Business Income Tax | Frequently Asked Questions
1. Why do I need to file my business' federal return before my Colorado Income Tax Return?
2. What form do I use if I want to file for an extension of time to file?
Partnerships and S Corporations would use the DR 0158-N. C Corporations use the DR 0158-C. Please note these forms are only for an extension of time to file, not time to pay. Businesses should remit a minimum of 90% of their estimated taxes due on the income tax return due date.
3. Does Colorado tax built-in gains?
Colorado does not tax the built-in gains of an S Corporation, because an S Corporation is not directly subject to Colorado income tax.
4. How do I request a copy of a return that was previously filed?
Visit the Requesting Tax Return Copies web page for information on how to request return copies.
5. How do I give my accountant or other tax professional access to my tax account?
Visit the Third Party Access web page for information on how to give your tax professional access to your tax account.
6. What if my business had a net operating loss?
The Colorado net operating loss of a corporation is computed in the same manner as the federal net operating loss deduction except that in the case of a corporation apportioning income, it is that part of the federal net operating loss, as modified, that is from Colorado sources. Federal limitations on carryover losses between predecessor and successor corporations apply for Colorado income tax purposes.
7. What if I operate a non-profit?
8. What if I don't pay my business' tax liability?
9. How do you file a return for an LLC?
A Limited Liability Company (LLC) is a business organizational structure that is allowed in Colorado. The Department will generally treat the income from your LLC in the same way as indicated on your federal income tax return. Review the LLC classification criteria on the Internal Revenue Service (IRS) website for more information. For example, if you filed as a partnership at the federal level, then you generally would file as a partnership in Colorado, as well.