House Bill 1137, containing what state leaders call the largest tax cut in state history, became law July 1.
That's the date many of the more than 200 laws passed during the legislative session take effect.
The bill decreases the state's overall sales tax from 4.5 percent to 4.2 percent. Officials say the decrease will cut tax collections by approximately $104 million statewide in the first year.
Individual consumers can expect to save 30 cents for every $100 spent at the checkout.
The tax cut will undergo legislative review in four years.
The legislature approved the HB 1137 over a grocery sales tax cut favored by Gov. Kristi Noem. The governor called the legislature's plan a “sales tax holiday” because it’s not permanent.
