Short-Term Rental Tax in South Dakota (SD)
The state-level tax rate on short-term rentals in South Dakota is 6.0% , consisting of 4.5% sales tax and 1.5% lodging tax. South Dakota applies general sales and lodging taxes to STRs without STR-specific legislation. Major platforms like Airbnb collect state taxes automatically. With local taxes, the total rate in Rapid City reaches 10.0%. STR operators must register with the state. South Dakota charges a 4.5% state sales tax and a 1.5% state tourism tax on transient accommodations. Cities may add local sales and lodging taxes of 1-3%.
Annual Tax Estimate for South Dakota
The table below shows estimated annual tax obligations at different nightly rates, assuming 65% occupancy (237 nights/year). Estimates are shown for both the state-level rate and the highest local rate (Rapid City).
| Nightly Rate | Gross Revenue | State Tax (6.0%) | Rapid City Tax (10.0%) |
|---|---|---|---|
| $100.00/night | $23,700 | $1,422 | $2,370 |
| $150.00/night | $35,550 | $2,133 | $3,555 |
| $200.00/night | $47,400 | $2,844 | $4,740 |
| $300.00/night | $71,100 | $4,266 | $7,110 |
| $500.00/night | $118,500 | $7,110 | $11,850 |
Estimates assume 65% occupancy. Actual tax may differ based on local exemptions, booking fees, and platform collection.
STR Tax Rates by City in South Dakota
Local taxes significantly impact the total STR tax burden in South Dakota. The table below shows combined state + local rates for 3 cities, sorted by total rate. The highest combined rate is 10.0% in Rapid City.
| City | Local Tax | Total Rate | Tax on $200/night | Tier | Notes |
|---|---|---|---|---|---|
| Rapid City | 4.0% | 10.0% | $20.00 | Moderate | Pennington County 1% + Rapid City 2% sales + 1% BID tax. Near Mount Rushmore. |
| Deadwood | 4.0% | 10.0% | $20.00 | Moderate | Lawrence County 1% + Deadwood 2% sales + 1% special tax. |
| Sioux Falls | 3.0% | 9.0% | $18.00 | Moderate | Minnehaha County 1% + Sioux Falls 2% sales tax. |
How South Dakota Compares to Other States
Below is a comparison of South Dakota with five states that have similar state-level STR tax rates. This comparison helps illustrate where South Dakota stands relative to other states in terms of tax burden, platform collection, and registration requirements.
| State | State Rate | Sales Tax | Lodging Tax | Platform Collects | Registration |
|---|---|---|---|---|---|
| South Dakota (SD) | 6.0% | 4.5% | 1.5% | Yes | Required |
| Florida (FL) | 6.0% | 6.0% | 0.0% | Yes | Required |
| Idaho (ID) | 6.0% | 6.0% | 0.0% | Yes | Required |
| Maryland (MD) | 6.0% | 6.0% | 0.0% | Yes | Required |
| Michigan (MI) | 6.0% | 6.0% | 0.0% | Yes | Required |
| North Dakota (ND) | 6.0% | 5.0% | 1.0% | Yes | Required |
Frequently Asked Questions About South Dakota STR Taxes
What is the short-term rental tax rate in South Dakota in 2026?
The state-level tax rate on short-term rentals in South Dakota is 6.0%, consisting of 4.5% sales tax and 1.5% lodging tax. Local taxes can bring the total to 10.0% in cities like Rapid City. At $200/night with 65% occupancy, the state-level tax alone is approximately $2,844 per year.
Does Airbnb collect STR taxes in South Dakota?
Yes. Airbnb, Vrbo collect state taxes. However, local and county taxes may not be covered by platform collection. Always verify with your local tax authority what taxes your platform collects on your behalf.
Do I need to register my short-term rental in South Dakota?
Yes. South Dakota requires STR operators to register with the state. This typically includes obtaining a sales tax permit and/or lodging tax registration. Many cities and counties in South Dakota also require local STR permits or business licenses. Check with both state and local authorities for specific requirements.
What is the total STR tax rate in Rapid City, South Dakota?
The total combined tax rate in Rapid City is 10.0%, which includes the 6.0% state rate plus 4.0% in local taxes. Pennington County 1% + Rapid City 2% sales + 1% BID tax. Near Mount Rushmore. At $200/night with 65% occupancy, this amounts to approximately $4,740 per year in taxes.
How much will I owe in STR taxes in South Dakota?
Your annual STR tax depends on your nightly rate, occupancy, and location. At the state level (6.0%), a property earning $200/night with 65% occupancy would owe approximately $2,844/year in state taxes alone. In Rapid City, the total tax at the same rate would be approximately $4,740/year. Use our STR tax calculator for a customized estimate.
Calculate Your South Dakota STR Tax
Use our STR tax calculator to get a personalized estimate of your annual tax obligation in South Dakota. Enter your nightly rate and occupancy to see your projected state and local taxes, or browse all 50 states to compare STR tax rates across the country.