South Dakota to Maryland: general contractor license reciprocity
South Dakota does not issue a statewide general contractor license, so there is nothing to transfer. Here is Maryland's standard path for out-of-state applicants.
Your origin state does not issue a statewide license at this level, so there is no license to transfer. The destination's standard out-of-state path is shown; expect to meet it in full.
Reference only, not legal advice. Rules change; confirm with the licensing board before you apply. Full disclaimer.
Everyone buys the same annual construction license; an out-of-state contractor license transfers nothing
Your out-of-state credentials give no advantage. You meet the destination's requirements from scratch.
A general or commercial contractor licensed in another state gains nothing from that license in Maryland and is held back by nothing for lacking one. There is no examination to waive, no experience to credit and no reciprocity or endorsement route, because Maryland sets no competency standard for this tier at all: Title 17, Subtitle 6 of the Business Regulation Article contains no examination, experience, qualification or financial provision, only a definition, a licensing requirement and a fee. Maryland is not one of the state agencies that accept the NASCLA Accredited Examination for Commercial General Building Contractors, and holding that credential changes nothing here. The steps are the same for a contractor arriving from Virginia, from California or from across Baltimore. Register the business with the Maryland Department of Assessments and Taxation, including foreign qualification and a resident agent for a company formed elsewhere, then apply to the Clerk of the Circuit Court for a construction license, or a nonresident construction license if the business is incorporated or headquartered in another state. A nonresident applies in the county where it first does construction business; a Maryland-based business applies in the county of its principal place of business. The statutory fee is $15, or $40 in Baltimore City and Baltimore County and $30 in Cecil County, and clerks add a small issuing fee. The license year runs from May 1 to April 30, so it is renewed annually no matter when it was first bought.
No Maryland county licenses commercial or general building contractors on competency. Montgomery County and Prince George's County each license new home builders only, and those licenses stop at new residential construction. Baltimore County's New Commercial Structure or Shell permit requires sealed plans from a Maryland-licensed design professional but names no contractor license, and Baltimore City asks for a contractor's name and registered license only for category III interior demolition, not for commercial or residential new construction. Local building departments still review plans, issue permits and inspect the work, and a city or county may charge its own business taxes and fees, so check the permitting office in each jurisdiction before bidding. Clerks' offices publish their own counter procedures and issuing fees; Carroll County, for example, charges the $15 statutory fee plus $2 to issue. Using a construction license to do home improvement work is an offense that can carry fines up to $5,000 and two years' imprisonment.
At a glance
- Trade exam
- Waived
- Law / code exam
- Not required
- Out-of-state hours
- Do not count
What you must already have
- A business that is incorporated in another state, or has its principal office in another state, must take a nonresident construction license rather than an ordinary construction license, and must hold it in addition to any other license required by law.Bus. Reg. §17-602(b) and §17-601(d). The nonresident license is issued by the clerk of the county where the business first does construction business in Maryland, and §17-603 charges the same fee for it as for a resident license. §17-602(d) makes either license good for construction business anywhere in the state.
- Nothing about the applicant's history is examined. Title 17, Subtitle 6 contains no examination, experience, education, character, credit or financial responsibility requirement, so an out-of-state license, a NASCLA examination transcript and thirty years of commercial building all carry exactly the same weight, which is none.Confirmed by reading §17-601, §17-602 and §17-603 in full, and against the Comptroller's and the Department of Labor's descriptions of the license. Maryland does not appear on the list of NASCLA participating state agencies.
- A construction license may not be used for home improvement work. Home improvement is excluded from the definition of doing construction business, and a contractor holding an MHIC home improvement license is not required to hold a construction license.Bus. Reg. §17-601(c)(2) and §8-317. A contractor whose work spans both will normally hold the MHIC license for the residential remodeling side and the construction license for new and commercial work.
What you'll do to get licensed in Maryland
- 1Business license. Obtain a business license ($15). Construction license, or nonresident construction license for a business incorporated or headquartered in another state, from the Clerk of the Circuit Court. The statutory fee is $15 in every county except Baltimore City and Baltimore County, where it is $40, and Cecil County, where it is $30; clerks add a small issuing fee on top, for example $2 in Carroll County. The license runs from May 1 to April 30 and is bought again each license year. It is issued in the county of the principal place of business, or for a nonresident in the county where the business first does construction business, and it authorizes construction business statewide. No examination, experience, reference or financial statement is required..
