Wyoming does not levy a state income tax on individual wages, salary, or investment income.
Tax Overview
Wyoming has never imposed a state income tax on individuals or corporations. The state funds its government primarily through mineral severance taxes on coal, oil, and natural gas extraction, along with sales taxes and property taxes. Wyoming consistently ranks as one of the states with the lowest overall tax burden in the nation, making it attractive for both individuals and businesses.
Other Taxes in Wyoming
4% state sales tax rate, with optional county additions up to 2% for a maximum combined rate of 6%. Groceries and prescription drugs are exempt.
Property taxes are levied by counties and local governments. Wyoming's effective property tax rates are moderate, with residential property assessed at 9.5% of fair market value.
Mineral severance taxes on coal (6%), oil (6%), natural gas (6%), and other minerals. This is historically one of Wyoming's largest revenue sources.
Federal mineral royalties from production on federal lands are shared with the state, providing another significant revenue stream.
Excise taxes on motor fuel (24 cents/gallon gasoline), tobacco, and alcoholic beverages provide supplemental revenue.
Federal Taxes Still Apply
While Wyoming does not levy a state income tax, residents are still subject to federal income tax, FICA taxes (Social Security and Medicare), and self-employment tax. Use our Federal Income Tax Calculator to estimate your federal tax liability.