HB1089EnactedTaxation
modify the distributions of revenues collected from severance taxation on new permits.
This bill changes how South Dakota distributes tax revenue from new precious metals mining permits. For companies that get permits on or after July 1, 2026, the state removes the $1 million cap that previously stopped counties from receiving their 20% revenue share once they hit that threshold—meaning counties will now continue receiving their share indefinitely from these newer operations. The bill also clarifies that when mining companies merge or consolidate, counties keep their rights to revenue from the original permit holder.