Revise certain references to the Internal Revenue Code.
Summary
House Bill 1028 updates South Dakota’s statutory references to the federal Internal Revenue Code so that the state code points to the version of the IRC in effect on January 1, 2025. The bill is a technical conformity measure rather than a substantive tax policy change. It amends the general definition section in § 10-1-47, which then applies to several other tax-related provisions and statutory subdivisions that rely on that definition.
By updating the reference date, the bill ensures that affected South Dakota tax statutes continue to incorporate the current federal tax code as of the specified date. This kind of update helps maintain consistency between state and federal tax law and reduces ambiguity for taxpayers, administrators, and courts interpreting state provisions that depend on federal definitions or concepts. The bill affects the statutes listed in the text, including provisions in chapters relating to income, insurance, financial institutions, and other tax-related areas that cross-reference the Internal Revenue Code.
The available voting history shows unanimous support at each recorded stage, with no recorded dissenting votes in committee or on the floor. That pattern suggests the bill was viewed as routine and noncontroversial. There were no committee transcripts provided, and no evidence in the record of substantive debate over policy changes.
Because the bill is limited to updating federal-code references, the main point of contention, if any, would typically be whether South Dakota should conform to the federal code as of a fixed date and how that affects future changes in federal law. However, no such objection appears in the available materials, and the unanimous votes indicate broad agreement on the need for a technical update.
Impact
HB1028 amends South Dakota’s definition of the Internal Revenue Code to conform state law to the federal code as amended and in effect on January 1, 2025. This affects multiple cross-referenced tax statutes and subdivisions, but it does not itself change tax rates, create new deductions, or alter taxpayer eligibility rules. Its practical effect is to keep state tax law aligned with the current federal code version used by the referenced provisions.
Sentiment
The bill appears to have been received very positively and treated as a routine technical measure. All recorded votes were unanimous, with no opposition in committee or on the floor. The lack of committee discussion transcripts and the clean voting record suggest broad agreement and little controversy.
Contention
No specific contention is documented in the available record. In bills of this type, the only potential issue is whether updating the Internal Revenue Code reference could indirectly change state tax treatment by incorporating federal changes, but no legislator or committee member is shown raising that concern here. The unanimous votes indicate that any such concern was not significant in the legislative process.