South Dakota House pushes sales tax cut, but Noem cautious

PIERRE, S.D. (AP) — The South Dakota House is pushing to reduce the state’s sales tax by half a percentage point.

Republicans passed the proposal despite objections from Republican Gov. Kristi Noem. The proposal was spearheaded by a group of right-wing Republicans who have sparred with the governor over the state budget this year. It passed the Republican-controlled House on a 39 to 31 vote and will next be considered by the Senate.

Republican Rep. Chris Karr, cast the proposal as a way to make good on a 2016 law that promised to reduce the 4.5% sales tax if the state won the right to tax sales from online sellers.