Facts & Figures 2024: How Does Your State Compare?
Facts & Figures serves as a one-stop state tax data resource that compares all 50 states on over 40 measures of tax rates, collections, burdens, and more.
2 min readHow does South Dakota’s tax code compare? South Dakota does not have an individual income tax. South Dakota also does not have a corporate income tax. South Dakota has a 4.20 percent state sales tax rate and an average combined state and local sales tax rate of 6.11 percent. South Dakota has a 1.01 percent effective property tax rate on owner-occupied housing value.
South Dakota does not have an estate tax or inheritance tax. South Dakota has a 30 cents per gallon gas tax rate and a $1.53 cigarette excise tax rate. The State of South Dakota collects $4,619 in state and local tax collections per capita. South Dakota has $7,398 in state and local debt per capita and has a 100 percent funded ratio of public pension plans. South Dakota’s tax system ranks 2nd overall on the 2025 State Tax Competitiveness Index.
Each state’s tax code is a multifaceted system with many moving parts, and South Dakota is no exception. The first step towards understanding South Dakota’s tax code is knowing the basics. How does South Dakota collect tax revenue? Click the tabs below to learn more! You can also explore our state tax maps, which are compiled from our annual publication, Facts & Figures 2024: How Does Your State Compare?
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SubscribeFacts & Figures serves as a one-stop state tax data resource that compares all 50 states on over 40 measures of tax rates, collections, burdens, and more.
2 min readThe State Tax Competitiveness Index enables policymakers, taxpayers, and business leaders to gauge how their states’ tax systems compare. While there are many ways to show how much state governments collect in taxes, the Index evaluates how well states structure their tax systems and provides a road map for improvement.
115 min readTax burdens rose across the country as pandemic-era economic changes caused taxable income, activities, and property values to rise faster than net national product. Tax burdens in 2020, 2021, and 2022 are all higher than in any other year since 1978.
24 min readIndividual income taxes are a major source of state government revenue, accounting for more than a third of state tax collections. How do income taxes compare in your state?
8 min readGraduated corporate rates are inequitable—that is, the size of a corporation bears no necessary relation to the income levels of the owners.
7 min readRetail sales taxes are an essential part of most states’ revenue toolkits, responsible for 32 percent of state tax collections and 13 percent of local tax collections (24 percent of combined collections).
9 min readThe differences in purchasing power can be large and they have significant implications for the relative impact of economic and tax policies across the United States.
3 min readThe state EV taxation landscape reflects the evolving transportation sector and the pressing need to address both fiscal gaps in road funding and environmental concerns.
4 min readAny move to repeal the cap or enhance the deduction would disproportionately benefit higher earners, making the tax code more regressive.
5 min readProperty taxes are the primary tool for financing local governments and generate a significant share of state and local revenues.
6 min readIf the policy goal of taxing cigarettes is to encourage cessation, vapor taxation must be considered a part of that policy design.
3 min readAs more and more states move away from throwback or throwout rules, those states that still impose these rules are becoming less attractive for businesses, which are incentivized to relocate their sales activities to non-throwback states.
6 min readCalifornia pumps out the highest state gas tax rate of 77.9 cents per gallon (cpg), followed by Illinois (66.5 cpg) and Pennsylvania (62.2 cpg).
2 min readHowever well-intended they may be, sales tax holidays remain the same as they always have been—ineffective and inefficient.
4 min readCompare the latest 2023 sales tax rates as of July 1st. Sales tax rate differentials can induce consumers to shop across borders or buy products online.
8 min readAt least 32 notable tax policy changes recently took effect across 18 states, including alterations to income taxes, payroll taxes, sales and use taxes, property taxes, and excise taxes. See if your state tax code changed.
16 min read