Bill > HB0290

This bill establishes a property tax reduction and replacement mechanism by creating a significant property tax exemption for single-family residential properties and implementing a corresponding sales and use tax to offset local government revenue losses. Specifically, the bill provides a property tax exemption of $200,000 in 2025, increasing to $1 million in subsequent years, which will be adjusted annually for inflation (up to 2%). To qualify, property owners must reside in the home for at least six months per year. The bill introduces an additional 2% sales and use tax to compensate local governments for the lost property tax revenue, with provisions to potentially reduce this tax rate if sufficient funds are available. The additional sales tax will be collected and distributed to counties based on their specific revenue losses, with county treasurers required to certify the exemptions granted. The tax rate can be reduced in quarter-percent increments if the governor certifies that sufficient funds are available, and it will be reduced to zero if the property tax exemption becomes unavailable. The bill also includes provisions for the Department of Revenue to adopt implementing rules by July 1, 2025, and the property tax exemption will first apply to the tax year beginning January 1, 2025. Importantly, the bill excludes industrial facilities from the additional sales tax during their permitting and construction periods.

https://www.wyoleg.gov/Legislation/2025/HB0290