tax, so there is no corporate, S corporation, partnership or individual income tax return; financial institutions file a bank franchise tax return within 15 days after their income tax return is due. Corporations, LLCs and LLPs, domestic and foreign, file an annual report with the Secretary of State by the first day of the anniversary month ($55 online, $70 on paper; $10 for a nonprofit corporation), with a $55 late fee once 2 months late and possible administrative dissolution; limited partnerships file none.

Corporate return

No corporate income tax. source Public record

Partnerships

No partnership return required. source Public record

Other business returns with a fixed date

• Bank franchise tax return: Within 15 days after the taxpayer's income tax return is due; an extension follows a federal extension if a cover letter, a copy of the federal extension request and the estimated tax are sent by the original franchise tax due date (minimum tax $200 per return). Every financial institution (banks, production credit associations, savings and loan associations) regularly engaged in business in South Dakota during the year. source Public record

Annual report

Filed with the South Dakota Secretary of State, Division of Business Services through SOSEnterprise: File an Annual Report.

Entities may, but are not required to, list beneficial owners on organizational documents or annual reports.

No change to the annual report due date or fees was found for 2026 or 2027.

Not confirmed: Bank franchise tax return form number and the statute section for its due date were not read; the date rests on the Department of Revenue's bank franchise tax page. How long an entity may stay delinquent before administrative dissolution: the Secretary of State says only that it may be dissolved.

Deadlines and annual reports in every state

Electronic payment, penalties and interest

Checked Nov 4, 2026

South Dakota has no personal or corporate income tax, and no mandatory electronic payment rule was found: the Secretary may authorize electronic remittance, and electronic payments are due by the 25th instead of the 20th. A return not received within 30 days after the month it is due draws a penalty of 10% of the tax or $10, whichever is greater, even if no tax is due. Interest is 1% a month (at least $5 the first month), or 1.5% a month when the late payment was intentional.

Interest on unpaid tax

Fixed in statute: 1% or $5, whichever is greater, for the first month and 1% a month after that, for each month or part of a month the payment is late; 1.5% a month if the failure was intended to avoid or delay payment. On application, the Secretary may cap the rate at 24% if the late payment came from a mistake of law and not an intent to evade. Interest is tolled during a Department appeal and certain hearing delays. Compounding: Charged on the past due tax for each month or part of a month; compounding is not stated. SDCL 10-59-6; refund interest SDCL 10-59-24. source Public record

When tax must be paid electronically

No electronic payment mandate was found.

Penalties

Late filing

Covers: Returns and reports for the taxes administered under SDCL chapter 10-59 (uniform administration of certain state taxes), including sales and use tax. 10% of the tax liability if the return or report, including all taxable transactions, is not received within 30 days following the month it is due. Minimum: $10, assessed even if no tax is due. SDCL 10-59-6. source Public record

Late payment

Covers: The taxes administered under SDCL chapter 10-59. No separate late payment penalty: late payment is charged interest (see interest). The 10% late filing penalty and the monthly interest charge are separate and both apply; payments go first to tax (oldest first), then to interest, then to penalty. SDCL 10-59-6; 10-59-6.1. source Public record

Estimated tax, individuals

Safe harbor: No personal income tax. source Public record

Estimated tax, corporations

Safe harbor: No corporate income tax. source Public record

Penalty relief

For reasonable cause shown, the Secretary may reduce or eliminate the late filing penalty. Penalty or interest may be reduced or abated if the Secretary finds it just and equitable or the Department unduly delayed notice of the assessment. Tax, interest and penalty may be reduced or abated where there was a bona fide misunderstanding of how the tax applies and a good faith effort to determine taxability through communications with the Department. source Public record

Other penalties

• Intentional failure to pay to avoid or delay payment. Interest of 1.5% a month or $5, whichever is greater, in place of the 1% rate. source Public record

Electronic filers' returns are due by the 20th and payments by the 25th of the month after the period; paper return and payment are both due by the 20th. EPath (Filing and Tax Payment portal) and Make A Payment accept ACH debit or credit card (Visa, Mastercard and Discover), and ACH credit is arranged through the business's bank. A recovery refund includes interest at the rate the taxpayer would be charged, except for an overpayment from the taxpayer's own error. Amended returns are allowed within 36 months of the original due date. The statutes were read through the Legislature's statute service (sdlegislature.gov/api/Statutes/10-59.html), which the public statute pages load.

