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Wyoming
The Facts on Wyoming's Tax Climate
Last updated July 1, 2009
Here are some basic facts on Wyoming’s tax system and how it compares to other states:
Tax Freedom Day Arrives on April 5 in Wyoming
Tax Freedom Day is the day when Americans finally have earned enough money to pay off their total tax bill for the year. In 2009, Wyoming taxpayers had to work until April 5 to pay their total tax bill, ranking it 35th highest in the nation. This is eight day before the national Tax Freedom Day (April 13). The Tax Freedom Days of neighboring states are: Montana, April 3 (ranked 42nd nationally); South Dakota, March 29 (ranked 47th nationally); Nebraska, April 8 (ranked 31st nationally); Colorado, April 12 (ranked 16th nationally); Utah, April 13 (ranked 13th nationally); and Idaho, April 12 (ranked 18th nationally).
Full study of Tax Freedom Day, nationwide and in each state
Wyoming's State/Local Tax Burden Third-Lowest in Nation
Estimated at 7.0% of income, Wyoming's state and local tax burden percentage ranks 48th highest nationally, well below the national average of 9.7%. Wyoming taxpayers pay $3,714 per capita in state and local taxes.
Wyoming's State-Local Tax Burden, 1977-Present
Other States' State/Local Tax Burdens
Historical Chart Comparing All States' State/Local Tax Burdens from 1977 to 2008
Wyoming's 2010 Business Tax Climate Ranks 2nd
Wyoming ranks 2nd in the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes; individual income taxes; sales taxes; unemployment insurance taxes; and taxes on property, including residential and commercial property. Neighboring states ranked as follows: Montana (6th), South Dakota (1st), Nebraska (33rd), Colorado (13th), Utah (10th), and Idaho (18th).
50-State Comparison of Business Tax Climates (data only)
2009 State Business Tax Climate Index, Sixth Edition (full study)
Wyoming Levies No Personal Income Taxes
Wyoming levies no individual income taxes, joining six other states with the same policy. This makes the tax environment in Wyoming very competitive compared to other states.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita
Wyoming Levies No Corporate Income Taxes
Wyoming, in addition to collecting no personal income taxes, collects no corporate income taxes. Only four other states (Nevada, Texas, South Dakota and Washington) join Wyoming in levying neither income tax.
50-State Table of Corporate Income Tax Rates, 2000-2009
50-State Table of State and Local Corporate Income Tax Collections Per Capita and Per Household, 2005
50-State Table of State Corporate Income Tax Collections Per Capita, 2006
Wyoming Levies Sales Tax below National Median; Gasoline Taxes among the Lowest in the Nation
Wyoming levies a 4% general sales or use tax on consumers, which is below the national median of 6%.State and local governments combined collected $1,576 per capita in general sales taxes in 2006, which ranks 3rd highest nationally. Wyoming's gasoline tax stands at $0.14 per gallon, which ranks 48th highest nationally. Wyoming's cigarette tax stands at 60 cents per pack of twenty and ranks 39th highest nationally. The sales tax was adopted in 1947, the gasoline tax in 1935 and the cigarette tax in 1923.
50-State Table of Sales and Excise Tax Rates
50-State Table of State and Local General Sales and Gross Receipts Tax Collections Per Household and Per Capita, Fiscal Year 2005
Wyoming Property Taxes: Among the Nation's Highest
Wyoming is one of the 37 states that collect property taxes at both the state and local levels. As in most states, local governments collect far more revenue. Wyoming's localities collected $1,505.12 per capita in property taxes in fiscal year 2006, which is the latest year the Census Bureau published state-by-state property tax collections. At the state level, Wyoming collected $427.56 per capita during FY 2006, making its combined state/local property taxes $1,932.68, which ranks 4th highest nationally.
State and local property tax collections per capita by state
Federal Tax Burdens and Expenditures: Wyoming is a Beneficiary State
Wyoming taxpayers receive more federal funding per dollar of federal taxes paid compared to the average state. Per dollar of Federal tax collected in 2005, Wyoming citizens received approximately $1.11 in the way of federal spending. This ranks the state 23rd highest nationally and represents a slight rise from 1995, when Wyoming received $1.08 per dollar of taxes in federal spending (23rd highest). Neighboring states and the amount of federal spending received per dollar of federal taxes collected were: Montana ($1.47), South Dakota ($1.53), Nebraska ($1.10), Colorado ($0.81), Utah ($1.07), and Idaho ($1.21).
Comparing the amount of federal taxes sent to Washington with the amount of federal spending coming back to the state
