Taxes in South Dakota

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 rank?  Below, we have highlighted a number of tax rates, ranks, and measures detailing South Dakota’s income tax, business tax, sales tax, and property tax systems. Click the tabs below to explore!

Top Individual Income Tax Rate

Does Not Have an Individual Income Tax

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State and Local Individual Income Tax Collections per Capita

$0

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State and Local Tax Burden

7.1%

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Tax Freedom Day

April 8

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Top Corporate Income Tax Rate

Does Not Have a Corporate Income Tax

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State Business Tax Climate Index Ranking

2

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State Sales Tax Rate

4.50%

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Average Local Sales Tax Rate

1.90%

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Combined State and Average Local Sales Tax Rate

6.40%

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State and Local General Sales Tax Collections per Capita

$1553

State Gasoline Tax Rate (cents per gallon)

30.00¢

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State Cigarette Tax Rate (dollars per 20-pack)

$1.53

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Property Taxes Paid as a Percentage of Owner-Occupied Housing Value

1.21%

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State and Local Property Tax Collections Per Capita

$1381


Featured Articles

A Crossroads on Online Sales Taxes: South Dakota v. Wayfair

November 2, 2017

2018 State Business Tax Climate Index

October 17, 2017


Related Articles

A Crossroads on Online Sales Taxes: South Dakota v. Wayfair

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2018 State Business Tax Climate Index

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September 28, 2016

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July 26, 2016

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May 2, 2016

South Dakota Contemplates Annual Gas Tax Increases

January 22, 2015

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January 7, 2015

Fiscal Times Features Best and Worst States for Taxes

January 29, 2014

South Dakota’s State and Local Tax Burden

October 23, 2012

States Without Income Taxes Rely on Varying Forms of Revenue

April 26, 2012

Sales Tax Increase to Appear on South Dakota Ballot

November 29, 2011

A Sales Tax Word of Warning in Hawaii, New Mexico, South Dakota, and Wyoming

September 30, 2011

South Dakota Governor Praises Tax Foundation Ranking, Seeks More Control Over Tax Credits

January 31, 2011

Five States Have Already Arrived at Their Tax Freedom Day

March 30, 2010

ALEC Releases 2009 Rich States, Poor States

March 18, 2009

State Budgets: South Dakota Draws Down Reserves, Cuts Spending Increase

December 27, 2008