Category Archives: Colorado Legislature

Jan 19

2020 Triggers Blue State Tax Cuts, As Colorado Shows How To Insulate A State From Higher Taxes And Unsustainable Spending

Posted on by

The new year has brought reduced income tax rates to two Democrat-run states: Colorado and Massachusetts. These income tax cuts were the result of two and nearly three decade old laws that triggered this new round of income tax relief in the face of opposition from progressive politicians who control state government in Denver and Boston.

Massachusetts’ flat income tax rate dropped from 5.05% to 5.00% on New Years Day 2020, the result of a ballot measure approved by Massachusetts voters in the year 2000, the implementation of which was subsequently delayed by Massachusetts legislators. Colorado, like Massachusetts, is another state where the ruling political class saw an income tax cut that it opposed take effect on January 1, with the rate dropping from 4.63% to 4.5% for one year. This temporary rate cut is the result of a law approved by Colorado voters eight years before Massachusetts’ two decade-old tax cut-triggering ballot measure.

The temporary income tax cut that recently took effect in Colorado is due to the state’s Taxpayer Bill of Rights (TABOR), an amendment to the state constitution approved by voters in 1992 that to this day is the strongest taxpayer safeguard in the nation. Under TABOR, state revenue cannot grow faster than the combined rate of population growth and inflation. Any state revenue collected in excess of the TABOR cap must be refunded to taxpayers.

To continue reading this story, please click (HERE):

Jan 16

Colorado progressives have a new target in their pursuit of a tax overhaul: the rich. Here’s why:

Posted on by

A host of proposed ballot measures for 2020 and proposals at the state Capitol are putting Colorado’s uneven tax system in the spotlight

The Colorado tax code, it pays to be rich and it’s expensive to be poor.

For decades now, that’s been the stark takeaway buried inside the 286-page report on Colorado’s tax system the state Department of Revenue releases every two years: The less you make, the more you spend on taxes, as a percentage of your income.

But despite growing public frustration over income inequality and the state’s rising cost of living, the tax disparities apparent in Colorado’s law have drawn little political attention.

That is, until now. After years of defeats at the ballot box, progressive advocates believe they’ve landed on a tax plan that can resonate with Colorado voters: making the rich pick up more of the bill.

The Colorado Fiscal Institute in December introduced 35 possible ballot proposals that would advance the idea and ask voters to re-establish a graduated income tax in the state for the first time in more than 30 years. Structured like the federal income tax, graduated or progressive state tax brackets would levy higher tax rates based on how much money residents make.

To read the rest of this story, please click (HERE):

Jan 13

Coming This Spring: TABOR-Triggered Income Tax Relief in Colorado

Posted on by
Tax Foundation@taxfoundation
 
A pleasant surprise awaits Coloradans when they file their taxes this spring: a reduced tax rate of 4.5 percent will apply to income earned in 2019

January 6, 2020

Katherine Loughead

A pleasant surprise awaits Coloradans when they file their taxes this spring: a reduced tax rate of 4.5 percent (rather than the usual flat rate of 4.63 percent) will apply to income earned in 2019. This temporary income tax rate reduction, which will be enjoyed by individuals, pass-through businesses, and corporations alike, was triggered because state tax collections exceeded the Taxpayer’s Bill of Rights (TABOR) revenue limit by $428 million in fiscal year (FY) 2019.

TABOR, enshrined in the state constitution since it was approved by voters in 1992 (but amended by a an increased “Referendum C” cap in 2005), places an annual limit on state revenue growth, capping it at the prior year level after adjusting for inflation, population growth, and any voter-approved revenue changes. Any collections above that limit, by default, are returned to taxpayers unless a majority of voters authorize the state to retain the surplus.

The Colorado Constitution does not prescribe specific refund mechanisms but instead authorizes the General Assembly to make those determinations. Under current law, TABOR surpluses can be returned to taxpayers using up to three refund mechanisms: a property tax exemption reimbursement to local governments, a “sales tax refund,” and a temporary reduction in the state’s income tax rate. The income tax rate reduction is the most difficult to trigger since it requires the largest amount of revenue.

Jan 10

The Arrogant Hyposcrisy of COSenDems and YOUR Taxpayer Dollars

Posted on by

We can’t believe Colorado elected liberals. Keep in mind they’re the ones wasting taxpayer money (that’s your money, not theirs) & they won’t rebuild your roads and bridges

 

Excuse me but you sure sound like hypocrites
So are you following the will of the voters or not?

Prop 112 fails as voters say no to larger setbacks for oil and gas

DENVER, COLORADO – NOVEMBER 6: Suzanne Spiegel, a proponent of Proposition 112, center, and Tez Diaz, right, hug as they gather together with other organizers of Proposition 112 to concede defeat during the watch party for supporters for Proposition 112 at Big Trouble Restaurant inside Zeppelin Station on November 6, 2018 in Denver, Colorado. Colorado voters defeated their measure that would have created larger setbacks for oil and gas. (Photo by Helen H. Richardson/The Denver Post)

http://www.denverpost.com/…/colorado-proposition-112…/

And don’t forget what Colorado voters also said…

Colorado Prop CC: Effort to end TABOR refunds fails

DENVER, CO – NOVEMBER 05: Proposition CC opponents from left to right, Maggie Lit, Independence Institute and Josh Williams, Independence Institute, Ansley Bradwell, Libre Initiative and Lorenz Isidro, Americans for Prosperity celebrate the their victory at during an opposition watch party at the Great Northern restaurant, election night November 05, 2019. Proposition CC would have allowed the state to permanently keep all the money it collects above the state revenue limit and spend it on public schools, higher, education, roads, bridges, and transit. The opposition wanted the state to continue issuing refunds under the Taxpayer’s Bill of Rights (TABOR) when the state collects revenue in excess of the state’s annual revenue limit. (Photo by Andy Cross/The Denver Post)

http://www.denverpost.com/…/proposition-cc-tabor…/

This proves our point that your party doesn’t care about spending other people’s money and views it as theirs.
Your priorities and morals are completely WRONG!
SMH at the utter hypocrisy of #CoSenDem
#TABOR
#ItsOurMoneyNotYours
#LiveWithinYourBudget

Another arrogant attempt to waste more taxpayer money by @COSenDems

Jan 08

IN RESPONSE | Pols trample on TABOR; let’s demand our petition rights

Posted on by

Douglas Bruce

Re: “Colorado must draw a line between ‘tax’ and ‘fee,’ ” Jan. 6.

As TABOR’s author, I fought many traps our foes set for us. We went down their rabbit trail of theoretical debates … twice.

The 1988 TABOR covered “fees” that yearly increase above inflation. Foes used examples like library card fees increasing 10%, which may be a quarter. “We can’t vote all the time” on trivial sums.

The 1990 fight allowed increases rounded up to the next dollar. Same result. We can’t set a limit — say, $50 million — on a fee increase; they will simply increase 50 fees $40 million each. They will also increase licenses, permits, etc.

In 1992, we switched “fee v. tax ” details for revenue spending limits. The Establishment took OUR bait. The issue was our right to vote at all, and we won. Set the agenda and frame the issue, and you win the debate.

Our foes then violated TABOR for 28 years, by saying road and bridge “fees” are for “enterprises,” though they clearly violate the definition. Ditto hospital provider fees, the Dirty Dozen in 2009, and dozens more.

To continue reading this story, please click (HERE):