Wyoming Does Not Tax Military Retired Pay or Any Individual Income

This entry closes a question rather than describing a program. Wyoming does not levy a personal income tax. Military retired pay, a Survivor Benefit Plan annuity, VA disability compensation, VA pension, and Thrift Savings Plan distributions are therefore not taxed by Wyoming. There is no exclusion to claim, no cap, no residency election, and no state return to file. For a veteran comparing states, Wyoming needs no equivalent of the partial military retirement exclusions other states offer, because there is no base to exclude from. Wyoming funds itself primarily through severance taxes on mineral extraction, a state sales tax, and property tax. The practical consequence for a retiree is that the burden falls on consumption and on the home rather than on income, which is why the property tax exemption in this catalog matters proportionally more here than it would in a state with an income tax, even though the dollar figure is modest. Wyoming has no estate tax and no inheritance tax, and no corporate income tax. None of that is veteran-specific, but it shapes the overall picture for a retiree deciding where to settle. Because there is no state income tax return, any income test in a state program is administered from documentation the applicant supplies directly rather than read off a return. Keep the federal return, VA award letters, and 1099-R forms accessible. One practical note for a service member rather than a retiree. Wyoming's absence of an income tax makes it a common state of legal residence for service members under the Servicemembers Civil Relief Act. Establishing Wyoming residency requires more than a mailing address, and a service member considering it should confirm the requirements rather than assuming a change of home of record is enough.