Taxes in South Dakota
Every state-level tax in South Dakota, in one place—income, sales, property, corporate, estate, transfer, and excise taxes. Figures sourced from the IRS, U.S. Census Bureau, and Tax Foundation.
South Dakota collects no individual income tax, so residents' tax burden rests on other levies the state does impose. None of those rates land in the top or bottom three nationally, placing the state squarely in the middle of the pack rather than at either extreme. That even positioning means no single tax source stands out as unusually heavy or light compared with other states. What funds South Dakota, then, is whatever revenue its remaining taxes generate, spread across the board without one clear standout. The absence of an income tax shifts the funding question elsewhere, but the data offers no standout alternative to point to.
State income tax
None no state income tax.
Sales tax
The combined state + local sales tax rate is 6.11%. State rate 4.20% plus an average 1.91% local.
Estate & inheritance tax
South Dakota imposes no state estate or inheritance tax—only the federal estate tax applies.
Real estate transfer tax
South Dakota levies a transfer tax of 0.000% — No state transfer tax.
Cigarette Tax
South Dakota levies a cigarette tax of $1.53 per pack of 20. Federal excise adds $1.01 per pack.
Gas Tax
South Dakota levies a gas tax of 30.00¢ per gallon. Federal excise adds 18.4¢ per gallon. Excludes local taxes and environmental/carbon-related costs.
Beer Tax
South Dakota levies a beer tax of $0.274 per gallon. Federal excise adds $0.113–$0.581 per gallon depending on brewery size.
Wine Tax
South Dakota levies a wine tax of $1.440 per gallon. Federal excise adds $1.07 per gallon (11% still wine). MS, NH, PA, UT, WY are control states with no published excise rate.
Spirits Tax
South Dakota levies a spirits tax of $4.930 per gallon. Federal excise adds $5.40 per gallon (40% ABV). NH and WY are control states with an effective $0.00 rate.
Property tax by county
The state's median county effective property tax rate is 1.01%. Compare counties below for local rates.
Counties in South Dakota by property tax rate
| County | Effective rate | Median home value |
|---|---|---|
| Todd County | 1.81% | $53,900 |
| McPherson County | 1.55% | $85,600 |
| Dewey County | 1.51% | $69,600 |
| Corson County | 1.45% | $69,800 |
| Potter County | 1.42% | $121,300 |
| Stanley County | 1.32% | $203,500 |
| Walworth County | 1.31% | $136,600 |
| Perkins County | 1.29% | $114,600 |
| Spink County | 1.28% | $123,300 |
| Bon Homme County | 1.27% | $134,100 |
| Clay County | 1.26% | $232,300 |
| Davison County | 1.23% | $205,800 |
| Campbell County | 1.18% | $115,900 |
| Brown County | 1.18% | $221,100 |
| Sanborn County | 1.17% | $135,600 |
| Lincoln County | 1.15% | $348,300 |
| Hutchinson County | 1.15% | $163,000 |
| Minnehaha County | 1.14% | $287,600 |
| Brookings County | 1.13% | $264,600 |
| Harding County | 1.12% | $166,100 |
| Hamlin County | 1.11% | $208,600 |
| Moody County | 1.10% | $226,500 |
| Union County | 1.10% | $301,100 |
| Charles Mix County | 1.10% | $170,600 |
| Hughes County | 1.10% | $242,000 |
| Beadle County | 1.08% | $175,100 |
| Pennington County | 1.08% | $302,200 |
| McCook County | 1.06% | $230,100 |
| Yankton County | 1.06% | $225,900 |
| Aurora County | 1.04% | $151,900 |