South Dakota Income Tax Rates (2026)
The quick answer: no state income tax
South Dakota does not levy a state income tax on wages, salaries, retirement account withdrawals, or investment income. South Dakota is one of 9 states with no state income tax at all, alongside Alaska, Florida, Nevada, New Hampshire, Tennessee, Texas, Washington, and Wyoming.
That doesn’t mean South Dakota is tax-free — states without an income tax typically lean more heavily on sales tax, property tax, or (in a few cases) severance and resource-extraction revenue to fund government services.
What this means for your paycheck
On a $75,000 single-filer salary, South Dakota’s lack of an income tax works out to about $0 in state income tax for the year, leaving roughly $61,593 in take-home pay after federal tax, state tax, and FICA — an effective total tax rate of about 17.9%. Enter your own salary and filing status below for your exact numbers.
Does South Dakota have a state income tax?
What is South Dakota's income tax rate?
South Dakota has no state income tax, so there’s no rate to report.
Does South Dakota tax retirement account withdrawals the same as wages?
South Dakota has no income tax on any type of income, so retirement withdrawals aren’t taxed at the state level either.
How much is state tax on a $75,000 salary in South Dakota?
About $0 a year for a single filer with no other adjustments, based on South Dakota’s lack of an income tax. Use the calculator above for your own salary and filing status.
Where can I verify current South Dakota tax rates?
The Tax Foundation publishes current state-by-state income tax data annually. Rates and brackets change from year to year via state legislation, so confirm the current figures before relying on any specific number, including the ones on this page.
How South Dakota compares
South Dakota sits in the smallest of the three groups nationally — most states charge some form of income tax. If you’re comparing states purely on income tax, South Dakota is about as favorable as it gets; the tradeoff is usually in how the state raises revenue elsewhere.
This article is for educational purposes only and isn't legal, financial, or tax advice. See our Disclaimer for details.
