Sales/Use/Indirect:
South Dakota: New Law Removes 200-Transaction Threshold from Wayfair Economic Nexus Statute
S.B. 30, signed by gov. 2/9/23. Effective July 1, 2023, new law revises South Dakota’s economic nexus provisions for sellers that do not have an in-state physical presence by removing the in-state “200 or more separate transactions” threshold so that out-of-state remote sellers must remit South Dakota sales tax and “follow all applicable procedures and requirements of law as if the seller had a physical presence” in South Dakota only if the seller’s gross revenue from the sale of tangible personal property, any product transferred electronically, or services delivered into South Dakota exceeds $100,000 in the previous or current calendar year.
Under current law, out-of-state remote sellers meeting one or both of the following criteria in the previous or current calendar year generally must license their business in South Dakota and remit applicable sales tax:
Gross revenues into South Dakota exceeding $100,000; or
200 or more separate transactions into South Dakota.
30 Rockefeller Plaza New York, NY 10112-0015 United States
About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited (“DTTL”), its global network of member firms, and their related entities (collectively, the “Deloitte organization”). DTTL (also referred to as “Deloitte Global”) and each of its member firms and related entities are legally separate and independent entities, which cannot obligate or bind each other in respect of third parties. DTTL and each DTTL member firm and related entity is liable only for its own acts and omissions, and not those of each other. DTTL does not provide services to clients. Please see www.deloitte.com/about to learn more.
Deloitte provides industry-leading audit and assurance, tax and legal, consulting, financial advisory, and risk advisory services to nearly 90% of the Fortune Global 500® and thousands of private companies. Our professionals deliver measurable and lasting results that help reinforce public trust in capital markets, enable clients to transform and thrive, and lead the way toward a stronger economy, a more equitable society and a sustainable world. Building on its 175-plus year history, Deloitte spans more than 150 countries and territories. Learn how Deloitte’s approximately 415,000 peopleworldwide make an impact that matters at www.deloitte.com.
