Key figures
Wyoming payables
2026, with sources
- State 1099 filing
- NoneNo state income tax, so no state information returns for contractor payments.
Software purchases split by delivery
Wyoming draws a clear line in its Computer Sales and Services guidance. Prewritten software is tangible personal property and taxable however it is delivered — in a box, by download or loaded on site. Custom software, built to one purchaser’s specifications, is not taxable. Cloud services — SaaS, PaaS and IaaS — are not subject to Wyoming sales tax.
For accounts payable, that means a downloaded license (a design tool, an on-premise database) bought from an out-of-state vendor that didn’t charge Wyoming tax carries use tax, while the same tool bought as a hosted subscription doesn’t. Coding software purchases by delivery model makes the use tax accrual straightforward.
Contractors
Wyoming has no state 1099 filing and no contractor withholding. The classification question that matters is workers’ compensation: in an industry DWS classifies as extra-hazardous, coverage through the state fund is required before work begins, and a worker treated as a contractor may still count. Unemployment insurance applies its own employment test.
The federal baseline
This page covers what Wyoming adds. The federal rules underneath it apply here too.
Common questions
Do we owe Wyoming use tax on software we buy?
On SaaS subscriptions, no — Wyoming doesn’t tax hosted cloud software. On downloaded or boxed prewritten software, equipment and other taxable goods bought from vendors that don’t collect Wyoming tax, the company owes use tax at the rate where the item is used.
Do we file 1099s with Wyoming?
No. With no state income tax, Wyoming doesn’t collect 1099s or require withholding on contractors.
Payables next door
- COColorado payablesColorado wants only 1099s that show Colorado withholding, by Jan 31. Use tax applies to untaxed purchases, and home-rule cities can tax software the state doesn’t.
- IDIdaho payablesIdaho requires a copy of every 1099-NEC for services performed in Idaho by the end of February, and charges 6% use tax on untaxed goods but not on SaaS or downloaded software.
- MTMontana payablesMontana wants Forms 1099 on federal due dates, has no sales or use tax on purchases, and expects contractors to hold an Independent Contractor Exemption Certificate.
- NENebraska payablesNebraska takes 1099s only when Nebraska tax was withheld. Use tax reaches downloaded software and hardware, not access-only SaaS.
- SDSouth Dakota payablesNo state 1099s and no contractor withholding. Use tax reaches SaaS and services bought without South Dakota tax, because almost all of them are taxable.
- UTUtah payablesUtah wants 1099s that show Utah withholding by Jan 31, has no contractor withholding, and charges use tax on software, SaaS included, used in Utah.
Founder guides on this
- PeopleContractor or employee? Classification for startupsContractor or employee depends on control, not the contract. The IRS test, state rules, 1099s, payroll registration and the cost of getting it wrong.
- Sales taxSales tax nexus for startups: when you owe tax in a stateSince Wayfair, selling into a state can create a sales tax obligation. How economic nexus works, why SaaS is taxable in some states and when to register.
More of the Wyoming guide
- AccountingAccounting and state tax in WyomingCorporate tax, conformity to federal rules, apportionment and what it does to your books
- ReceivablesReceivables and sales tax in WyomingSales tax registration, economic nexus, whether SaaS is taxable, and collecting from customers
- PayrollPayroll taxes and employer rules in WyomingWithholding, unemployment insurance, paid leave, minimum wage and the rules on paydays
- ComplianceCompliance and filings in WyomingRegistering to do business, annual reports, franchise tax and the filing calendar
- AdvisoryAdvisory: credits and decisions in WyomingCredits, incentives and the decisions that are cheaper to get right the first time
Sources
Checked against each agency’s own page on . Rates and thresholds change, usually on January 1.
General information for US companies, not tax, legal or accounting advice for yours. Rules and thresholds change; confirm the specifics with a CPA or the agency before you act on them.