South Dakota sales tax rate increase June 1, 2016
- Sales Tax Rate Changes
- May 31, 2016 | Gail Cole
The new rate applies to the following:
- Amusement device tax
- Farm machinery excise tax
- Sale, lease, or rental of tangible personal property, products transferred electronically, and services
The 4.5% rate also applies to Indian Country, “where there is a tax collection agreement,” beginning June 1, 2016.
For prime contractors, the bid or award date determines the applicable sales tax rate for the entire project, including materials purchased by subcontractors. The 4% state rate applies to materials for entire project bids made prior to June 1, 2016. The 4.5% rate applies to all materials for projects bids made on or after June 1, 2016.
See the South Dakota Department of Revenue for additional information.
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