Not confirmed: SDCL 10-59-1 (the list of taxes the uniform penalty and interest rules cover) was not read; the chapters named in 10-59-32 were taken as indicative only. No electronic payment mandate found in SDCL chapter 10-59 or on the Department's sales tax page; a separate rule requiring EFT for large payers was not found. Dishonored payment penalty: not found. No penalty waiver form or first-time abatement policy found. Penalties for the reemployment assistance (unemployment) tax were not covered.

Electronic payment, penalties and interest in every state

Disaster relief rules

Checked Nov 4, 2026

South Dakota has no individual or corporate income tax, and no statute, rule or Department of Revenue guidance was found on following IRS disaster postponements for its sales, use and contractor's excise taxes. The secretary may grant only a five-day extension for filing a sales tax return and remittance, and may reduce or eliminate the late-filing penalty for reasonable cause. No disaster relief page or notice was found.

When the IRS postpones deadlines

No standing rule found No rule found. SDCL 10-45-27.3: "The secretary may grant an extension of not more than five days for filing a return and remittance.". Not stated. SDCL 10-45-27.3. source Public record

Taxes covered

Not stated.

State-declared disasters

Not stated; no Department disaster relief notice was found.

How to get relief

No disaster procedure found. Penalties: SDCL 10-59-6: for reasonable cause shown, the secretary may reduce or eliminate the late-filing penalty (10 percent of tax or $10, whichever is greater). The statute gives no waiver of interest except a 24 percent cap for a mistake of law. source Public record

Other disaster tax rules

• Property tax: agricultural land inundated by floods and not farmable during the past three growing seasons may be specially assessed if the owner applies to the county director of equalization before Nov. 1. source Public record

Statute text was read from the Legislature's API pages (https://sdlegislature.gov/api/Statutes/10-45-27.3.html and /10-59-6.html).

Not confirmed: The Department of Revenue site search loads results by script and could not be read without a browser, so a disaster page or past disaster notice may exist. Whether South Dakota has an out-of-state disaster remediation business exemption was not checked.

Current disaster relief and every state's rules

Federal tax picture

From the IRS's own statistics: the Data Book for fiscal 2025 and Statistics of Income for tax year 2023. Every state

Collected by type: Individual income tax withheld and FICA tax $6.7B; Estate and trust income tax $4.0B; Individual income tax payments and SECA tax $3.2B; Business income taxes $411M; Excise taxes $44M; Estate tax $23M; Unemployment insurance tax $15M; Gift tax $8.3M; Railroad retirement tax $2.8M. source Public record

Filers moving in and out, 2022 to 2023

15,986 returns (26,881 people) with $1.2B of income moved in from other states; 14,447 returns (24,469 people) with $0.9B moved out, a net gain of $0.3B in income. source Public record

Minimum wage

Checked Nov 3, 2026. South Dakota Department of Labor and Regulation

South Dakota's minimum wage is $11.85 an hour from January 1, 2026 and rises to $12.30 on January 1, 2027. The rate is indexed each year to the August to August change in the national CPI-U under Initiated Measure 18 (2014), rounded up to the nearest 5 cents, and announced by October 15. Tipped employees get a cash wage of half the minimum wage: $5.925 in 2026 and $6.15 in 2027.

Rate

$11.85 from Jan 1, 2026
$12.30 from Jan 1, 2027 Announced by the Department; 2027 poster published. source Public record

How it is set

Indexed: Consumer Price Index for all urban consumers, U.S. city average, all items: percentage increase as of August over the prior August, rounded up to the nearest five cents; the rate may not decrease. Announced: Published on the Department's website by October 15, effective the following January 1 SDCL 60-11-3 (base rate) and 60-11-3.2 (annual adjustment), from Initiated Measure 18 (2014) source Public record

