South Dakota Tax Calculators.
Tax year 2026 income tax rates, brackets, and sales tax for South Dakota. Returns for tax year 2026 are generally filed in 2027; source links and last-verified dates are shown below.Tax year 2026 means income earned during calendar year 2026; those returns are generally filed in 2027. State and local sales tax rates can change during the year, so confirm current rules before filing or remitting tax.
Income Tax
South Dakota has no state income tax on individuals or corporations. The state is constitutionally prohibited from levying an income tax. It relies on sales tax and other revenue sources.
Sales Tax
Groceries are taxed at the full state rate. Prescription drugs are exempt.
South Dakota's lack of income tax makes it very tax-friendly, though its taxation of groceries at the full rate is a notable drawback for lower-income residents.
Does South Dakota have a state income tax?
No. South Dakota has no personal or corporate income tax and is constitutionally prohibited from enacting one.
What is the sales tax in South Dakota?
South Dakota has a 4.2% state sales tax. With local taxes, the average combined rate is about 6.4%.
Does South Dakota tax groceries?
Yes, South Dakota taxes groceries at the full state sales tax rate, making it one of the few states that fully taxes food purchases.