South Dakota Administrative Rules
Title 64 - REVENUE
Article 64:06 - Sales tax
Chapter 64:06:03 - Products - Interpretive rules
Section 64:06:03:26 - Meals

Receipts from meals furnished by restaurants, hotels, and boarding houses are taxable. If meals are furnished by proprietors of cafes, restaurants, or boarding houses to employees and a separate charge is made, sales tax must be paid on the receipts. If the employer furnishes meals to employees as part consideration for employment, the restaurant, cafe, or boarding house is liable for the state and municipal use tax upon the cost of the meals so furnished to the employees. This tax includes the applicable municipal and state sales and use taxes.

General Authority: SDCL 10-45-47.1(3), 10-46-35.1(3), 10-52-4, 10-52A-7(3).

Law Implemented: SDCL 10-45-2, 10-46-2, 10-52-2, 10-52-4, 10-52A-2.