Consumer Use Tax -- Quick Answers

Every state that has a sales tax also has a “companion” tax for purchases made outside the state through online, telephone or catalog ordering services. In Colorado, this tax is called “use tax.” To be compliant with tax laws, the purchaser of goods from outside Colorado must report and pay use tax when sales tax is not collected by the seller on a taxable item, such as clothing, electronics, appliances or other tangible property.