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Impose a motor vehicle technology fee.

South Dakota will charge an additional $2 fee on most motor vehicle transactions (like registrations, title transfers, and licensing) to fund technology improvements for the Department of Revenue. The money collected from this new fee will go into a dedicated motor vehicle technology fund that the state will use to maintain and upgrade the computer systems that handle vehicle-related services.

Classify nicotine products as tobacco products, to increase tax rates on cigarettes and tobacco products, to create the healthcare workforce development fund, and to make an appropriation therefor.

South Dakota will now treat nicotine products (like vaping products and nicotine pouches) the same as traditional tobacco products for tax and regulatory purposes. The bill increases tax rates on cigarettes and tobacco products and creates a new healthcare workforce development fund to receive some of that tax revenue. These changes expand what the state considers "tobacco products" beyond just cigars, snuff, and chewing tobacco to include nicotine-containing items.

Subject advertising services to a gross receipts tax, and to allocate proceeds to property tax relief.

This bill adds a gross receipts tax on advertising services, which are currently exempt from South Dakota's tax. Revenue from this new tax will be allocated to property tax relief for South Dakota residents.

Eliminate certain property taxes levied on owner-occupied single-family dwellings, and to increase certain gross receipts tax rates and use tax rates.

HB1019 eliminates property taxes on owner-occupied single-family homes by setting their school district mill levy to zero, starting in 2026. To make up for the lost tax revenue, the bill increases the gross receipts tax and use tax rates on businesses and purchases. The stated goal is to offset the lost homeowner property tax revenue so school districts receive the same total funding as before.

Reduce maximum values for certain property taxes levied on owner-occupied single-family dwellings, and to increase the rates for certain gross receipts taxes and use taxes.

This bill eliminates property taxes on owner-occupied single-family homes by setting the school property tax mill levy to zero for those properties, while raising sales taxes and other gross receipts taxes to make up the lost school funding. The tax increases on businesses and consumers are intended to fully replace the property tax revenue schools would have lost from this change, so school districts receive the same total funding as before.

Increase a tax on aviation gasoline and jet fuel.

This bill increases the tax on jet fuel from 4 cents per gallon to 6 cents per gallon, bringing it in line with the aviation gasoline tax rate. The change generates more revenue from commercial and private aviation fuel purchases in South Dakota.

Establish a timeframe within which a remote seller and marketplace provider must register and remit sales tax.

SB 43 gives remote sellers and marketplace providers a 30-day grace period after they meet South Dakota's sales tax threshold before they must register and start remitting sales tax. Instead of registering immediately upon hitting the threshold, they now have until the first day of the first month that begins at least 30 days after they qualify. This change provides businesses additional time to set up their tax compliance systems before their registration obligation kicks in.

Authorize the operation of pari-mutuel historical horse racing machines, and to authorize a new tax.

South Dakota HB 1203 adds pari-mutuel historical horse racing machines to the list of games legally allowed in Deadwood, joining existing games like slot machines, card games, and sports betting. The bill also authorizes a new tax on this form of gambling, though the specific tax rate and structure are established elsewhere in state law. This expands the types of wagering available in Deadwood's gaming establishments.