Tuesday, May 27, 2014

What is the Municipal Gross Receipts (bed, board, and booze) tax?

Cities can impose a general sales tax rate of up to 2%. This is in addition to the State's 4% sales tax rate. Cities may also impose an additional 1%, over and above their general rate, for any or all of the following:
  • Lodging
  • Alcohol
  • Eating Establishments
  • Admissions

Additional information on this tax can be found on page 9 of the Municipal Tax Guide, 1.800.829.9188 or bustax@state.sd.us.