DOR Taxation web site

Individual Income Tax

Person Filling out Form     

Colorado has a state income tax. Colorado's individual (personal) income tax rate is a flat 4.63%.

If you lived or worked in Colorado for any part of a calendar year and you are required to file a federal income tax return, you most likely need to file a Colorado state income tax return as well.

For the below incentives and other subtractions and credits that taxpayers have when they file Colorado income tax, see the Colorado Individual Income Tax Booklet (includes full-year, part-year, and nonresident forms).

 

Examples of Colorado Individual Income Tax Incentives

 

  • Pension/Annuity Subtraction: Depending on the age of the pension recipient, the first $20,000 (for persons 55 to 64 years of age) or the first $24,000 (for persons 65 years of age or older) of pension income is not taxed. See publication FYI Income 25.
  • Military Pension Subtraction: The same pension/annuity subtraction applies to military retirement benefits for current military personnel and those receiving retirement benefits. See publication FYI Income 21.
  • Tuition Programs: Payments or contributions made to qualified state tuition savings programs may be subtracted from taxable income. See publication FYI Income 44.
  • United States Government Interest: Interest earned from U.S. government bonds, treasury bills and other United States obligations may be subtracted from taxable income. See publication FYI Income 20.
  • Child Care/Child Tax Credit: Taxpayers with federal adjusted gross income of $60,000 (in some cases $64,000) or less may claim a Colorado child care credit in addition to the federal child care credit. See publication FYI Income 33.
  • Alternative Fuel Vehicle Credit: A Colorado income tax credit for the purchase of a clean burning alternative fuel vehicle is available. See publication FYI Income 9.

 

Colorado's individual income tax return provides a way for taxpayers to donate money to nonprofit programs designated by the Colorado Legislature. For specific information on the nonprofit programs, please visit www.checkoffcolorado.org.