SD House votes to make sales tax cut permanent

January 15, 2024

PIERRE, S.D.–South Dakota’s republican-controlled House of Representatives has passed a bill to make a temporary sales tax cut permanent.

The House passed the bill in a 54-12 vote Friday. It now goes to the Senate.

The bill would make permanent the four-year 0.3% sales tax cut approved last year.

Bill sponsor and Republican state Rep. Chris Karr says excess dollars should go back to taxpayers. Republican Gov. Kristi Noem has urged the Legislature to make the tax cut permanent.

Sales taxes are the biggest contributor to South Dakota’s state revenues.