Go to Retiree Tax Map Wyoming Add to State Compare List | View List View State Compare List (0) selected | Compare up to 5 The Bottom Line Most Tax-Friendly One of Kiplinger’s top ten most tax-friendly states for retirees, the Equality State is a tax haven for cowboys and retirees alike. There is no state income tax, and the state sales tax is low. Thanks to abundant revenues that the state collects from oil and mineral rights, Wyoming residents shoulder one of the lowest tax burdens in the U.S., according to the Tax Foundation. State Sales Tax 4% state levy. Municipalities can add up to 2% to that, with a combined rate of 5.39%, according to the Tax Foundation. Income Tax Range Wyoming has no state income tax. Social Security Benefits are not taxed. Exemptions for Other Retirement Income Retirement income is not taxed.IRAsRetirement income is not taxed.401(k)s and Other Defined-Contribution Employer Retirement PlansRetirement income is not taxed.Private PensionsRetirement income is not taxed.Public PensionsRetirement income is not taxed. Property Taxes The median property tax on Wyoming’s median home value of $199,900 is $1,223. Tax breaks for seniors: The state has a Tax Rebate to Elderly and Disabled program that is available to those 65 and older who meet certain income requirements. They can receive a refund from the Wyoming Department of Health on property tax, utilities and sales/use tax for up to $800 (single filers) and $900 (married filers). Vehicle Taxes Sales tax is due at the rate of the county where the purchaser lives. Inheritance and Estate Taxes None.