South Dakota State Income Tax 2023 - 2024

South Dakota doesn’t charge state income tax but has other consumer and business taxes. For example, it imposes a sales tax, and local governments may tack on additional sales taxes. South Dakota’s average combined sales tax rate is 6.40%. In addition, it charges a reemployment assistance tax and other industry-specific taxes.

The state also has property taxes that are levied by school districts, cities, towns, counties and water districts. These are used to support local services such as schools, law enforcement and libraries. Property taxes are based on the value of homes and land, which local officials assess. Residents who believe their assessments are unfair can appeal the valuation to a local board of equalization.

Employers are responsible for paying workers’ compensation insurance in the state, and they must file reports and pay the premiums on time. Moreover, employers must pay the reemployment assistance tax on time and in full to avoid penalties. In addition, they must file an annual report with the state secretary of state.

How to Pay South Dakota State Taxes?

South Dakota offers multiple ways to pay your state taxes, depending on the specific tax type:

• Electronically: The South Dakota Department of Revenue’s EPath system allows you to pay most taxes electronically, including ACH debit, credit card (for a convenience fee), or for businesses, filing and paying sales tax returns. [South Dakota EPath]
• By Phone: You can call the department at 1-800-829-9188 to make a payment over the phone. This option might be helpful if you need an EPath account or prefer not to use a credit card.
• By Mail: You can mail a check or money order to the address listed on your tax form. Be sure to include any relevant information like your Social Security number or tax ID number to ensure proper crediting.