Wyoming Sales Tax Rates

Total Range for 2024

4%–6%

wyoming department of revenue logo

Why do you need to collect sales tax in Wyoming?

If you’re selling goods and services in Wyoming then sales tax might apply! To determine your obligation, you need to understand “nexus,” which ties businesses to states for tax purposes.

Two types of nexus exist:

  1. Physical Nexus: Having a physical presence, like an office, warehouse, or employees in Wyoming, triggers this type. If you do, you likely need to collect sales tax.
  2. Economic Nexus: This kicks in when your sales within Wyoming exceed a certain economic threshold. Even without a physical presence, surpassing this threshold requires collecting sales tax.

In Wyoming, there is also a transaction threshold of 200, which means that even if your sales aren’t over $100,000 if you’ve sold more than 200 items then you still need to pay sales tax.

 

Is what you’re selling taxable in Wyoming?

Now that you understand the basics of Wyoming’s sales tax and nexus thresholds, let’s delve into whether your specific products or services are taxable.

OR EMAIL US

How to register for sales tax in Wyoming

There are two ways to register for a sales tax permit in Wyoming:

  • Online: The Wyoming Department of Revenue offers an online filing system called WYIFS (Wyoming Internet Filing System). This is the recommended method for most businesses. Here’s the process:
    • Visit the WYIFS website: https://excise-wyifs.wy.gov/
    • Create an account and log in.
    • Select “Sales and Use Tax” registration.
    • Provide your business information, including:
      • Federal Tax ID (EIN)
      • Business name and address
      • Contact information
      • Business entity type
      • Estimated monthly sales and taxable sales
      • Products or services sold
    • Pay the $60 application fee (by check or money order).
    • Submit your application.
  • Mail: You can also register by mail by completing a Sales and Use Tax License Application form. You can find the form on the Department of Revenue’s website or by contacting them directly. Here’s what to do:
    • Download or obtain the application form: https://revenue.wyo.gov/tax-e-services/excise-tax-e-services (Excise Tax Forms section)
    • Fill out the form with your business information as mentioned above.
    • Include a check or money order for $60 as the application fee.
    • Mail the completed application and fee to the Wyoming Department of Revenue.

How to collect sales tax in Wyoming

  1. Collect the Tax at Checkout:
  • Once you know the applicable tax rate, add it to the sales price of your taxable goods or services.
  • Most Point-of-Sale (POS) systems can automate this process.
  • If you don’t have a POS system, you can manually calculate the tax and add it to the price.
  1. Keep Clear Records:
  • It’s crucial to maintain accurate records of your sales and the amount of sales tax collected for each transaction.
  • This information will be used when you file your sales tax return.
Example:
  • Let’s say you’re selling a jacket in Wyoming with a base price of $50.
  • The base state sales tax rate is 4%.
  • Calculate the sales tax: $50 (price) x 4% (tax rate) = $2.00 (sales tax)
  • Final price: $50 (price) + $2.00 (sales tax) = $52.00 (total price)

FAQs

Do you have a physical nexus in Wyoming?

You have a physical nexus in Wyoming if you have a physical presence that connects your business to the state for tax purposes. Here are some activities that would establish physical nexus in Wyoming:

  • Having a physical location: This includes a store, office, warehouse, distribution center, or any place of business in Wyoming.
  • Employees or sales representatives: If you have employees or sales representatives who regularly operate within Wyoming, even if they work remotely, that could create nexus.
  • Inventory storage: Storing inventory for sale within Wyoming can establish nexus.
  • Providing in-state services: If your business travels to Wyoming to perform services, such as repair work or installation, it might create nexus.
Do you have an economic nexus in Wyoming?

Economic nexus is another way to establish a sales tax collection obligation, but it doesn’t involve a physical presence. Wyoming has an economic nexus threshold, which means if your business makes more than $100,000 in sales in Wyoming or has more than 200 transactions in the state within a year, you would need to collect sales tax regardless of physical presence.

What is use tax in Wyoming?

Applies to taxable goods you purchase outside Wyoming, but intend to use, store, or consume in Wyoming. Since there was no sales tax collected at the time of purchase, you are responsible for paying use tax to the state of Wyoming.

Generally, any individual or business that purchases taxable goods outside Wyoming and brings them into the state for use, storage, or consumption is responsible for paying use tax.

Do you need a seller/reseller permit?

Wyoming sales tax applies to most tangible goods and some services, but not groceries or prescriptions. The tax rate varies depending on the buyer’s location. 

Businesses need to register for a seller’s permit (Sales and Use Tax License) if they have a physical presence or make a certain amount of sales in Wyoming. They must collect sales tax at checkout and file returns electronically. If you buy something taxable out of state but use it in Wyoming, you might owe use tax.

How to get a sales tax permit/license in Wyoming?

Obtaining a sales tax permit in Wyoming, also known as a Sales and Use Tax License, is straightforward. You can apply online through WYIFS or by mail with a completed application form. 

Before applying, get your free Federal Tax ID (EIN) from the IRS. There’s a $60 application fee and a processing time of 2-3 weeks. With the license, you’ll be authorized to collect sales tax in Wyoming. Remember, this is a simplified overview, and consulting a tax professional is recommended.

When are Wyoming's Returns Due?

Wyoming’s sales tax returns are due on the last day of the month following the reporting period.  Here’s a breakdown for clarity:

  • Sales made in January: Return due by the last day of February.
  • Sales made in February: Return due by the last day of March.
  • And so on…

If the due date falls on a weekend or holiday, the return is generally considered due on the next business day.

The frequency of filing Wyoming sales tax returns depends on your total sales volume for the previous year.

  • Monthly: If your total sales were over $50,000 in the previous year, you’ll likely file monthly.
  • Quarterly: If your sales were between $4,000 and $50,000, you might be able to file quarterly.
  • Annual: For businesses with sales under $4,000 annually, filing annually might be an option.
How to file sales tax in Wyoming
  1. Filing Steps:
  • Log in to your WYIFS account.
  • Select “Sales and Use Tax” from the menu.
  • Choose the appropriate filing period.
  • Enter your sales and tax information for each jurisdiction.
  • Review and submit your return electronically.
  1. Payment Options:
  • WYIFS allows payment by electronic funds transfer (EFT) or credit card.
  • You can also mail a check or money order to the Wyoming Department of Revenue.
Is anyone exempt from sales tax in Wyoming?
  • Exempt Goods and Services: Certain products and services are generally not subject to sales tax, regardless of who buys them. Here are some examples:
      • Groceries (excluding prepared food)
      • Prescription drugs and medical supplies
      • Most services (except those directly related to taxable goods like installation or repair)
  • Exempt Customers: Some types of customers may not be required to pay sales tax, but they typically need to provide documentation to the seller to qualify for the exemption. Examples include:
    • Government agencies: Federal, state, and local governments may be exempt from sales tax on purchases for official use.
    • Some non-profit organizations: Non-profits may be exempt depending on their specific purpose and qualifications.
    • Merchants purchasing goods for resale: Businesses that buy taxable goods to resell them later can typically purchase them tax-free with a valid resale certificate.

Contact Yonda Tax Today

OR EMAIL US