South Dakota Administrative Rules
Title 64 - REVENUE
Article 64:06 - Sales tax
Chapter 64:06:01 - Administration of program
Section 64:06:01:02 - Bond
Current through Register Vol. 51, page 43, September 23, 2024
A cash bond endorsed in the name of the department or a bond issued by a corporate surety company authorized to do business in South Dakota in an amount sufficient to guarantee payment of tax for a six-month period is required from retailers engaged in business within the state of South Dakota in the following circumstances:
(1) A taxpayer is delinquent in either reporting or paying tax for two reporting periods in any twelve-month period;
(2) A taxpayer is engaged in a type of business which, in the experience of the department, has had problems with tax delinquency; or
(3) A taxpayer does not have sufficient unencumbered assets in this state to ensure that a possible future delinquent tax liability is collected.
If a taxpayer has no prior history of tax payment, the amount of the bond is based upon the taxpayer's estimate of gross receipts in a six-month period, provided that the taxpayer's estimate is determined by the department to approximate known receipts of similar businesses.
General Authority: SDCL 10-45-47.1(1), 10-45D-13(1), 10-46E-11(1), 10-52A-7(1).
Law Implemented: SDCL 10-45-24, 10-45-26, 10-45D-12, 10-46E-8, 10-52A-6.