- 2Business license. Obtain a business license. Registration with the Maryland Department of Assessments and Taxation before the clerk's license is bought. A corporation, LLC, LLP or limited partnership formed in another state qualifies as a foreign entity with SDAT and appoints a Maryland resident agent; a trade name is registered with SDAT as well. Maryland's Business Express portal at businessexpress.maryland.gov handles the filings. A contractor that also sells goods at retail may need a separate trader's license from the same clerk of the circuit court..
- 3Contractor license. Hold or obtain a contractor license (if applicable). A Maryland Home Improvement Contractor license from the Maryland Home Improvement Commission if any of the work is home improvement: the alteration, remodeling, repair or replacement of a residence, a condominium unit or an apartment building of three or fewer units. That license is a genuine competency credential with an examination, a two-year experience requirement, a financial solvency review, a Guaranty Fund assessment and $500,000 in liability insurance, and the Commission offers no reciprocity with any state. See the residential level of this page..
- 4Other. Home Builder registration with the Home Builder Registration Unit of the Office of the Attorney General if the business builds new homes, at $800 for the initial registration, plus the Montgomery County new home builder license or the Prince George's County Building Contractor's License where the work is in those counties. (if applicable).
- 5Other. Separate Maryland trade licenses for the licensed trades. The construction license authorizes no skilled trade work: electricians, plumbers, and heating, ventilation, air-conditioning and refrigeration contractors are licensed by their own state boards under the Business Occupations and Professions Article, and a general contractor meets those requirements by employing or subcontracting to the correctly licensed firm. Local building departments also require permits and inspections for the work itself. (if applicable).
What you'll need to buy or arrange
Business registration
If you plan to contract in your own name, budget for a business license or entity registration on top of the trade license.
- Business license · $15
- Business license
How Maryland licenses general contractors
Maryland general contractor · “Construction License (Nonresident Construction License for a business incorporated or headquartered outside Maryland)”
Statewide license
Maryland issues no general, commercial or unlimited building contractor license and no state agency tests a builder's competence to put up a commercial building. There is no trade examination, no business-and-law examination, no experience requirement, no net worth test and no qualifying party anywhere in the law for this tier. What state law does require is a construction license, bought each year from the Clerk of the Circuit Court: Business Regulation §17-602 says a person must hold one 'whenever the person does construction business in the State', which means agreeing to pave or curb, to excavate, or to do work on a building that uses paint, stone, brick, mortar, wood, cement, structural iron or steel, piping, wiring or any other metal. A contractor who is incorporated or has its principal office in another state must instead take a nonresident construction license. The license is entity-held and nobody qualifies it; it is a revenue license that sits in the same title as Maryland's trader's license, and the clerk collects a fee and issues it without reviewing skill, experience or references. It is issued in the county of the business's principal place of business, or for a nonresident in the county where it first does construction business, and it then authorizes construction business anywhere in the state. Home improvement is carved out: an MHIC licensee needs no construction license, and a construction license may not be used for home improvement work. Skilled trades are licensed separately by their own Maryland boards, and new home construction requires Home Builder registration with the Office of the Attorney General.
How local licensing works in Maryland
No Maryland county or city licenses commercial building contractors on competence. The construction license is bought from the Clerk of the Circuit Court, who is a state judicial officer rather than a county licensing board, and the license is good statewide wherever it was issued; the only county-by-county variation is the fee, which is $15 in most counties, $40 in Baltimore City and Baltimore County and $30 in Cecil County. Clerks publish their own counter procedures and add a small issuing fee, for example $2 in Carroll County. Buy it in the county of your principal place of business, or, if the business is incorporated or headquartered in another state, in the county where you first do construction business in Maryland.
Baltimore County. The New Commercial Structure or Shell Building Permit requires construction plans signed and sealed by a registered design professional licensed in Maryland and the usual submittals, and names no contractor license, registration or qualification. For residential work the county checks state credentials instead, asking for the Maryland Home Builders Registration number on a new dwelling permit and the Maryland Home Improvement License number for an alteration or addition.
Baltimore City. The Department of Housing and Community Development handles permits through its ePermits and ePlans systems. Neither the residential nor the non-residential and commercial new construction category asks for a contractor license; the only contractor credential the city's construction permit guidance requires is on category III interior demolition, where the application needs the contractor's name and registered license.
Montgomery County and Prince George's County. Both license new home builders, and only new home builders: Montgomery County under Chapter 31C of its code, through the Office of Consumer Protection and a Board of Registration, and Prince George's County through a Building Contractor's License approved by its Board of Registration for Building Contractors and required 'to build ANY new residential home from the ground up.' Neither county license reaches commercial or general building work, and neither involves an examination. See the residential level of this page for what they require.
