Taylor, who plays for Aston Villa, was sent off for a foul on Coleman in the 69th minute of the 0-0 World Cup qualifying draw between Wales and Ireland in Dublin last month.
The FAW said world governing body FIFA had decided to increase Taylor's automatic one-game ban to a two-match suspension, ruling him out of their next two qualifying matches against Serbia and Austria.
"Following a meeting of FIFA's disciplinary committee, the FAW can confirm that Neil Taylor has been suspended for two matches," the FAW said in a statement.
Everton right-back Coleman broke the tibia and fibula in his right leg and is facing a long spell on the sidelines.