IRS won’t tax Colorado’s 2023 TABOR refunds
The Internal Revenue Service headquarters building appeared to be mostly empty April 27, 2020, in the Federal Triangle section of Washington, D.C.
Coloradans don’t have to worry about paying taxes on their Taxpayer’s Bill of Rights refunds this year.
A spokesperson for Democratic U.S. Sen. Michael Bennet said he confirmed in a meeting with Gov. Jared Polis and Internal Revenue Service leadership Tuesday that TABOR refunds will not be taxed this filing season.
New IRS guidance released in August left the possibility for TABOR refunds to be considered taxable income for the 2023 tax year, and it’s still possible the IRS will tax the refunds in the future.