Local building departments everywhere in Maryland still issue the permits, review the plans and inspect the work, and a municipality may levy its own business taxes and fees, so ask the permitting office in each jurisdiction what it wants before you bid.
- Baltimore County (Permits, Approvals and Inspections - no contractor license for commercial permits)
- Baltimore City (Department of Housing and Community Development - construction permit information)
- Montgomery County (Office of Consumer Protection - New Home Builder license only)
- Prince George's County (DPIE - Building Contractor License, new residential homes only)
Why South Dakota has nothing to transfer
South Dakota general contractor
Licensed by cities and counties
South Dakota has no state general, commercial or building contractor license and no state board that examines or qualifies builders, so there is nothing at state level for an out-of-state general contractor's license to transfer into. The Department of Labor and Regulation's occupational licensing list has an Electrical Commission, a Plumbing Commission and a Board of Technical Professions for architects and engineers, and no contractor board, so the credentials that matter at state level are the electrical and plumbing licenses held by the subcontractors and the design professionals who stamp the drawings. Commercial building is governed locally, and most of the state's larger cities license less at this level than at the residential one: Sioux Falls states that it 'does not require Commercial Building Contractors to be licensed at this time', Aberdeen says commercial contractors are not required to be licensed through the city because commercial projects are designed and overseen by architects and engineers, and Brookings publishes a residential contractor license and no commercial equivalent. Rapid City is the exception, licensing a Class A general contractor for construction of all types of structures on the ICC National Standard General Building Contractor (A) examination. Every contractor, commercial included, must hold a free contractor's excise tax license from the Department of Revenue before starting work anywhere in the state, and the 2% contractor's excise tax falls on the prime contractor's gross receipts.
How local licensing works in South Dakota
How it works in South Dakota. No South Dakota agency issues a general, commercial, building or unlimited contractor license, and there is no state qualifying party, business-and-law examination or financial responsibility test. Commercial construction is controlled through the building permit and the plan review, and by the state's requirement that commercial projects be designed and overseen by licensed architects and engineers. The one thing the state does require of every commercial contractor is a contractor's excise tax license from the Department of Revenue: 'an individual must be licensed before starting work in South Dakota. All contractors must be licensed regardless of the amount of the receipts they have or the amount of tax due.' It is free, it is applied for online, and the 2% contractor's excise tax is imposed on the gross receipts of the prime contractor. Get it first; cities ask for the card.
Rapid City. This is the one city of the four that licenses commercial builders, and its Class A license is the most demanding contractor credential in South Dakota. Class A is the 'General Contractor' class, 'for construction of any and All types of structures', and it is issued on the ICC National Standard General Building Contractor (A) examination, known as the G11, taken through Pearson VUE: 4.5 hours, 90 multiple-choice questions, open book, based on the 2018 International Building Code and the 2018 International Residential Code, with an examination fee of $115.00 and testing at the Career Learning Center, 730 E Watertown St. The license itself is $200 initially and $100 to renew, runs three years and carries six hours of continuing education per period. Every applicant files a certificate of insurance naming the City of Rapid City as certificate holder, and no other form is accepted, with minimum general aggregate liability of $1,000,000, $300,000 fire damage and $1,000,000 each occurrence, plus a workers' compensation certificate or a signed statement of non-participation. A copy of the South Dakota excise tax certificate is part of the packet, and an electrical contractor class separately requires proof of a South Dakota electrical contractor's license. No verifiable experience is required for Class A, and the packet offers no waiver, credit or reciprocity for a contractor license held in another city or another state: a licensee who lets the license lapse beyond the one-year grace period must reapply and pass the examination again. Building Services is on (605) 394-4120.
Sioux Falls. The city's position is one sentence long: 'The City of Sioux Falls does not require Commercial Building Contractors to be licensed at this time.' What it requires instead is that each individual project goes through plan review and obtains the proper permits. Note that apartment buildings count as commercial for construction purposes even though they are residential in use, so a multifamily builder falls outside the residential license as well. The electrical, mechanical, plumbing, refrigeration, sign and right-of-way trades are separately licensed by the city, and right-of-way contractors must be bonded and insured before working in a city right-of-way. Plans examiners are on 605-367-8248 and building inspectors on 605-367-8251.
