Tax Tip Tuesday: Delivery and Handling Charges

Tax Tip Tuesday: Delivery and Handling Charges

South Dakota Retailers Association

Did you know…If a South Dakota retailer charges a customer for delivery and handling of a product, that delivery/handling fee may be subject to tax. A retailer’s charge for delivery and handling of taxable products is subject to the same state and municipal sales tax as the purchase when it is delivered within South Dakota. If the product is not taxable, the delivery and handling charges are not taxable.

Read more in the South Dakota Department of Revenue’s Delivery Charges Tax Facts publication: http://dor.sd.gov/Taxes/Business_Taxes/Publications/PDFs/Tax%20Facts/Delivery%20Charges.pdf

Still have questions? Call the Department of Revenue at 800.829.9188.

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