Other rates

• Employees of an amusement or recreational establishment, organized camp, or religious or nonprofit educational conference center that operates no more than seven months a year or has highly seasonal receipts: excluded from the minimum wage; babysitters and outside salespersons are also excluded (2026) source Public record

Tipped employees

2026: cash wage $5.92, tip credit $5.92 Cash wage of at least 50% of the state minimum wage if the employer claims a tip credit; tipped employee means one who customarily and regularly receives more than $35 a month in tips. Tip credit is the difference from the minimum wage.
2027: cash wage $6.15, tip credit $6.15 50% of the $12.30 minimum wage. source Public record

Youth and training wages

$4.25. Opportunity wage: newly hired employees under age 20 may be paid at least $4.25 an hour for the first 90 consecutive calendar days, as defined under the federal Fair Labor Standards Act (SDCL 60-11-4.1). source Public record

Poster

2027 State Minimum Wage Posting (the Department says no state statute requires it; provided as a courtesy)

Recent and coming changes

• Jan 1, 2015 Initiated Measure 18 set the minimum wage at $8.50 an hour and added the annual cost of living adjustment, starting January 1, 2016, and a tipped cash wage of 50% of the minimum wage. source Public record
• Jan 1, 2027 Indexed increase to $12.30 an hour (tipped cash wage $6.15). source Public record

The opportunity wage under SDCL 60-11-4.1 follows the federal youth opportunity wage; the Department's FAQ says Initiated Measure 18 did not change it. A 2015 amendment to SDCL 60-11-3 (SL 2015, ch 261) is shown in the statute's source note as rejected November 8, 2016. No state exempt salary threshold above the federal level was found.

Not confirmed: Whether South Dakota law preempts city or county minimum wages was not confirmed from a primary source; no local minimum wage was found on the Department's pages. The 2027 announcement date (the statute requires publication by October 15, 2026) is not stated on the saved page.

Minimum wage in every state

Paid family and medical leave

Checked Nov 3, 2026. No program

South Dakota has no state paid family and medical leave or temporary disability insurance program funded by payroll contributions, so there is no 2026 or 2027 contribution rate, wage base, employer or employee share, or separate report. No voluntary state program was found. The Department of Labor and Regulation says South Dakota has no law requiring paid leave.

The Department of Labor and Regulation's labor law summary (revised 01/2026) answers the question on paid leave, vacation and sick time with "South Dakota has no law requiring paid leave."

Not confirmed: No South Dakota agency page or statute found says in words that South Dakota has no paid family and medical leave or temporary disability insurance program; "none" rests on the U.S. Department of Labor Women's Bureau count and map (map updated September 2023), the site's own taxids research, and no program found in this run. Not checked in the South Dakota insurance code: whether South Dakota has a law letting insurers sell private paid family leave insurance (for example as a rider to group disability policies, as Virginia allows). Secondary summaries seen in search results name other states for such laws, not South Dakota. South Dakota Legislature bills on paid family leave in 2025 and 2026 were not checked bill by bill.

Paid leave in every state

Sick leave and time off

Checked Nov 5, 2026. No paid sick leave law

South Dakota does not require private employers to give paid sick leave or any other paid leave; the Department of Labor and Regulation says paid leave is a matter of employer policy. There is no state family and medical leave law, so the state relies on the federal FMLA. Whether earned vacation is paid out at separation, including when an employee quits without notice, is a matter of agreement between the employer and the employee.

Paid sick leave

No state law requires private employers to give paid sick leave.

Local laws: No South Dakota statute was found that bars cities or counties from requiring private employers to give paid or unpaid leave, and no local sick leave ordinance was found.

Family and medical leave

No state family and medical leave law for private employers was found; South Dakota relies on the federal FMLA. The Department of Labor and Regulation refers Family Medical Leave Act questions to the U.S. Department of Labor.

