Online ruling boosts South Dakota's sales tax revenue

South Dakota sees revenue boost due to online sales tax. (MGN)

SIOUX FALLS, S.D. (AP) - South Dakota has seen an uptick in sales tax revenue following a June 2018 Supreme Court decision that allows it to collect money from online retailers.

A new law following that decision , which requires online businesses to pay sales taxes if they conduct at least $100,000 in gross sales in at least 200 transactions in the state, went into effect Nov. 1.

Revenue Secretary Jim Terwilliger says business tax licenses issued to out-of-state and online retailers since then have helped South Dakota pocket $15.9 million in tax revenue.

The Argus Leader reports that Terwilliger says the ruling was a "landmark decision" in tax administration.

Thirty-one states have enacted legislation allowing them to collect sales taxes from online businesses.

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