Aberdeen. 'Because the majority of commercial construction projects are required to be designed and overseen by design professionals (i.e. Professional Architects and Professional Engineers), Commercial Contractors are not required to be licensed through the City of Aberdeen. Commercial Contractors are required to obtain a South Dakota Excise Tax License.' Electricians are licensed by the state, with state permits and state inspections in Aberdeen; plumbers are licensed by the state but permitted and inspected by city inspectors. Building Inspection is at City Hall, 123 South Lincoln Street, 3rd Floor, 605-626-7017.
Brookings. Community Development issues a residential contractor license, a plumber license, building permits and rental licenses, and publishes no commercial or general building contractor license; all work must conform to the International Building Code and electrical and plumbing work must be done by trades licensed by the state and the city. Because the city publishes no commercial contractor application, confirm what is expected of a commercial builder with Community Development on (605) 692-6629 before bidding. Building permits also apply on nonagricultural land in the joint jurisdictional area about three miles beyond the city.
Everywhere else. Other South Dakota cities set their own permit and licensing rules, and the further from the larger cities you go the more likely it is that a permit and proof of insurance are all that is asked. Check with each building official, and hold the state excise tax license wherever you work.
- Rapid City (Building Services Division - Class A General Contractor license and ICC G11 examination)
- Sioux Falls (Building Services - no license required for commercial building contractors)
- Aberdeen (Building Inspection - commercial contractors not licensed by the city; excise tax license required)
- Brookings (Community Development - residential contractor license only; no commercial contractor license published)
Common questions
- Do I have to take the Maryland general contractor exam if I'm licensed in South Dakota?
- No. The trade exam is waived on this path.
- Do my South Dakota work hours count in Maryland?
- No. Maryland does not credit out-of-state hours on this path.
- Does it work the other way, from Maryland to South Dakota?
- Not necessarily. Reciprocity is directed. Going from Maryland to South Dakota, the mechanism is not applicable.
Sources
- Baltimore City - Permit Information, Construction · Baltimore City Department of Housing and Community Development · Agency Page · verified September 17, 2026
- Baltimore County Permits, Approvals and Inspections - New Residential Dwelling Building Permit · Baltimore County, Maryland, Department of Permits, Approvals and Inspections · Agency Page · verified September 17, 2026
- Md. Code, Business Regulation §17-601 - Construction license definitions · Md. Code Ann., Bus. Reg. §17-601 · Maryland General Assembly · Statute · verified September 17, 2026
- Md. Code, Business Regulation §17-602 - Construction and nonresident construction licenses required · Md. Code Ann., Bus. Reg. §17-602 · Maryland General Assembly · Statute · verified September 17, 2026
- Md. Code, Business Regulation §17-603 - Construction license fee · Md. Code Ann., Bus. Reg. §17-603 · Maryland General Assembly · Statute · verified September 17, 2026
- Md. Code, Business Regulation §8-317 - Construction license not required of MHIC licensee · Md. Code Ann., Bus. Reg. §8-317 · Maryland General Assembly · Statute · verified September 17, 2026
- Maryland Judiciary, Clerk of the Circuit Court for Carroll County - Business License Information · Maryland Judiciary · Agency Page · verified September 17, 2026
- Comptroller of Maryland - Types of Business Licenses (construction and trader's licenses) · Comptroller of Maryland, State License Bureau · Agency Page · verified September 17, 2026
- Maryland Department of Labor - Links to Business Licenses, Construction Licenses and Other Licenses · Maryland Department of Labor, Division of Occupational and Professional Licensing · Agency Page · verified September 17, 2026
- MHIC - Licensing FAQs for Applicants · Maryland Department of Labor, Maryland Home Improvement Commission · Faq · verified September 17, 2026
- Montgomery County Department of Permitting Services - Residential New Homes, Single Family and Townhouses Permit Process · Montgomery County, Maryland, Department of Permitting Services · Agency Page · verified September 17, 2026
- Montgomery County Office of Consumer Protection - New Home Builders and New Home Sellers · Montgomery County, Maryland, Office of Consumer Protection · Agency Page · verified September 17, 2026
- Maryland Office of the Attorney General - New Home Builder Registration · Maryland Office of the Attorney General, Consumer Protection Division · Agency Page · verified September 17, 2026
- Prince George's County DPIE - Building Contractor License · Prince George's County Code, Subtitle 2, Division 14A (Sec. 2-253.16 et seq.) · Prince George's County, Maryland, Department of Permitting, Inspections and Enforcement · Agency Page · verified September 17, 2026
- NASCLA Accredited Examination for Commercial General Building Contractors · National Association of State Contractors Licensing Agencies · Other · verified September 17, 2026
Verified dates are when a person last opened each source and confirmed the facts above. Cite the board, not us.