Go to Wolters Kluwer VitalLaw.comGo to Wolters Kluwer VitalLaw.com
VitalLaw®
  • Find answers to your questions
  • Log in to access your subscriptions
In depth. On point.
In depth. On point.
  • Home
  • Legal Directory
  • Home
  • Legal Directory
In depth. On point.
  • Articles
    • Articles
  • Organizations
    • Organizations
    • All States—Multiple Taxes: New Issue of State Tax Review Available
    • California—Miscellaneous Tax: San Francisco Business Tax Measures Fail
    • California—Sales and Use Tax: Contra Costa and Los Angeles Counties Authorized to Impose Tax That Exceeds Cap If Approved by Voters
    • Colorado—Multiple Taxes: Adjustment Required for Calculation and Refunding of Excess State Revenues Under TABOR
    • Colorado—Multiple Taxes: Changes to Combined Reporting, Tax Credits, Exemptions, and More Enacted
    • Colorado—Multiple Taxes: Job Growth Incentive Tax Credit Extended
    • Colorado—Personal Income, Sales and Use Taxes: Software Exemption, Other Credits and Deductions Modified; New Family Affordability Credit Created
    • Colorado—Property Tax: Procedures for Nonresidential Property Revised
    • Colorado—Sales and Use Tax: Firearms and Ammunition Tax Guidance Provided
    • Georgia—Sales and Use Tax: Jet Fuel Tax Rates for Q3 of 2026 Released
    • Georgia—Sales and Use Tax: Local Rate Chart Released for Q3 of 2026
    • Georgia—Sales and Use Tax: New Tax Rate Chart Released for Sales Exempt from Certain Local Taxes
    • Georgia—Sales and Use Tax: Tax Rate Chart for Energy Sold to Manufacturers Issued for Q3 of 2026
    • Illinois—Sales and Use Tax: Guidance Issued on Remote Retailer Amnesty Program
    • Illinois—Sales and Use Tax: July 1 to December 31, 2026 Prepaid Motor Fuel Tax Rates
    • Illinois—Sales and Use Tax: Late Software Lease or Rental Charges Are Taxable
    • Illinois—Sales and Use Tax: Taxation of Medical Infusion Therapy Services Discussed
    • Maryland—Multiple Taxes: Tax Benefits Extended to Space Service Veterans
    • Maryland—Personal Income Tax: 9-1-1 Retirement Income Credit Enacted
    • Minnesota—Property Tax: Guidance Provided for One-Time Increase in Homestead Credit Refunds
    • Missouri—Multiple Taxes: Tax Overhaul Proposed Constitutional Amendment Allowed on August Ballot but Rewritten by Court of Appeals
    • Oklahoma—Liquor Industry Taxes and Control: Additional Distillery Sales Location Allowed
    • Tennessee—Multiple Taxes: Community Development Credit for Financial Institutions Modified
    • Tennessee—Sales and Use Tax: Metropolitan Governments Authorized to Enact Exemption or Reduced Rate for Food
    • Washington—Liquor Industry Taxes and Control: Food Service Options Expanded for Certain Licensees
  • Articles
    • Articles
  • Organizations
    • Organizations

    State Tax Day - Current, S.7, Colorado—Personal Income, Sales and Use Taxes: Software Exemption, Other Credits and Deductions Modified; New Family Affordability Credit Created, (Jun 10, 2026)

    Colorado has enacted legislation modifying sales and use tax exemptions, credits, and deductions and creating a new income tax credit.

    Downloaded software exemption

    The state sales and use tax exemption for downloaded software is narrowed so that only ...

    Colorado has enacted legislation modifying sales and use tax exemptions, credits, and deductions and creating a new income tax credit.

    Downloaded software exemption

    The state sales and use tax exemption for downloaded software is narrowed so that only custom software developed for use by a particular user and software governed by a negotiable license agreement is exempt from tax. All other types of downloaded software are subject to state sales and use tax beginning January 1, 2027.

    Retail food establishment credit for gas and electricity

    Retailers with sales of prepared food are currently allowed a credit for sales tax paid on their purchases of gas and electricity used in the processing of the prepared food. The credit has been codified and expanded. Beginning July 1, 2026, but before July 1, 2046, for retailers with prepared food sales exceeding 25% of total sales revenue, 100% of the purchase price paid for the gas and electricity will be exempt from tax, while those with prepared food sales below this threshold will receive a credit equal to 0.5% of prepared food sales.

    Restaurant, bar, caterer deduction for certain months

    In 2027 and 2028, for July, August, November, and December, certain restaurants, bars, food service contractors, mobile food vendors, and caterers may deduct from state net taxable sales the lesser of:

    • state net taxable sales; or

    • $14,000.

    New family affordability credit

    For income tax years commencing on or after January 1, 2027, Colorado provides a new income tax credit that expands on the state’s efforts to make Colorado more affordable for families. The new credit may be claimed in addition to the existing child tax credit and family affordability credit. The amount of the new credit allowed will depend on the number and age of the taxpayer’s children, the taxpayer’s income, and legislative council staff’s annual revenue projections. The amount by which the credit exceeds a taxpayer’s income tax liability is refundable to the taxpayer.

    H.B. 1223, Laws 2026, effective June 4, 2026, and applicable as noted

    © 2026 CCH Incorporated and its affiliates and licensors. All rights reserved.

    • Manage Cookie Preferences
    • Privacy Statement
    • Terms of Use