The South Dakota Department of Revenue will issue refunds this month to 12 vehicle owners who were overcharged motor vehicle excise taxes during the state’s transition to the new 605Drive registration system.
According to the department, the errors occurred when trade-in information was not properly transferred from the old SDCARS system, requiring manual data entry that led to some tax miscalculations.
The Department of Legislative Audit identified the overcharges during its annual review of state finances. Revenue officials said the department was already aware of the issue and had implemented corrective measures before the audit.
The total amount overcharged was $1,445.84. Vehicle owners do not need to apply for refunds, as the department will issue them automatically. One refund has already been processed, with the remaining refunds scheduled for July.
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