Wyoming Income Tax
Figure basis: Official Wyoming Department of RevenueWyoming levies no state income tax on wages, salaries, or ordinary income. Residents owe no income tax at the state level, though federal income tax, Social Security, and Medicare payroll taxes still apply. Some states without an income tax offset revenue through higher sales or property taxes, so this page links to those calculators to help you build a complete picture of Wyoming's overall tax environment. If you recently relocated to Wyoming or are comparing states, use the sales tax and property tax tools below alongside the federal income tax calculator to assess your full tax burden. This page is sourced from Wyoming Department of Revenue and reflects current Wyoming tax law.
Wyoming has no state income tax. Wyoming levies no individual income tax. The state has never enacted a personal income tax. State and local government are funded primarily through mineral severance taxes (on oil, gas, and coal extraction), property taxes, and a statewide sales tax.
Wyoming has no income tax
Wyoming levies no individual income tax. The state has never enacted a personal income tax. State and local government are funded primarily through mineral severance taxes (on oil, gas, and coal extraction), property taxes, and a statewide sales tax. For residents, wages, salaries and investment income are not subject to state income tax in Wyoming.
No income tax in Wyoming, but not a tax-free state
Wyoming has never enacted a personal income tax, and it is one of only a handful of states where wages, salaries, retirement income and investment gains all escape state-level tax entirely. That makes the income tax calculation here refreshingly short: there is nothing to compute. For retirees in particular, Wyoming ranks among the friendliest states in the country, since Social Security, pensions and 401(k) withdrawals are never touched by a state income tax.
The catch is that no income tax does not mean no taxes. Wyoming funds its government mainly through mineral severance taxes on oil, gas and coal extraction, federal mineral royalties, property taxes and a statewide sales tax. That sales tax runs 4% at the state level, and counties may add up to 2% in general purpose taxes plus a possible 1% for specific projects, so combined rates reach as high as 6% in some areas.
The practical lesson for anyone relocating: compare the whole picture, not just the missing income line. A household moving from a high-income-tax state often keeps significantly more of its paycheck in Wyoming, but should still budget for sales tax on everyday purchases and for local property tax on a home. Federal income tax, of course, still applies exactly as it does everywhere else.
Wyoming income tax: frequently asked questions
Does Wyoming have a state income tax?
No. Wyoming levies no individual income tax. The state has never enacted a personal income tax. State and local government are funded primarily through mineral severance taxes (on oil, gas, and coal extraction), property taxes, and a statewide sales tax.
Do I need to file a Wyoming state income tax return?
Wyoming does not collect a personal income tax, so there is no state income tax return to file. You still need to file a federal return with the IRS.
Does Wyoming have a state income tax?
No. Wyoming has never enacted an individual income tax. Residents owe no state tax on wages, salaries, investment income, retirement income, or any other personal income.
How does Wyoming fund state government without an income tax?
Wyoming relies heavily on mineral severance taxes levied on the extraction of oil, natural gas, coal, and other minerals. These revenues, along with federal mineral royalties, property taxes, and a statewide sales tax, fund state and local government services.
Does Wyoming have a sales tax?
Yes. Wyoming has a statewide sales and use tax rate of 4%. Counties may add up to 2% in optional general purpose taxes, and a 1% specific purpose tax may apply in some areas, bringing some combined rates as high as 6%.
Is Wyoming tax-friendly for retirees?
Wyoming is widely regarded as one of the most tax-friendly states for retirees. There is no state income tax on Social Security, pension income, or investment income. Property taxes are relatively low. The main tax burden comes from the state and local sales taxes. Federal income tax still applies on applicable income.
Official sources
- Wyoming no income tax confirmation: Wyoming Department of Revenue, as at Jun 12, 2026.
Reviewed by the CalculatorHub team, edited by James Graham, 11 June 2026. See our methodology. General information, not financial or tax advice.