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2016 South Dakota State Sales and Use Tax Increase

Effective June 1, 2016 the South Dakota state sales and use tax will increase from 4.0% to 4.5%. The new tax rate applies to the following: The sale, lease, or rental of tangible personal property, products transferred              electronically, and services Excise tax on the purchase of farm machinery The […]

Transportation and Delivery Charges in South Dakota

A transportation company’s charge to deliver products is not subject to sales tax. A transportation company does not own the products they are transporting. They transport products owned or sold by their customer. A retailer’s charge for delivery and handling of taxable products is subject to the same state and municipal sales tax as the […]

Top South Dakota Sales and Use Tax Reporting Errors

Top South Dakota Sales and Use Tax Reporting Errors are listed in this resource: http://dor.sd.gov/FINAL/Audits.html

Non-profits and churches not exempt from South Dakota sales tax

Non-profits and churches exempt from federal income tax are still subject to South Dakota sales and use tax on their purchases. Source:  http://dor.sd.gov/FINAL/Audits.html

South Dakota: Credit Card Surcharge or Swipe Fee

South Dakota: Retailers that charge a “swipe fee”, “checkout fee”, or “surcharge” when a customer pays with a credit card will owe sales tax on that additional fee. If the sale includes taxable and non-taxable products, the entire “swipe fee” is taxable.

How to report returns on South Dakota Sales & Use Tax Return

Report all original Sales (including those sales that were later returned in the same reporting period) on line 1, “Gross Sales”. Report Returns (regardless of what period the original sale took place) on line 3, “Non-Taxable Sales”. Source: Betty at South Dakota Department of Revenue 800-829-9188 or 605-773-7126 on 01/31/2012.

SD-Sales Tax: Selling Online Discount Coupons

SD – Selling Online Discount Coupons Various on-line businesses provide websites for businesses to sell coupons or certificates at reduced prices. The retailer contracts with an on-line advertiser to sell vouchers redeemable at the retailer’s business. The retailer will owe sales tax on the amount paid for the voucher when the voucher is redeemed. Sales […]

SD-Sales Tax: New Municipal Rates on 07/01/11

New Municipal Tax Changes Effective July 1 As of July 1, 2011, four South Dakota communities have implemented new municipal taxes or updated their current city taxes. The municipal tax changes taking effect this month include: • Canton imposed a 1% gross receipts tax on alcoholic beverages, lodging, eating establishments, and admissions to places of […]

SD-Sales Tax: Tourism Tax Rate still 1.5% after 07/01/11

South Dakota’s tourism tax rate is 1.5%. The tourism tax rate will NOT reduce on July 1, 2011 as was previously explained. The tourism tax code to use on the tax return remains 700-1. http://www.state.sd.us/drr2/businesstax/tourismtax.htm

CA-Sales Tax: New Rates on 07/01/2011

New CA Sales Tax Rates as of 07/01/11 http://www.boe.ca.gov/news/pdf/l277.pdf