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Taxes in Sioux Falls, South Dakota

Complete tax guide for Sioux Falls, SD. No state income tax, 1.28% property tax, 6.5% sales tax. Calculate your total tax burden.

State Income Tax

None

South Dakota

Property Tax

1.28%

Effective rate

Sales Tax

6.5%

Combined rate

Tax Burden

Low

Sioux Falls, SD Tax Overview

No state income tax; largest city; financial services hub

Population

192,517

Median Income

$63,218

Cost of Living

96.3 (100 = avg)

State Income Tax

None

Median Home Price

$275,000

Sioux Falls Tax Calculator

Pre-filled with Sioux Falls median: $63,218

Total Tax Burden in Sioux Falls

$10,384

Take-Home: $52,834 · Effective Rate: 16.43%

Federal Tax

$5,548

8.78% eff.

SD State

$0

0.00% eff.

FICA

$4,836

7.65% eff.

Take-Home

$52,834

83.57% kept

Tax Breakdown

Take-Home 83.57%
Federal
FICA
Take-Home Federal Tax FICA
ItemAnnualMonthly
Gross Income$63,218.00$5,268.17
Federal Income Tax-$5,547.66-$462.31
South Dakota State Tax$0.00$0.00
Social Security (6.2%)-$3,919.52-$326.63
Medicare (1.45%)-$916.66-$76.39
Take-Home Pay$52,834.16$4,402.85

Property Tax in Sioux Falls

Median Home

$275,000

Annual Tax

$3,520

Monthly Tax

$293

Effective Rate

1.28%

vs. National Average (1.1%)+$495/yr
Median Property Tax Paid$3,520/yr

Sales Tax in Sioux Falls

Combined Rate

6.5%

State Portion

~4.0%

Local Portion

~2.5%

The combined sales tax rate in Sioux Falls is 6.5%, which is below the national average of 7.12%. On a $100 purchase, you would pay $6.50 in sales tax.

Tax Burden Comparison

Tax TypeSioux FallsSouth Dakota AvgNational Avg
Income TaxNoneNone4.6%
Property Tax1.28%~1.28%1.1%
Sales Tax6.5%~6.5%7.12%
Overall BurdenLowModerate

Tax Saving Tips for Sioux Falls Residents

  • South Dakota has no state income tax, meaning your income is only subject to federal taxes and FICA. Consider investing your tax savings into a Roth IRA for tax-free growth.
  • Property tax in Sioux Falls (1.28%) is above the national average. Check if you qualify for homestead exemptions or assessment appeals to reduce your property tax bill.
  • Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.

Calculate Your Full South Dakota Tax Burden

See detailed state tax brackets, FICA breakdown, and compare to neighboring states.

Frequently Asked Questions

What are the tax rates in Sioux Falls, SD?

Sioux Falls, South Dakota has no state income tax. The property tax rate is 1.28% and the combined sales tax rate is 6.5%. No state income tax; largest city; financial services hub

How much is property tax in Sioux Falls?

The effective property tax rate in Sioux Falls is 1.28%. On the median home price of $275,000, this equals approximately $3,520 per year or $293 per month. This is above the national average of 1.1%.

What is the sales tax rate in Sioux Falls?

The combined sales tax rate in Sioux Falls is 6.5%, which includes both state and local components. This is below the national average combined rate of approximately 7.12%.

How does Sioux Falls's tax burden compare to other cities?

Sioux Falls has a low overall tax burden. The effective total tax rate for a median-income household is approximately 26.3%. The absence of state income tax significantly reduces the overall burden. Cost of living index is 96.3 (100 = national average).

Are there any local taxes in Sioux Falls?

Sioux Falls does not impose a separate local or city income tax. Residents pay no state income tax, federal income tax, and FICA (Social Security and Medicare). No state income tax; largest city; financial services hub