ENTITLED An Act to increase the amount of exempt proceeds when a homestead is sold or divided by court order.

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

Section 1. That § 43-45-3 be AMENDED:

43-45-3. A homestead:

(1) As defined and limited in chapter 43-31, is absolutely exempt; or

(2) In the event the homestead is sold under the provisions of chapter 21-19, or is sold by the owner voluntarily, the proceeds of the sale, not exceeding the sum of one hundred thousand dollars, are absolutely exempt for a period of one year after the receipt of the proceeds by the owner. If the homestead is divided by court order pursuant to § 25-4-44 and a lien is imposed on the homestead for the benefit of the nonoccupant spouse pursuant to § 25-4-42, absence from the homestead and loss of title to the homestead pursuant to the court order do not constitute forfeiture of the homestead exemption, and homestead protection must attach to the judicial lien for a period of one year. The exemption is limited to one hundred seventy thousand dollars for a homestead of a person seventy years of age or older or the unremarried surviving spouse of such person so long as it continues to possess the character of a homestead.

An Act to increase the amount of exempt proceeds when a homestead is sold or divided by court order.

I certify that the attached Act originated in the: Senate as Bill No. 88 Secretary of the Senate President of the Senate Attest: Secretary of the Senate Speaker of the House Attest: Chief Clerk Senate Bill No. 88 File No. ____ Chapter No. ______

Received at this Executive Office this _____ day of _____________, 2025 at ____________M. By for the Governor The attached Act is hereby approved this ________ day of ______________, A.D., 2025 Governor STATE OF SOUTH DAKOTA, ss. Office of the Secretary of State Filed ____________, 2025 at _________ o'clock __M. Secretary of State By Asst. Secretary of State