ARSD § 64:06:01:24 — Interstate sales -- Originating in South Dakota

Tax does not extend to gross receipts from sales in which the seller is
obligated under the terms of the agreement to make physical delivery of the
goods sold, from a point in the state to a point outside the state, not to be
returned to a point within the state. Written evidence of the contract of sale
must be retained by the retailer to prove physical delivery was made outside
South Dakota. Tax does not apply to receipts from a sale if the seller, by
carrier or mail, delivers goods sold from a point in this state to a point
outside the state on order of the buyer not to be returned to South Dakota. The
most acceptable proof delivery was made outside the state will be:
(1) A bill of lading or
weight bill made out to the seller's order and calling for delivery;
(2) An insurance receipt or
registry issued by the United States postal department, or a post office
department receipt; or
(3) A receipt of delivery
signed by the seller's delivery agent showing the signature and address of the
person outside this state who received the goods delivered. It is immaterial
whether the goods are sold f.o.b. origin or f.o.b. destination.