Wyoming Tax Guide: No Income Tax, No Corporate Tax

Tax Overview

Wyoming is consistently ranked as one of the most tax-friendly states in the nation, with no state income tax, no corporate income tax, and no gross receipts tax. The state constitution prohibits a personal or corporate income tax, making this protection very durable. Wyoming funds its government primarily through mineral extraction taxes, property taxes, and sales taxes, leveraging its substantial coal, oil, and natural gas resources.

Sales tax in Wyoming has a state rate of 4%, the lowest among states that levy one, with local additions that push the combined rate to about 5.36% on average. Wyoming exempts groceries and prescription drugs from sales tax. The overall sales tax burden is quite low compared to most states.

Property taxes in Wyoming are moderate, with effective rates around 0.57%. The state assesses property at 9.5% of fair market value for residential properties, which keeps the effective rate low. Wyoming offers a property tax refund program for qualifying low-income residents and veterans. The combination of no income tax, low sales tax, low property taxes, and no corporate tax gives Wyoming one of the lightest overall tax burdens of any state.