On July 7, 2025, South Dakota Governor announced new tax reforms aimed at providing relief to small businesses across the state. The tax breaks are a part of the state government's efforts to stimulate economic growth and support local entrepreneurs who have been struggling in the wake of the COVID-19 pandemic.Under the new measures, small businesses in South Dakota will now be eligible for a 10% tax credit on their state income taxes. This tax credit is intended to help alleviate the financial burden on small businesses that have been hit hard by the economic downturn caused by the pandemic.In addition to the tax credit, the state government is also introducing a tax exemption for businesses that have been in operation for less than three years. This exemption will allow eligible businesses to forego paying state income taxes for their first three years of operation, providing them with crucial financial relief during the initial stages of their business.Governor praised the new tax breaks as a crucial step towards revitalizing South Dakota's economy and ensuring the survival of small businesses in the state. He highlighted the importance of supporting local entrepreneurs and fostering a business-friendly environment to attract new investments and create job opportunities for South Dakotans.The announcement of the tax breaks was met with enthusiasm from small business owners across the state, many of whom have been struggling to stay afloat in the face of mounting financial challenges. Business owners expressed their gratitude for the government's support and highlighted the impact that the tax breaks would have on their ability to survive and thrive in the current economic climate.Overall, the new tax breaks introduced by the South Dakota government are expected to provide much-needed relief to small businesses and stimulate economic growth in the state. By supporting local entrepreneurs and fostering a business-friendly environment, South Dakota is paving the way for a brighter future for businesses and residents alike.