South Dakota DOR Issues Guidance on Government Lodging Sales Tax Exemptions

The South Dakota Department of Revenue July 1 issued guidance on government exemptions from excise and sales and use tax on lodging purchases. The DOR provides: 1) lodging paid by or directly billed to government employees, even if they are on official government business, reimbursed by the government, is taxable; 2) lodging paid directly from government funds is exempt from tax; 3) travel cards that are directly billed to the individual are taxable; 4) purchases by federal government employees using government credit cards that have a sixth digit of 0, 6, 7, 8, or 9 are exempt from tax; and ...