Wyoming Administrative Code › Agency 011 - Revenue Dept › Sub-Agency 0004 - Excise Tax › Chapter 2 - SALES AND USE TAX › Section 2-10 - Contractor Procedure

Current through July 13, 2024
(a) Notification
				Requirements for Non-Resident General Contractors, Nonresident Prime
				Contractors, and Resident General or Prime Contractors Who Hire Non-Resident
				Subcontractors. In addition to all other requirements under Wyoming law, upon
				being awarded a construction project, a non-resident general or prime
				contractor shall:
(i) Report all labor and
				material subcontractors hired within fifteen (15) calendar days of subcontract
				award notification;
(ii) Post a
				bond with the Department pursuant to
				W.S.
				39-16-306(b)(i). In lieu of
				a bond, the Department may accept:
(A) A
				cashier check;
(B) A certificate of
				deposit, provided that the certificate of deposit:
(I) Shall be issued by an FDIC-insured bank
				with its main office or any branch located in Wyoming.
(II) Shall be payable in current funds or
				such other manner as the Department may determine at a bank located in the
				State of Wyoming.
(III) Shall be
				issued for an initial term of not less than one (1) year and automatically
				renewable from year to year.
(IV)
				The contractor must execute a valid, binding, first priority pledge agreement
				as to the certificate of deposit, which shall be on the form approved by the
				Department.
(V) The originals of
				both the certificate of deposit and fully-executed pledge agreement shall be
				delivered to the Department at the same time.
(1.) If a certificate of deposit is accepted
				and retained by the Department under this section, and if the contractor has
				not deposited an acceptable replacement bond or other acceptable security
				within thirty (30) days before the certificate of deposit's maturity date, then
				the contractor shall be deemed to have authorized and directed the Department
				to demand immediate payment on the certificate of deposit and upon receipt of
				the proceeds, retain the same as a deposit of the proceeds of certified
				funds.
(C) A
				letter of credit, provided the letter of credit:
(I) Shall have a face amount equal to or
				greater than four percent (4%) of the total contract amount for the
				project;
(II) Shall be issued by an
				FDIC-insured bank with its main office or any branch located in
				Wyoming;
(III) Shall be payable in
				current funds or other manner as the Department may determine on sight at the
				counters of an FDIC insured bank located within the State of Wyoming;
(IV) Shall be on a form of approved by the
				Department;
(V) Shall be issued
				with an initial expiration date of not less than one (1) year from the date of
				its issuance and automatically extended from year to year;
(VI) The issue date shall be ten (10) days
				before the date on which the deposit is received by the Department;
				and
(VII) The original letter of
				credit shall be delivered to the Department.
(1.) If a letter of credit is accepted and
				retained by the Department and the contractor has not deposited an acceptable
				replacement surety bond or other acceptable security within thirty (30) days
				before the letter of credit's expiration date or maturity date, the contractor
				shall be deemed to have authorized and directed the Department to draw the
				entire face amount of letter of credit and, upon receipt of the proceeds,
				retain the same as a deposit of proceeds of a collected cashier's
				check.
(2.) The contractor may
				deliver at any time to the Department an acceptable surety bond or other
				acceptable security to replace a letter of credit retained by the Department.
				Upon receipt and acceptance of a replacement, the Department shall deliver to
				the contractor the original letter of credit.
(3.) If the Department determines that the
				contractor that has deposited a letter of credit under this section in lieu of
				a surety bond and has complied with
				W.S.
				39-15-301 through
				W.S.
				39-15-311 and
				W.S.
				39-16-301 through
				W.S.
				39-16-311, then the Department shall deliver
				to the contractor the original letter of credit.