 |
| ESPC Home | | | 2005 LAP* Book | | | Background | | | Legislator Profiles | | | Key Votes | | | LAP* Book Home |
|
|
| Numeric List |
|
|
| Budget |
|
|
| Accountability |
|
|
|
Health & Human Services |
|
|
| Justice System |
|
|
| Education |
|
|
| State Employees |
|
|
|
Taxation & Revenue |
|
|
|
Wildlife & Environment |
|
|
|
Worker & Public Safety |
|
|
| Tribal Affairs |
|
|
| Senior Citizens |
|
|
2005 General Session
|
Tax Exemptions - Background Tax Exemptions - Background |
Wyoming collects a statewide sales and use tax of 4% on retail sales of tangible personal property and many other products and activities, defined in state statute. Wyoming’s statutes also provide a number of specific exemptions to the state sales tax.
HN 219 would have exempted the sale of gas, electricity or heat for domestic consumption from sales tax. The bill included a $14 million appropriation from the general fund to reimburse local governments for the revenue they would lose from the exemption.
Supporters of HB 219 argued that sales tax is a regressive form of taxation, especially when basic necessities such as home heating, lighting, etc. are included, as they currently are in Wyoming. When basic necessities that people have no choice about buying are taxed, low-income families end up paying a higher proportion of their money on items subject to sales tax. So, sales tax on basic necessities such as heat and light for the home disproportionately impacts poorer people.
Some legislators argued against HB 219 on the grounds that personal tax burden in Wyoming is already low, and they simply didn’t accept the concept that basic life necessities should be tax exempt.
HB 219 was heard before the House Revenue Committee, but died in that committee without a recorded vote.