Sales Tax Guide for Wyoming

What Is Taxable in Wyoming?

In Wyoming, tangible personal property is subject to sales tax. However, some items are exempt, such as prescription drugs, groceries, certain agricultural equipment, and medical devices.

If your business sells taxable goods or services in Wyoming, it is important to collect and remit sales tax accurately. Businesses should also be aware if any use taxes apply, especially when purchasing products from out of state.

Who Needs to Collect Sales Tax in Wyoming?

Businesses required to collect sales tax in Wyoming include:

• Retailers with a physical presence in Wyoming
• Online sellers meeting the state’s economic nexus threshold
• Service providers if services are subject to sales tax

Wyoming enforces an economic nexus threshold of $100,000 in sales or 200 transactions per year. Exceeding this limit requires registration and collection of sales tax in Wyoming, regardless of physical presence. Non-compliance can result in penalties and back taxes. doola’s Bookkeeping service can assist businesses in maintaining compliance and avoiding legal issues.

How to Register for a Sales Tax Permit in Wyoming

Registering for a sales tax permit in Wyoming is straightforward:

1. Prepare necessary documentation: EIN, business license, and business information.
2. Visit the Wyoming Department of Revenue website.
3. Fill out the online application form.
4. Receive your Sales Tax License and start collecting tax.

Collecting tax without a permit is illegal, so ensure registration before making taxable sales. While the process can be daunting, doola’s bookkeeping team can assist, making it easy for you to focus on your business growth.

How to Calculate Sales Tax in Wyoming

For accurate sales tax calculations, follow these steps:

Step 1:
Identify the appropriate sales tax rate based on your business and the buyer’s location.

Step 2:
Collect the correct amount at the point of sale.

Step 3:
Keep detailed records of all transactions.

In Wyoming, sales tax returns must be filed monthly, quarterly, or annually, depending on sales volume. Check filing deadlines to avoid penalties. Note that local jurisdictions may impose additional taxes, which need to be included in your calculations.

Common Sales Tax Exemptions in Wyoming

Exemptions in Wyoming may apply to:

• Purchases for resale (with a resale certificate)
• Sales to nonprofit organizations
• Certain manufacturing and agricultural purchases

To claim an exemption, businesses need to use appropriate certificates and maintain accurate documentation. Misusing exemptions can result in audits and penalties.

Remote Seller and Marketplace Sales Tax Rules in Wyoming

Wyoming has specific rules for remote sellers and marketplace facilitators such as Amazon, eBay, Shopify, and Etsy.

The economic nexus laws apply to those exceeding $100,000 in sales or 200 transactions. Compliance with Wyoming sales tax regulations for remote sellers is necessary beyond these thresholds.

What Triggers a Sales Tax Audit in Wyoming?

The Wyoming Department of Revenue may trigger audits due to reasons like missing or incorrect sales tax filings, consistent late payments, sales discrepancies, and misuse of exemption certificates.

Maintaining meticulous records of sales, exemptions, and tax payments, as well as conducting internal audits, can mitigate audit risks.

FAQs About Sales Tax in Wyoming

Common questions concerning Wyoming sales tax include:

Are digital goods taxable in Wyoming? 

Certain digital products may be taxable. Do verify with state guidelines.

Do out-of-state businesses need to collect Wyoming sales tax? 

Yes, if you surpass the $100,000 or 200-transaction threshold.

What if I overcharge or undercharge sales tax? 

You might need to rectify the error with customers or state payments. Precise record-keeping is key.

Stay Compliant With doola

Staying compliant with sales tax doesn’t have to be a burden. With the right resources and advice, businesses can avoid penalties and maintain smooth operations.

doola offers the support you need, providing bookkeeping, financial solutions, and tax guidance to meet Wyoming sales tax requirements efficiently.