Skip to content

South Dakota

State Shipping Laws:

south dakota

Last Updated June 24, 2025

Direct Shipping Allowed

Permit

DTC Permit

Required

Yes

Fee

$100

Expiration

Dec. 31st of each year

Sales Tax

Required

Yes

State

4.2%

Local

Yes

Tax on Shipping

Yes

Excise Tax

Excise Tax & Occupational Wholesale Tax 

Required

Yes

Wine 3.2-14% ABW

$0.93/gal

Wine 14.1-20% ABW

$1.45/gal

Wine 20.1-24% ABW

$2.07/gal

Sparkling Wine

$2.07/gal

Wholesale Tax

2% of Purchase Price

Volume Limit

Limits per Winery

Calendar Year

12 cases per person

Reporting

Required

Yes

Sales Tax

Quarterly by the 15th

Excise Tax

Quarterly by the 15th

Direct Shipment

Quarterly by the 15th

Record Retention

At least 3 years

Product Requirements

Brand Label Registration 

Required

Yes

Reg. Fee

$17.50 – $25 per brand label

Expiration

Dec. 31st of each year

Single Reg. DTC & Wholesale

Yes

Product Restrictions

Yes

  • Only wine produced by the direct shipper in accordance with the direct shipper’s federal basic permit may shipped DTC.

 

Additional Information


As of January 1, 2016, wineries with a SD direct shipper license can ship wine directly to consumers in SD. In addition to holding a license, direct shippers must pay sales and excise taxes and file quarterly shipment reports. Beginning July 1, 2017, you will not be able to submit your direct shipper return without providing the common carrier tracking numbers. A link to the form used to apply for a SD Wine Shipper License, as well as the Sales and Use Tax license is available under License Forms. (Wineries apply for both licenses using the one application.)

  • Direct shippers are prohibited from selling products below the manufacturers’ cost.
  • A direct shipper shall record the name, address, date of birth, and telephone number of the person placing the order on the order form or other verifiable record.
  • Licensees must verify the age of the purchaser by using an Online Age Verification Service or obtaining a copy of the purchaser’s government issued photo ID.
  • A direct shipper shall label each package to be shipped in accordance with the provisions of this chapter so that it conspicuously contains words indicating the package contains alcohol and that the signature of a person twenty-one years of age or older is required for delivery.

Compliance Alerts


 

View All Compliance Alerts

Contact Information

Special Tax Division
South Dakota Department of Revenue

445 East Capitol Ave
Pierre, SD 57501-3100
Phone: (605) 773-3311 or (800) 829-9188 Option 2
Email: specialT@state.sd.us

 

 

More DTC Compliance Resources

Direct Shipping Table

Better understand who ships where with our state-by-state list of off-site shipping provisions and carriers.

Direct Shipping Laws for Wineries

Learn more about direct-to-consumer shipping laws and access useful direct shipping tools.

This information is intended for winegrower licensees only. All information above is provided as an informational aid and is not legal advice. Data may be out-of-date or incomplete. Please consult a lawyer before taking any action.