South Dakota Sales Tax Nexus & Economic Nexus Threshold (2026)
Reviewed by Nexus by State research team using official state tax sources. Last reviewed .
Guide content last reviewed: 2026-06-19; state source data last retrieved: 2026-06-14
Economic nexus triggers at $100,000 in sales delivered to South Dakota customers.
4.20% statewide sales tax rate, with an average combined state and local rate of 6.10%.
See how South Dakota’s numbers stack up against every other state in our sales tax rates and economic nexus thresholds by state reference table.
| Economic nexus threshold | $100,000 No transaction count threshold |
|---|---|
| State sales tax rate | 4.20% Average combined rate (state + local): 6.10% |
| Marketplace facilitator law | Yes Amazon, Etsy, eBay collect and remit on your behalf |
| Effective date | 2023-07-01 |
| Department of Revenue |
Check South Dakota nexus with your numbers
If your sales are close to the South Dakota threshold, run the sales tax nexus calculator with your revenue and transaction count before you register. The calculator applies the same state threshold data shown here and can compare South Dakota against every other state where you sell.
How South Dakota nexus works
South Dakota sales tax nexus and economic nexus threshold: a remote seller must register and collect South Dakota sales tax once gross sales delivered into South Dakota exceed $100,000 in the previous or current calendar year. South Dakota — the state behind South Dakota v. Wayfair — eliminated its original 200-separate-transaction test effective July 1, 2023 under Senate Bill 30, so the trigger is now sales-only with no transaction count. Marketplace facilitators (Amazon, eBay, Etsy, Walmart) with more than $100,000 in South Dakota sales must collect and remit on facilitated sales, and sales made through a marketplace still count toward a remote seller's own $100,000 threshold even when the marketplace already collects the tax. South Dakota imposes a 4.2% statewide sales/use tax plus municipal sales taxes. South Dakota Department of Revenue source data last retrieved 2026-06-14.
Filing frequency
Filing frequency in South Dakota depends on your sales tax liability. Higher-volume sellers file monthly; lower-volume sellers typically file quarterly or annually. The state will assign a frequency when you register.
Marketplace facilitator law
Yes, South Dakota has a marketplace facilitator law. Sales you make through Amazon, Etsy, eBay, Walmart, and other marketplaces are collected and remitted by the marketplace — you do not need to collect tax on those transactions yourself, though you may still need to register.
South Dakota sales tax by topic
- South Dakota · E-commerceGeneral e-commerce sales tax rules
- South Dakota · ShopifyShopify-specific sales tax guidance
- South Dakota · AmazonAmazon FBA and marketplace sales tax
- South Dakota · SaaSSoftware-as-a-service sales tax rules
- South Dakota · ThresholdsEconomic and transaction nexus thresholds
- South Dakota · FilingFiling frequency and procedures
- South Dakota · Marketplace FacilitatorMarketplace facilitator law for the state
- South Dakota · DropshippingDropshipping sales tax rules and resale certificates
- South Dakota · Digital ProductsSales tax on digital downloads, eBooks, courses, streaming
Industry-specific sales tax guides
Whether a sale is taxable in South Dakota often depends on what you sell, not just where. These national guides explain how sales tax applies to common business types — then check the South Dakota threshold and rules above to see where you must register and collect.
- Haircut, nail, and salon sales taxWhen haircuts, nail services, and salon retail product sales are taxable.
- Restaurant and food-service sales taxPrepared-food, dine-in, and takeout taxability for restaurants.
- Food delivery sales tax (DoorDash, Uber Eats)Who collects sales tax on DoorDash, Uber Eats, and Grubhub orders.
- Digital creator and online course sales taxSales tax for influencers, course sellers, and digital downloads.
- Construction and contractor sales taxHow contractors handle sales and use tax on materials and labor.
Related states to South Dakota
If you sell into South Dakota, you likely also sell into these nearby or economically similar states. Each has its own nexus threshold and rate.
Frequently asked questions
- Does South Dakota have sales tax?
- Yes. South Dakota has a 4.20% statewide sales tax rate, plus an average local rate of 1.90%. Check the exact rate at the customer's delivery address before charging. Source data last retrieved 2026-06-14.
- Do I have to collect sales tax in South Dakota?
- You must collect South Dakota sales tax if your economic nexus threshold is met: $100,000 in sales to South Dakota customers.
- What is South Dakota's sales tax rate?
- South Dakota's base state rate is 4.20% plus an average local rate of 1.90%. Always check the exact rate at the customer's delivery address before charging.
- Does South Dakota have a marketplace facilitator law?
- Yes. Marketplaces like Amazon, Etsy, and eBay collect and remit South Dakota sales tax on behalf of third-party sellers for transactions they facilitate. Direct-to-consumer sales outside a marketplace are still your responsibility.
- What is South Dakota's marketplace facilitator threshold for sales tax?
- South Dakota applies the same threshold to marketplace facilitators as to remote sellers: $100,000 in South Dakota sales over the lookback period. When a marketplace exceeds the threshold, it must register and collect South Dakota sales tax on every facilitated sale — sellers do not collect on those marketplace transactions. Direct-to-consumer sales you make outside any marketplace still count toward your own economic nexus and remain your collection responsibility once you cross the threshold.
- When did South Dakota's economic nexus law take effect?
- South Dakota's current economic nexus rule took effect on 2023-07-01.
Sources
date_retrieved: 2026-06-14. See how we verify source checks in our Methodology & Sources.