Regarding Out-of-State Businesses and SB 106
On March 22, 2016, Governor Dennis Daugaard signed SB 106 into law, which goes into effect May 1, 2016. This law requires remote sellers with no physical location in South Dakota to remit sales tax and follow all procedures of the law as if they have a presence in this state, if they meet one of two criteria in the previous or current calendar year:
- The remote seller’s gross revenue of sale of tangible property, any products transferred electronically, or services delivered into South Dakota exceeds $100,000; or
- The remote seller has 200 or more separate transactions of tangible property, any products transferred electronically, or services delivered into South Dakota.