SD has the second lowest taxes in the nation:
Only Texas has a lower per-capita burden of state government taxes than South Dakota, figures compiled by the Federation of Tax Administrators show.
Per-capita tax collections in Texas were $1,367 in 2004, compared with $1,378 in South Dakota, the figures showed.
South Dakota and Texas tied in state tax burden calculated as a percentage of personal income. In 2004, state taxes collected were 4.8 percent of personal income in each state, the same source showed. Colorado and New Hampshire were the only states lower.
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