SALES TAX TUESDAY 2018: Wyoming

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Wyoming became the 44th state in the U.S. in 1890, and is home to many of the most spectacular outdoor sights in these United States including Yellowstone, the Tetons, Devils Tower and the Black Hills, just to name a few. 

Wyoming is a vast place, being the 10th largest state based upon area. But despite its size, Wyoming is also the least populous state, and the second least densely populated state.

Perhaps one reason why Wyoming is so sparse in population is the fact that almost half of all land in the state is the property of the United States government.  Among these federal lands are the national parks of Yellowstone and Grand Teton.

Most of the other public lands are associated with national forests, wildlife refuges, national recreation areas, national monuments and numerous other historic locales.

Simply put, Wyoming is a place of splendor that everyone should see at least once in their lifetime, and perhaps that is why so much of it has in fact been set aside as public lands for all to see and enjoy (in accordance with the rules governing such).

While we enjoy taking our big 50-state RV Trip thanks to Avalara, the 'sales tax people,' as we cover sales tax associated with each and every state tax jurisdiction in the United States in these "Sales Tax Tuesday 2018" articles every Tuesday, our goal is to give you updated information as well as another some of the key information about the states we visit.

As you might expect, with all this land, and people few and far between, there has to be some reason the state is so monumental other than the monuments.  As it happens both the Oregon Trail and Union Pacific Railroad not only saw thousands of Americans cross Wyoming bound for Oregon and California, but created the towns of Cheyenne, Laramie, Rawlins and many others between 1840 and 1868. 

Soon thereafter, Wyoming's open range became the place of hundreds of thousands of cattle driven north from Texas to feed on free grass before boarding the railroad bound East to meet the demand for 'beef.'  While the open range gave way to barbed-wire ranches, Wyoming is still noted for some of the best beef in the country, and yes they still heard them 'little doggies' the old fashioned way with American Cowboys sitting atop American horses.

And, where there is beef, there is barbecue.  First cooked out on the range by 'Cookie' at either the chuck-wagon or line-shack for the cowboys and today smoked to perfection by by pitmasters like 'Jo-Bawb's BBQ' of Rozet, Wyoming; this is American beef (and pork and chicken) at it's best. Many a week, the Jo-Bawb's crew is competing in BBQ competitions far and wide earning an every more impressive round of trophies to go along with the countless others, but you can still find a plate full of brisket, ribs and much more at their Rozet eatery. Unfortunately you will pay sales tax on your meal.

Speaking of sales tax, we had better spend some time on the subject of these Tuesdays, sales tax facts:

The Wyoming state sales tax rate is currently 4%. Depending on local municipalities, the total tax rate can be as high as 6%. The use tax is the same rate as the sales tax rate of the county where the purchaser resides.

Wyoming imposes sales tax on the sales price paid in the following transactions in all but one situation (as noted below):

  • All retail sales of tangible personal property in Wyoming (includes cigarettes, other tobacco products, and alcoholic beverages).
  • Leases or contracts transferring possession of tangible personal property in Wyoming (an exception to the ‘sales price paid’ requirement applies to leases).
  • Intrastate telecommunications, two-way mobile telecommunications, and associated equipment.
  • Intrastate transportation of passengers.
  • Gas, electricity, or heat for domestic, industrial, or commercial use.
  • Meals and cover charges where meals are regularly served to the public excluding all gratuities regardless of whether offered by the customer or invoiced by the seller.
  • Lodging services for transient guests.
  • Admissions to places of amusement, entertainment, recreation, games, or athletic events.
  • Services which repair, alter, or improve tangible personal property.
  • Services within oil and gas well sites.
  • Motor vehicles, house trailers, trailer coaches, trailers, or semi trailers.
  • Computer hardware and system software along with specific digital products where the purchaser receives permanent use of the specified digital product.

Sales tax applies to all taxable admissions, services or retail sales of tangible personal property; unless the purchaser provides the vendor a Streamlined Sales and Use Tax Agreement Certificate of Exemption or a Direct Pay Permit at the time of purchase. Vendors are liable for the sales tax on any retail sale that is not documented by the purchaser as exempt or by direct pay authority.

The list below (although certainly NOT complete) identifies the most common sales tax exemptions in Wyoming:

  • Sales to governmental entities, including federal agencies, state agencies, counties, cities and towns, school districts and other special purpose districts.
  • Sales of farm implements.
  • Sales of livestock, feed for livestock or poultry for marketing purposes and seeds, roots, bulbs, small plants and fertilizer planted or applied to land, the products of which are to be sold.
  • Wholesale sales made to a licensed retailer and held in inventory for resale. (Vendors who purchase for re- sale and subsequently remove inventory for their own use are liable for sales tax on the cost of the inventory re-moved.)
  • Sales made to religious or charitable organizations, including nonprofit organizations providing meals or services to senior citizens, for the regular functions and activities of the same.
  • Prescription drugs.
  • Groceries. Even candy sold in the grocery store is exempt; however, if the candy is sold from a vending machine, it is taxable.

Wyoming is a member of the Streamlined Sales Tax (SST).

Even though the sales tax rates and rules may seem simplistic enough in wide-open Wyoming, you still might be surprised at the frequency with which mistakes are made, and where there are sales tax mistakes there are audits, penalties and fines.  That's why you need the help of the sales tax experts.  Avalara provides solutions for sales tax automation, including tax calculation, exemption certificate management, returns processing and 1099 filing and reporting. Automation via Avalara allows businesses to be fully sales tax compliant without sacrificing productivity so you won't spend time digging yourself out from under sales tax burdens or audits, and that's 'no bull'.