§ 26-11-118 — Tax on surplus lines

(a) Repealed By Laws 2011, Ch. 103, § 3.
(b) Repealed By Laws 2011, Ch. 103, § 3.
(c) In addition to the full amount of gross premiums
charged by the insurer for the insurance, every surplus lines
broker shall collect and pay to the commissioner a sum equal to
three percent (3%) of the gross premiums charged, less any
return premiums, for surplus lines insurance provided by the
surplus lines broker. Where the insurance covers properties,
risks or exposures located or to be performed both in and out of
Wyoming, the sum payable shall be computed based on:
(i) An amount equal to three percent (3%) on that
portion of the gross premiums allocated to this state; plus
(ii) An amount equal to the portion of the premiums
allocated to other states or territories on the basis of the tax
rates and fees applicable to other properties, risks or
exposures located or to be performed outside of Wyoming; less
(iii) The amount of gross premiums allocated to this
state and returned to the insured.
(d) The tax on any portion of the premium unearned at
termination of insurance having been credited by the state to
the surplus lines broker shall be returned to the policyholder
directly by the surplus lines broker. The surplus lines broker
is prohibited from rebating, for any reason, any part of the
tax.
(e) At the time of filing an affidavit report required by
W.S. 26-11-117, each surplus lines broker shall pay the premium
tax due for each calendar quarter's business as reported, in the
manner prescribed by the commissioner. An alternative reporting
and payment period may be required by participation in a
multistate compact, reciprocal agreement or clearinghouse
pursuant to subsection (g) of this section. The surplus lines
broker shall pay interest on the amount of any delinquent tax
due, at the rate of nine percent (9%) per year, compounded
annually, beginning the day the amount becomes delinquent.
(f) If a surplus lines policy procured through a surplus
lines broker covers properties, risks or exposures only
partially located or to be performed in Wyoming, the tax due
shall be computed on the portions of the premiums which are
attributable to the properties, risks or exposures located or to
be performed in this state. In determining the amount of
premiums taxable in Wyoming, all premiums written, procured or
received in Wyoming shall be considered written on properties,
risks or exposures located or to be performed in Wyoming, except
premiums which are properly allocated or apportioned and
reported as taxable premiums of a reciprocal state.
(g) The commissioner may participate in a multistate
compact, reciprocal agreement or clearinghouse with other states
for the purpose of collecting, allocating and disbursing any
funds collected pursuant to subsection (c) of this section. To
the extent that other states where portions of the properties,
risks or exposures reside have failed to enter into a compact or
reciprocal allocation procedure with Wyoming, the net premium
tax collected shall be retained by this state.
(h) The commissioner is authorized to utilize the
allocation schedule included in the nonadmitted insurance
multistate agreement for the purpose of allocating risk and
computing the tax due on the portion of premium attributable to
each risk classification and to each state where properties,
risks or exposures are located.
(j) The clearinghouse is authorized to collect from the
surplus lines broker a reasonable service fee, as approved by
the commissioner, as a percentage of total gross premiums of
each surplus lines policy or document reported under this
chapter to cover the cost of administrative services of the
clearinghouse. The service fee shall be paid by the insured.