South Dakota Business Tax Calculator
Calculate corporate income tax, franchise tax, and gross receipts tax for businesses operating in South Dakota.
Why calculating business in South Dakota is different
South Dakota has no state income tax.
State Income Tax
None
Base Sales Tax
4.5%
State Min Wage
$11.20 / hr
Abbreviation
SD
South Dakota Business Interactive Tool
This calculator uses the latest 2026 data for South Dakota, including the minimum wage of $11.20 and the specific lack of a state income tax.
Frequently Asked Questions about South Dakota Business
What is the corporate tax rate in South Dakota?
Corporate tax structures vary. In addition to potential corporate income taxes, businesses in South Dakota must also consider unemployment insurance taxes, sales tax collection (4.5%), and local business licenses.
Do LLCs pay tax in South Dakota?
LLCs are typically pass-through entities, meaning profits pass through to the owners' personal tax returns and are taxed at the personal 0% rate. However, South Dakota may also impose an annual LLC franchise fee.