Wyoming – WY Sales Tax Calculator: User Guide

(Tax Year 2024: Last Updated on September 07, 2024)

Wyoming is the 10th largest (by area), least populous, and second most sparsely populated state located in the United States' western region.

It is a landlocked state which shares its borders with South Dakota and Nebraska to the east, Idaho to the west, Montana to the north and northwest, Colorado to the south, and Utah to the southwest.

Wyoming state is famous for its free-range living and the incredible, rugged American wilderness. Besides, it also has plenty of boundless natural beauty.

This is why the state's economy is primarily based on tourism and the extraction of minerals such as oil, coal, natural gas, and trona.

Although Wyoming is ranked in 42^nd place in terms of economy, it still attracts numerous businesses and entrepreneurs to earn a fortune in this great state due to reasonable opportunities, low cost of living, and low taxes.

If you have made up your mind to start, expand, or relocate your business in Wyoming, you should learn to deal with Wyoming sales tax. You must know about its basics and how to calculate it.

We know it requires plenty of research and time.

But don't you worry!

We have done the work for you.

We have joined hands with experts to bring you a comprehensive WY Sales Tax guide, along with a handy Wyoming Sales Tax Calculator.

So, all you need to do is to continue reading to explore!

Wyoming Sales Tax Facts:

• Wyoming levies one of the county's lowest statewide sales tax rate of 4%. Moreover, some counties levy additional local sales tax up to 2%. Eventually, raising the combined sales tax rate up to 6%.
• Hotels and motels have an exception on above mentioned combined sales tax rate, as some local county and city governments may levy additional lodging taxes up to 4%, which can further raise the combined sales tax rate up to 10%.
• Albany, Wyoming is among the counties which levy the highest possible combined sales tax rate of 6%.
• Park, Wyoming is among the counties which levy the lowest possible combined sales tax rate of 4%.
• Groceries, or food that is typically consumed at home, and gasoline, medical equipment and prescription drugs are exempted from sales tax in Wyoming. However, prepared food is not exempted.
• Unlike many other states, Wyoming charges sales tax on over-the-counter medicines.
• The Wyoming state allows individuals and businesses to buy goods for resale, improvement, or as raw materials without paying sales tax using the Wyoming Sales Tax Exemption Form.
• Buyers in Wyoming are expected to voluntarily list your liable purchases on a Wyoming Use Tax Return if they buy items from an online or out-of-state seller without paying WY sales Tax.
• Government agencies, Non-profit organizations, Religious groups and Out-of-state buyers (on certain conditions) are also exempted buyers from Wyoming sales tax.

How to calculate Sales Tax in Wyoming?

Businesses and Sellers involved in the sales of most tangible products including furniture, home appliances, motor vehicles and digital products and some taxable services including digital services, and have Nexus in Wyoming are required to register for Wyoming Sales tax and obtain a sales tax permit.

They must collect, manage, and remit it to the Wyoming Department of Revenue while staying in compliance with state laws and avoid penalties and interest.

The sales tax determined on four factors:

1. Nexus: It is a connection of business with a state. The business is only liable to pay taxes to the states with Nexus.
2. Out of State Seller's Eligibility: Out of State Seller is only required to register, collect, and remit the sales tax to the state's authorities if it falls under the criteria provided by the state.
3. Location and Products or Services: The sales tax rate varies from product to product and location to location, so you must check the sales tax rate applicable to your product according to the product category, county, and city in Wyoming.
4. Exemptions: Almost all goods are eligible for sales tax regulation—however, Groceries or food that is typically consumed at home, as well as gasoline, medical equipment and prescription drugs, are exempted from sales tax in Wyoming.

You should also check with the Wyoming state government regularly about which goods and services sold in Wyoming are subject to sales tax.

To calculate Sales Tax in Wyoming, follow the steps below:

Step 1 – Determine your Nexus:

As a business owner, you are only required to collect sales tax if you are eligible for collecting sales tax and have Sales Tax Nexus in the Wyoming State.

To determine your Nexus in Wyoming, you must have any of the following:

1. Having a physical location or place of business in Wyoming like an office.
2. An employee or other representative who works remotely or present in the state.
3. Drop-shipping from a third party seller.
4. A marketing affiliate
5. Having festival and fair booths or other temporary physical location in Wyoming.

Step 2 – Determine the Sales Tax Rate:

Once you have determined that your Nexus is with Wyoming, next is to deduce the Sales Tax rate (State + County) applicable to your product, for which you can refer to the tables below:

Step 4 – Calculate Sales Tax:

After determining the sales tax rate according to the location and type of purchases, it is easy to calculate the sales tax amount charged on the product and gross price (amount after tax) of a product.

Example # 1:

For instance, you sell a Roller Skates Helmet at your store in Buffalo, Wyoming, having a net cost of $150. The amount of Sales Tax that you have to pay on the Roller Skates Helmet would be:

Manual Method:

Net Price (amount before Tax) of a Roller Skates Helmet: $150

Total Sales Tax rate: 0.00% (Buffalo) + 2.00% (Johnson County) + 4.00% (Wyoming State) = 6.00%

Total Sales Tax amount = $150 x 6.00% = $9

Gross Price (Amount after Tax) = 150 + 9 = $159

So, the Sales Tax amount charged on the Roller Skates Helmet would be $9, raising the gross cost to $159.

Using our Sales Tax Calculator:

All of the steps mentioned above can be skipped to get an instant result using our Sales Tax Calculator. All you need is:

1. Input the $150 as the Net Price of a Roller Skates Helmet as Amount Before Tax
2. Input or select 00% of the combined Sales Tax rate on the Tax Rate menu.

Our calculator will automatically calculate the result and represents it in 3 different forms, as shown in the image below:

Reverse Sales Tax Calculation

In the example above, we have explained to you to calculate the Sales Tax amount payable in a product and the Gross Price of the Product.

But there are also instances when you are required to deduce how much Sales tax you have actually paid on a product in Wyoming.

This is where the Reverse Sales Tax Calculation Kicks in. And luckily, our Wyoming Sales Tax Calculator can perform this calculation like a Pro.

Example:

The gross cost (amount after tax) of a Kid's Tricycle is $100, which you sell at your store in Cody, Wyoming. Now, if you want to deduce the amount of sales tax you have actually paid on it and the net cost (amount before tax) of a Kid's Tricycle, you can follow the steps below:

Gross Price (Amount after Tax) of Kid's Tricycle: $100

Total Sales Tax rate: 0.00% (Cody) + 0.00% (Park County) + 4.00% (Wyoming State) = 4.00%

Manual Method:

Gross Price with sales tax = [Net Price × (tax rate in decimal form + 1)]

100 = [Net Price x ((4/100) + 1)]

100 = Net Price x 1.04

$96.2 = Net Price

So, the original Price (net price) of the Kid's Tricycle would be $96.2.

Using our Sales Tax Calculator:

You can also use our Sales Tax Calculator for Reverse Sales Tax calculation to skip the aforementioned manual method. All you need is:

1. Input the $100 Gross Price of Kid's Tricycle as Amount after Tax
2. Input or select 4.00% of the combined Sales Tax Rate on the Tax Rate

Our calculator will automatically calculate the result and represents it in 3 different forms.

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