Motor Vehicle Excise Tax Exemption (Disabled Veterans)
Exemption from 4% excise tax on the purchase of one motor vehicle for qualifying disabled veterans.
State BenefitSouth DakotaTax Benefits
Verified May 12, 2026 against dor.sd.gov
At a glance
- Benefit type
- Tax Benefits — South Dakota
- Who it's for
- Veterans
- VA rating needed
- No rating requirement
- Estimated value
- ~$1,200 on a $30,000 vehicle
- Where it applies
- South Dakota
- Last verified
- May 12, 2026
What is Motor Vehicle Excise Tax Exemption (Disabled Veterans)?
Motor Vehicle Excise Tax Exemption (Disabled Veterans) is a South Dakota tax benefits benefit for veterans. Exemption from 4% excise tax on the purchase of one motor vehicle for qualifying disabled veterans. The listed value is ~$1,200 on a $30,000 vehicle.
Who qualifies
- Veterans
- Available to any veteran
- Honorable discharge required
- South Dakota residency
Who is eligible
Eligibility
SD resident veteran who meets one of the following per SDCL 32-5B: recipient of a VA "K" award; recipient of an automobile under Public Law 187; recipient of statutory benefit for loss or loss of use of one or more extremities; or recipient of a veteran's allotment for total disability from a service-connected injury incurred during wartime. Honorable discharge required.
What Motor Vehicle Excise Tax Exemption (Disabled Veterans) covers
Estimated value
SD motor vehicle excise tax is 4%, so on a $30,000 vehicle, the savings would be $1,200.
Important to know
The exemption is available to veterans with 100% disability rating OR with specific service-connected conditions such as loss or loss of use of limbs, regardless of rating percentage. Veterans with these conditions who have a lower rating should contact their county treasurer's office to verify eligibility. Applies to the purchase of one motor vehicle.
How to apply for Motor Vehicle Excise Tax Exemption (Disabled Veterans)
How to apply
Contact the SD Department of Revenue or your County Treasurer's office.
Verified information & sources
- Last verified
- May 12, 2026
- Official source
- dor.sd.gov
Compiled and fact-checked against the official source linked above. Benefit rules and dollar amounts change over time — always confirm current details at the official source before applying. A county Veterans Service Officer (VSO) is a free, accredited advocate who can review your eligibility and help you file at no cost.
How VetUnlock verifies benefitsFrequently asked questions about Motor Vehicle Excise Tax Exemption (Disabled Veterans)
Who qualifies for Motor Vehicle Excise Tax Exemption (Disabled Veterans)?
Motor Vehicle Excise Tax Exemption (Disabled Veterans) is for Veterans; available to any veteran; south dakota residency. See the eligibility details on this page and confirm with the official source before applying.
How much is Motor Vehicle Excise Tax Exemption (Disabled Veterans) worth?
The listed value is ~$1,200 on a $30,000 vehicle. Amounts can change — confirm the current figure at the official source linked on this page.
How do I apply for Motor Vehicle Excise Tax Exemption (Disabled Veterans)?
Apply through the official source linked on this page. A county Veterans Service Officer (VSO) can review your eligibility and help you file at no cost.
Where can I verify Motor Vehicle Excise Tax Exemption (Disabled Veterans)?
Benefit rules and dollar amounts change, so always confirm current details at the official source linked on this page. A free, accredited county or state Veterans Service Officer (VSO) can also verify your eligibility and help you apply.
Other South Dakota Tax Benefits
- No State Individual Income TaxNo state income tax on any incomeSouth Dakota has no state individual income tax, so all military retirement pay and VA compensation are state-tax-free.
- Disabled Veteran Property Tax Exemption (100% P&T)$200,000 property tax exemptionExempts $200,000 of the home's full and true value from property taxes for permanently and totally disabled veterans.
- Paraplegic Veteran Full Property Tax ExemptionFull property tax exemptionComplete property tax exemption on the residence (up to one acre) for paraplegic veterans with wheelchair-adapted homes.