South Dakota‘s ongoing debate over eliminating the food tax has briefly resurfaced this month, only to be swiftly quashed with the Senate’s rejection of a ballot proposal for voters.
Democratic Senate Minority Leader, Reynold Nesiba, revived discussions by proposing a November 2024 ballot measure aimed at reducing the food tax to zero and repealing a four-year sales tax cut implemented last year. The temporary tax cut had been a focal point during the 2023 legislative session.
Nesiba characterized his proposal as “revenue-neutral,” emphasizing the widespread popularity of eliminating the food tax. He pointed out that his measure would grant the Legislature more control over the process compared to a separate 2024 ballot initiative seeking to repeal the grocery tax. Nesiba expressed confidence that voters are likely to pass the initiated measure calling for the removal of the grocery tax.
Despite these efforts, the Senate swiftly rejected the ballot proposal, marking the latest chapter in South Dakota’s ongoing deliberations over the contentious issue of food tax elimination.