Vacation and PTO at the end of employment

Employer policy controls No statute requires paying out unused vacation. The Department of Labor and Regulation says paid leave, including vacation, is a matter of employer policy, and that whether vacation pay is withheld when an employee quits without two weeks' notice is a matter of agreement between the employer and the employee. Final wages are due by the next regular payday (SDCL 60-11-10 and 60-11-11). (SDCL 60-11-10, 60-11-11; Department of Labor and Regulation, South Dakota Labor and Employment Laws: What You Need to Know (rev. 01/2026)) source Public record

Other leave the law requires

What was checked: Checked the Department of Labor and Regulation's What You Need to Know summary (rev. 01/2026), which says South Dakota has no law requiring paid leave, no holiday pay law, and that jury duty time may be with or without pay; and SDCL 12-3-5, 16-13-41.1, 2-4-1.1, 33A-2-9, 60-11-10 and 60-11-11. Jury duty: SDCL 16-13-41.1 only bars discharging or suspending an employee for serving as a juror (a Class 2 misdemeanor), so it is not listed as a leave law. Holidays: the Department says no state law requires holiday pay. Government index searches for volunteer firefighter, crime victim, domestic violence and local preemption statutes found only provisions for state employees (for example SDCL 3-6C-21 Red Cross disaster leave and ARSD 55:09:04:06 volunteer fire leave) and none for private employers. The state paid family and medical leave insurance page (data/paidleave/south-dakota.json) records no state program.

Not confirmed: No South Dakota statute or agency page was found that says in words whether cities or counties may require private employers to give paid leave; 'preempts: false' rests on finding no such statute in government index searches. Not checked: South Dakota Supreme Court rulings on forfeiture of earned vacation at separation; the vacation answer rests on the Department of Labor and Regulation's summary. Not checked bill by bill: 2025 and 2026 South Dakota bills on paid sick leave or leave for crime victims, domestic violence victims or volunteer responders.

Federal law adds unpaid FMLA leave at employers with 50 or more employees and paid sick leave for federal contractors. Sick leave and time off in every state

Sales and use tax

Checked Nov 3, 2026

South Dakota levies a 4.2% state sales and use tax, scheduled in statute to return to 4.5% on July 1, 2027; municipalities add 1% to 2% sales and use taxes and a municipal gross receipts tax, all reported on the state return. A seller without a physical presence must be licensed once its gross revenue from sales into South Dakota exceeds $100,000 in the previous or current calendar year, registering by the first day of the month that starts at least 30 days after crossing it. This is the Wayfair state: the 200-transaction alternative was removed effective July 1, 2023.

State rate

4.2%, since Jul 1, 2023 SDCL 10-45-2 (SL 2023, ch 32)
No reduced state rate on food; purchases with SNAP (food stamp) benefits are not taxed. source Public record

Local taxes

Yes, collected by the state. Municipal sales and use tax of 1% to 2% applies to the same sales as the state tax; a 1% municipal gross receipts tax (MGRT) can apply on top of it to alcoholic beverages, eating establishments, lodging accommodations and admissions. Indian country under a tax collection agreement is a special jurisdiction. State, municipal and special jurisdiction taxes are reported on the same return; municipal rate changes take effect January 1 and July 1. Rate lookup source Public record

Remote sellers

$100,000 (transaction count repealed Jul 1, 2023); counts gross: gross revenue from sales of tangible personal property, products transferred electronically and services delivered into South Dakota, including rentals and leases sales; previous or current calendar year; since Nov 1, 2018. By the first day of the month that starts at least 30 days after the threshold is met (example: threshold exceeded May 28, register and collect from July 1). Threshold history: 2016 Senate Bill 106 (SL 2016, ch 70, an emergency act; the codified history says eff. May 1, 2016) required collection when a seller without physical presence had more than $100,000 of gross revenue from sales into South Dakota or 200 or more separate transactions in the previous or current calendar year. The U.S. Supreme Court decided South Dakota v. Wayfair on June 21, 2018, and the state may not collect on sales made before November 1, 2018 (SDCL 10-64-6). 2023 Senate Bill 30 (SL 2023, ch 38), requested by the Department of Revenue, removed the 200-transaction test; the act has no effective date clause or emergency clause, so under SDCL 2-14-16 it took effect July 1, 2023. Since then the test is $100,000 of gross revenue alone. The threshold does not apply to businesses with a physical presence in South Dakota. source Public record

