South Dakota Retailers oppose the repeal of sales tax on groceries

PIERRE, S.D.(WNAX)- The bill to cut the state sales tax on groceries in South Dakota was officially introduced in the House.

The bill is a priority of Governor Kristi Noem.

Nathan Sanderson, Executive Director of the state Retailers Association, says they will oppose the bill.

Sanderson says they are concerned about the rapid growth in the state budget.

Sanderson says a flood of federal pandemic dollars have distorted the normal pace of sales tax growth.

Cutting the sales tax could drop state revenues by up to one hundred twenty-five million dollars a year.