The sales tax rate in Watertown, South Dakota is 6.5%. This consists of a 4.5% state sales tax and a 2% Watertown city tax. Watertown is in Codington County and has about 21,100 residents. The minimum 2023 Watertown sales tax rate is 6.2%. This includes state and city sales taxes as there is no county tax. You can print a 6.2% Watertown sales tax table. Sales tax rates vary across South Dakota cities and counties.
Major state government income sources are sales tax, licenses and fees, and tourist facilities profits. South Dakota has no personal or corporate income tax. To establish residency, spending 24 hours in the state suffices for at least 5 years before renewing a driver’s license. Those 65 years or older who own property stop paying property taxes in South Dakota.