Marketplace facilitators

Must collect (A marketplace provider must be licensed and remit tax on all sales it facilitates into South Dakota if it is itself a remote seller, or facilitates sales of one marketplace seller, or of two or more marketplace sellers combined, that meet the remote seller criteria ($100,000 of gross sales in the previous or current calendar year). Register by the first day of the month that starts at least 30 days after the threshold is met.), since Mar 1, 2019 source Public record

Streamlined Sales Tax

Full member source Public record

Registration

Sales tax license, None ("There is no fee for a sales or contractor's excise tax license") Register Apply online with the Tax License Application, or through the Streamlined Sales Tax Registration System; remote sellers use the same application. Each South Dakota location needs its own license unless a statewide license is approved. source Public record

Filing

• monthly: monthly taxes of more than $83.33 (or bimonthly taxes of more than $166.66); a monthly filer stays monthly for at least two years
• other (bimonthly, semiannual): the Department may require or allow a basis other than monthly; its reports mention monthly, bi-monthly and semi-annual filing periods

Due: Returns are due the 20th of the month after the period; electronic payments are due the 25th; paper returns and payments are due the 20th.
Electronic filing: Available through EPath; the sources read do not state an electronic filing mandate.
EPath source Public record

Certificates

Resale: The Department's exemption certificate (form 2040) or an approved substitute, the MTC uniform certificate, or the Streamlined Certificate of Exemption, used for resale and other exemptions (ARSD 64:06:01:08.01). A purchaser from a state that issues no permits may use an FEIN, driver's license or state ID number.. MTC certificate: accepted. Streamlined certificate: accepted
Exemptions: Relief agencies, government entities and educational institutions apply for exempt status (relief agencies renew every five years) and give sellers an exemption certificate with their exemption number. source Public record

Recent and coming changes

• Jul 1, 2027 State sales tax rate returns from 4.2% to 4.5% under the version of SDCL 10-45-2 marked effective July 1, 2027 (SL 2023, ch 32). source Public record

The 4.2% rate (SL 2023, ch 32) carries no effective date clause in the statute history; July 1, 2023 follows from SDCL 2-14-16. The South Dakota Legislature's rule pages are saved as UTF-16 text.

Not confirmed: No collection allowance (vendor discount) for South Dakota sales tax was found in the 2026 Sales and Use Tax Guide or the rules read; not confirmed either way. Thresholds for bimonthly and semiannual filing, beyond the monthly rule in ARSD 64:06:01:39.02, were not found. The session law for SL 2023, ch 32 (the 4.2% rate) was not read; the bill number was not confirmed. Whether the 2027 reversion to 4.5% has been changed by later legislation was not checked beyond the current codified text.

Sales tax in every state

Credit card surcharges

Checked Nov 4, 2026. No state surcharge law

No South Dakota statute was found that allows, limits or bars a private business adding a surcharge for credit card payments. The state and its political subdivisions may charge a fee sufficient to cover the processing fee on card and electronic payments made to them (SDCL 4-3-28). Card network rules and federal law still apply.

The rule

No state law on credit card surcharges by private sellers was found. The Attorney General's consumer protection page describes surcharges as allowed under the 2013 card network settlement, on credit cards only, up to the merchant's cost and no more than 4 percent, with notice at the entrance and point of sale (or the home page online) and the dollar amount on the receipt; it cites no state statute.

Agency guidance

consumer.sd.gov

Cash discounts

No state law found.

Sales tax on the surcharge

Not stated The Department of Revenue's Gross Receipts tax fact (August 2025) and the statute it quotes (SDCL 10-45-1) include in gross receipts the retailer's expenses and charges for any services necessary to complete the sale, whether or not separately stated, but do not name card surcharges or convenience fees. No Department guidance on card surcharges was found. source Public record

What was checked: Government payments only: SDCL 4-3-28 (SL 2001, ch 22; SL 2007, ch 26) lets the state and its political subdivisions accept credit cards, debit cards and electronic payments and collect a fee sufficient to cover the processing fee; the Bureau of Finance and Management sets rules for the state and each political subdivision's governing body may set a fee by resolution. Checked the section lists of SDCL chapters 37-24 (Deceptive Trade Practices and Consumer Protection) and 54-11 (Credit Cards and Revolving Charge Accounts) on sdlegislature.gov, with no section on surcharges; the Department of Revenue's sales tax page, its July 2026 Sales and Use Tax Guide and its Gross Receipts tax fact; and web searches for a surcharge statute and tax guidance. A full-text search of government sites (state code and agency pages) on 2026-11-05 found no seller surcharge provision; it found only the government fee rule and the sales tax exemption for card processing services sold to retailers (SDCL 10-45-68).

