Resident and non-resident appraisers may be required to apply for a South Dakota Sales Tax License. South Dakota has a very broad-based sales tax structure; the sale of tangible personal property and most services are subject to sales tax.
Out-of-state retailers selling tangible personal property or taxable services and who maintain a physical presence in the state, whether temporary or permanent, must register with the South Dakota Department of Revenue, Business Tax Division and pay taxes (sales or, in some cases, use tax). The definition of physical presence includes an actual location (such as a store, warehouse, office building, etc.), property ownership (real or personal), delivery vehicle(s), or an agent or independent representative of the company located in or entering the state of South Dakota.
The fee for an appraisal is taxable based on where your customer takes receipt of the report. If the report is received in South Dakota, then South Dakota sales tax applies. If the report is sent out of state, South Dakota sales tax does not apply. If the report is sent out of state, but the property is located in state, the client will owe use tax based on where the property is located.
Please call the South Dakota Department of Revenue at 800.829.9188 or email them at firstname.lastname@example.org to request a sales tax application.