Introduction
Wyoming has a low and simple sales tax system, making it easy for businesses to comply. However, businesses selling goods and certain services must still register, collect, and remit sales tax to avoid penalties.
This guide explains who needs to collect Wyoming sales tax, how to file, and how to stay compliant.
Does Wyoming Have a Sales Tax?
Yes, Wyoming has a statewide sales tax of 4%, plus local tax rates of up to 2%, making the maximum total sales tax 6%.
| Tax Type | Wyoming Rate | Max Local Rate | Total Max Sales Tax |
|---|---|---|---|
| State Sales Tax | 4% | 2% | 6% |
| Use Tax | 4% | 2% | 6% |
Who Needs to Collect Wyoming Sales Tax?
Businesses must collect and remit Wyoming sales tax if they:
- Sell taxable goods or services in Wyoming.
- Have a physical presence (nexus) in Wyoming (store, warehouse, office, employees).
- Meet the economic nexus threshold (over $100,000 in sales or 200 transactions per year).
Goods & Services Subject to Wyoming Sales Tax
✅ Taxable Items:
- Retail goods (clothing, electronics, furniture)
- Digital products (software, e-books, online courses)
- Prepared food & beverages
- Hotel & short-term lodging
❌ Exempt Items:
- Unprepared groceries (fruits, vegetables, dairy)
- Prescription medications & medical devices
- Raw materials for resale
How to Register for Wyoming Sales Tax
Step 1: Apply for a Wyoming Sales Tax License
- Register online at the Wyoming Department of Revenue website.
- Fee: $60 one-time registration.
- Processing time: 2-3 weeks.
Step 2: Collect Sales Tax on Transactions
- Charge 4% state tax + applicable local tax rate.
- Clearly display the tax on receipts and invoices.
Step 3: File & Pay Wyoming Sales Tax
- Filing Frequency: Monthly, quarterly, or annually (based on revenue).
- Due Date: 20th of the following month (e.g., January sales tax due February 20).
- Payment Methods: Online via Wyoming Department of Revenue or by check.
How to Avoid Sales Tax Compliance Mistakes
- Track Your Economic Nexus
- If your business sells over $100,000 or 200+ transactions in Wyoming, you must register and collect tax, even if based out-of-state.
- Separate Taxable & Non-Taxable Sales
- Use accounting software to track exempt sales (groceries, prescription drugs, etc.).
- Keep Proper Records
- Maintain sales invoices, tax-exempt certificates, and payment receipts for at least 3 years.
- File on Time to Avoid Penalties
- Late filing penalty: 10% of the tax due, plus 1.5% monthly interest.
- Wyoming allows a 1.95% discount on timely filed returns.
Do Online & Out-of-State Sellers Need to Collect Wyoming Sales Tax?
Yes, remote sellers must collect Wyoming sales tax if they meet the economic nexus threshold:
- More than $100,000 in sales OR 200+ transactions in Wyoming per year.
- Must register, collect, and remit sales tax just like in-state businesses.
Should You Work with a CPA for Sales Tax Compliance?
A CPA can help:
- Register and file Wyoming sales tax correctly.
- Ensure compliance with economic nexus rules.
- Avoid audits and penalties for non-compliance.
Conclusion
Wyoming’s low sales tax rate and simple filing process make compliance easy for businesses. However, companies must register, collect, and remit sales tax properly to avoid penalties. Staying up-to-date with nexus laws and exemptions ensures businesses remain compliant.
For expert sales tax assistance, schedule a meeting with our CPA Anshul Goyal by clicking at https://calendly.com/anshulcpa/ now.