Not confirmed: South Dakota bills in the 2026 session on card surcharges were not checked. The consumer protection page's 4 percent maximum reflects card network rules (Mastercard's cap; Visa's is 3 percent), not a South Dakota statute.

Federal law and the card networks' own rules apply in every state. Surcharge rules in every state

Pass-through entity tax

Checked Nov 3, 2026

South Dakota has no individual income tax, so no PTET is needed: the Department of Revenue says the state does not impose a state income tax, and it does not impose a corporate income tax either.

Sources: https://dor.sd.gov/individuals/taxes/ and https://dor.sd.gov/businesses/taxes/.

Not confirmed: The 2025 and 2026 South Dakota legislative records were not searched for a PTET bill; with no individual income tax, none would be expected.

Pass-through entity tax in every state

Conformity to the 2025 federal tax law

Checked Nov 3, 2026. Business tax: bank franchise tax (financial institutions only; no corporate income tax)

South Dakota has no individual or corporate income tax, so the 2025 federal law's individual deductions do not apply. Its one income-based tax, the bank franchise tax on financial institutions, starts from federal taxable income but follows the Internal Revenue Code as in effect on January 1, 2025 (SDCL 10-1-47), a date before Public Law 119-21. The 2026 Legislature amended that section (SB 18, signed February 13, 2026) without moving the date.

Follows the Code

Fixed date, Code as of Jan 1, 2025. SDCL 10-1-47 (applies to the bank franchise tax through SDCL 10-43-10.1)
Static conformity applies only to the bank franchise tax and the other sections listed in 10-1-47. source Public record

Starting point

Corporations: federal taxable income (bank franchise tax: taxable income as defined in the Code, as of January 1, 2025, with state adjustments) source Public record

Response to Public Law 119-21

None yet. SL 2026, ch 51 (SB 18), signed February 13, 2026, amended SDCL 10-1-47 but kept the January 1, 2025 Code date. Years: 2025 and 2026 (bank franchise tax)
SB 18 repealed the bank franchise tax modifications for bad debts and left the Code date at January 1, 2025, so the Code that the tax follows predates Public Law 119-21. Two other 2026 session laws (chapters 37 and 38) also amended 10-1-47; the codified text after all three still reads January 1, 2025. source Public record

Provision by provision

Other differences

• SB 18 (2026) repealed the bank franchise tax additions for bad debt deductions in excess of debts charged off and for recoveries of bad debts. source Public record

Recent and coming changes

• SB 18 (SL 2026, ch 51) amended SDCL 10-1-47, 10-43-10.2 and 10-43-10.3; the Code date stays January 1, 2025. source Public record

The Department of Revenue says South Dakota does not impose a state income tax or a corporate income tax; every financial institution doing business in the state files a bank franchise tax return.

Not confirmed: No Department of Revenue guidance on how banks adjust for Public Law 119-21 under the January 1, 2025 Code date was found. The effective date of SB 18 and the subjects of SL 2026 chapters 37 and 38 were not read.

Conformity in every state

Pay in job postings

Checked Nov 2, 2026. No state pay range law

South Dakota has no state law requiring employers to put pay in job postings or to disclose pay to applicants or employees. SDCL 60-12-15 bars paying employees of one sex less for comparable work, but it sets no posting or disclosure duty. No city or county ordinance requiring pay in postings was found.

