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Daugaard Signs Tourism Tax Measure into Law

FILE: Sioux Falls Falls Park
City of Sioux Falls

PIERRE – South Dakota Gov. Dennis Daugaard has signed his first bill of the 2013 legislative session.

House bill 1066 continues the current tax rate on tourism-related businesses during the June-September period.

The governor’s office says the tax on the gross receipts of most tourism-related goods and services was 1 percent until it was raised to 1.5 percent for two years in 2009. A two-year extension that was granted by the Legislature in 2011 was due to expire this coming June 30.

The measure makes the 1.5 percent rate permanent. It passed the state House 64-4 and the Senate by a 33-2 margin.

Daugaard says the money is used to promote tourism, and the majority of it is paid by out-of-state visitors.

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