TransparencyOversight & ethics enforcement
South Dakota audit finds 605Drive vehicle system charged incorrect tax amounts in some transactions; Revenue Department says refunds under way
Confidence: Alleged · 1 sourceSouth Dakota · Oct 13, 2026
Subject of this story
South Dakota Department of Revenue
What happened
A state audit reported by South Dakota Searchlight on July 2, 2026 found the Department of Revenue's 605Drive title and registration system, in use since February 2025, charged incorrect tax amounts in some transactions because some trade-in values were wrong. Auditors tested 112 of 750,005 transactions and found three overpayments totaling $1,400. The department's own review found 604 transactions affected by a data transfer, with refunds processed or in process and payment to be sought where taxpayers were undercharged. A prior audit found about $530,000 in commercial vehicle fee overcharges affecting more than 11,000 vehicles.
Sources (1)
South Dakota SearchlightAuditors tested 112 out of a total of 750,005 transactions from July 2024 through June 2025. That sample of transactions totaled $139,171, including fees and a 4% tax on the purchase price of a vehicle. Three of the transactions resulted in tax overpayments totaling $1,400.
Response
South Dakota Department of Revenue
Statement given
Contacted and responded — exact wording not on record.
What happened next (0)
No outcome recorded yet.