SDCL § 32-5-128: Exemption from excise tax for motor vehicles leased to tax exempt entities.

Any motor vehicle purchased by a lessor that is to be leased for more than twenty-eight days by an entity exempted in §§ 32-5-42 and 32-5-42.1 is exempt from the excise tax levied by §§ 32-5B-1 and 32-5B-1.1. If the lease is terminated and the motor vehicle is subsequently leased to a nonexempt entity, tax shall be assessed unless otherwise exempted.