Salary history ban: No. No salary history provision was found in SDCL chapters 60-11 (wage payment) or 60-12 (wages and equal pay). source Public record

What was checked: Checked the South Dakota Codified Laws on the Legislature's site: SDCL 60-12-15, which provides that no employer may discriminate between employees on the basis of sex by paying wages to any employee in any occupation in the state at a lower rate for comparable work, and the whole of chapters 60-11 and 60-12, which contain no posting, range, disclosure or salary history provision. The Department of Labor and Regulation's wage and hour page points to SDCL Title 60 and the administrative rules and lists no pay transparency topic. Pending bills: the Legislature's bill API lists 666 bills for the 2026 session (the current session) and 571 for 2025; a title search for pay, wage, salary or compensation together with disclosure, applicant, posting, range, history or transparency found no pay transparency or salary history bill.

Not confirmed: Local ordinances: no city code was read (for example Sioux Falls, Rapid City). Web searches turned up no South Dakota ordinance on pay in postings or salary history; not confirmed from the codes. A 2023 bill (SB 109) on disclosing compensation ranges to applicants and employees was reported by a bill tracker; its text and outcome were not read on the Legislature's site. It is not in the current session. Public employer rules (state agency job posting practices) were not researched.

Pay transparency rules in every state

For tax professionals

Checked Nov 3, 2026. South Dakota Department of Revenue

South Dakota has no personal or corporate income tax. Representatives are appointed on Form 1285, a notarized power of attorney for sales, use, contractor's excise and other Department taxes; whether the federal 2848 is accepted was not found. There is no preparer registration and no income tax e-file mandate; 911 surcharges must be reported electronically in EPath.

Power of attorney

Form 1285, Power of Attorney. Any person named as attorney-in-fact, plus anyone on an attachment. Full authority over the taxpayer's tax and non-tax matters with the Department, or limited authority for checked types (sales and use, contractor's excise, fuel IFTA/IRP, bank franchise, alcohol beverage license, tobacco license, 911 surcharge, other), with an option to withhold authority to sign returns. Optional elections send all correspondence and refunds to the appointee and allow email. Must be signed by the taxpayer before a notary and received by the Department; the form is filled online at sddor.seamlessdocs.com. Delivery method not stated. Valid until removed unless an expiration date is entered. form source Public record

Federal Form 2848

Not stated

Preparer registration

No program found

Transcripts and account records

In EPath, View History, View Account Activity lists processed returns and payments for each license, and each processed return can be opened. Who can ask: The EPath administrator, and users only for the licenses assigned to them. Account activity and return details for licenses in the EPath account; years available not stated. Online for representatives: Yes for a representative added as an EPath user on the client's account. request source Public record

Online access for professionals

EPath. Filing and paying sales, use, contractor's excise, 911 surcharge, motor fuel and bank franchise returns, amending a return once, and viewing account activity and return details. The account administrator adds a user and chooses which licenses that user can file returns and make payments for; there is no separate practitioner portal. source Public record

Practitioner line

1-800-829-9188, Option 1 (business tax; no practitioner line found). source Public record

Recent and coming changes

• Statement of Account notices move from paper to email for taxpayers who file electronically; the Department asks filers to update their email in EPath. source Public record

No personal or corporate income tax, so there is no preparer ID or income tax e-file rule. The only e-file rule found: all 911 emergency surcharges are reported and paid electronically through EPath. Form 1285 exists only as page images inside the Department's online form tool; its text was read from those images.

Not confirmed: Whether the Department accepts federal Form 2848: not found. How Form 1285 is delivered (mail, email, upload) and how long processing takes: not stated on the form images. Any paper request for copies of filed returns or an account statement: not found; the Department's forms portal (sddor.seamlessdocs.com/sc/business-forms/) renders only in a browser. Preparer registration: no rule found, recorded as false because the state has no income tax; no source states it.

Rules for tax professionals in every state

Federal tax data sharing

10 IRS data-sharing agreements with agencies in South Dakota, for any purpose (TIGTA, as of March 2026) source Public record; FUTA credit certified to the IRS by South Dakota Department of Labor and Regulation source Public record; the workforce agency signed the IRS Questionable Employment Tax Practices (QETP) agreement in 2007 source Public record. GAO-09-45 notes that South Dakota may not participate in the nationwide SRFMI rollout planned for July 2009. How the IRS shares tax data with the states

Know something about South Dakota's systems, have a contract document, or had trouble with one of these portals? Send it in.