STURGIS, S.D. – The 2026 Sturgis Motorcycle Rally generated more than $1.4 million in state and local tax revenue, but overall collections were down from last year.
According to the South Dakota Department of Revenue, the rally brought in just over $1.4 million in taxes, compared with nearly $1.6 million in 2025, an 11 percent decrease. Officials say slower rally traffic led to fewer vendors and lower taxable sales.
State sales tax accounted for the largest portion of the total at nearly $797,000, while tourism taxes contributed about $276,000 and municipal taxes added roughly $332,000.
Vendor participation also dropped significantly, with 822 vendors registered this year, down 30 percent from last year. The Northern Black Hills, including Sturgis, saw the biggest decline, with tax collections falling 20 percent.
Meanwhile, vendors in the Southern Black Hills, including Rapid City, Custer, Hill City and Keystone, generated nearly $474,000 in tax revenue, an increase of 15 percent from 2025.
Despite the decline, the Sturgis Motorcycle Rally remains one of South Dakota’s largest tourism events and a major economic driver for communities across the Black Hills.
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