An Act to consider certain goods when given as a prize through a redemption store as purchases for resale.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That a NEW SECTION be added to chapter 10-46:

An arcade retailer's purchase of tangible personal property, to be provided to the retailer's customer as part of a permanent arcade redemption store, is a purchase for resale.

For the purposes of this section, the term "arcade redemption store" means a part of the arcade retailer's business where a customer exchanges tickets or points for a prize.