South Dakota Code § 10-46-69.1

Tax on use of certain mobile telecommunications services
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Except as provided in §
10-46-69
, there is hereby imposed a tax of four and two-tenths percent upon the privilege of the use of any intrastate, interstate, or international telecommunications service that originates or terminates in this state and that is billed or charged to a service address in this state, or that both originates and terminates in this state. However, the tax imposed by this section does not apply to:
(1) Any eight hundred or eight hundred type service unless the service both originates and terminates in this state;
(2) Any sale of a telecommunication service to a provider of telecommunication services, including access service, for use in providing any telecommunication service; or
(3) Any sale of interstate telecommunication service provided to a call center that has been certified by the secretary of revenue to meet the criterion established in §
10-45-6.3
and the call center has provided to the telecommunications service provider an exemption certificate issued by the secretary indicating that it meets the criterion.
If a call center uses an exemption certificate to purchase services not meeting the criterion established in §
10-45-6.3
, the call center is liable for the applicable tax, penalty, and interest.

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