Billionaires in South Dakota: A Look at the Numbers

How many billionaires are there in South Dakota?
South Dakota has no members in the Bloomberg Billionaires Index of the world’s richest 500 people, yet it shelters some half a trillion dollars of wealth in trusts.
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The population of South Dakota, which is in the midwestern part of the country, is little over 886,000. The state is renowned for its beautiful beauty and facilities for outdoor recreation, but not for its large population of millionaires. In actuality, South Dakota will have no billionaires as of 2021.

Some people might be surprised to learn this because South Dakota is home to some of the richest people in the country. T. Denny Sanford, who made his money in the credit card business, has a net worth of more than $2 billion, as an illustration. Sanford spends time in both South Dakota and Florida, hence he isn’t actually a resident of South Dakota.

South Dakota doesn’t have any billionaires, but it does provide a number of tax benefits that high net worth individuals can find appealing. South Dakota, for instance, doesn’t impose either a corporate or personal income tax. In addition, there are no intangible personal property taxes, gift taxes, or inheritance taxes in the state. Due to this, South Dakota may be a desirable location for those seeking to lower their tax obligations.

When compared to other states, South Dakota is renowned for having comparatively low taxes. A big contributing element is the absence of personal and corporate income taxes, although the state also has a comparatively low sales tax rate of 4.5%. This is significantly less than the 7.12% national average. In fact, South Dakota, just behind Oregon, has the second-lowest sales tax rate in the nation.

Alaska, which has a statewide sales tax rate of 0%, is the state with the lowest rate of sales tax. It is important to remember that some local governments in Alaska do impose sales taxes.

Now let’s talk about North Dakota, which does impose a sales tax. The state’s 5% sales tax rate as of 2021 is just a tad higher than South Dakota’s 5% rate. However, North Dakota does not impose a personal income tax, which can appeal to wealthy people.

Last but not least, the rate of sales tax in San Diego, California, is currently 7.75%. However, depending on the precise area inside the city, this may differ slightly.

Despite the fact that South Dakota may not be home to any billionaires, it does offer a number of tax benefits that high net worth individuals may find appealing. Additionally, in comparison to other states, the state’s sales tax rate is quite low. In terms of North Dakota and California, both have sales taxes, with California having a higher sales tax rate and North Dakota having no personal income tax.