DENVER —The Colorado Department of Revenue will be meeting to gather input before considering changes to the tax code that would make a movie streamed or downloaded from Amazon — among other digital items — taxable in Colorado, a move that has some questioning if this circumvents the state constitution’s requirement that new or increased taxes get voter approval first.
The “stakeholder workgroup” is scheduled for 10 a.m. Wednesday, March 4 at 1313 Sherman St. Room 220 in Denver to “discuss the promulgation of a sales tax rule to clarify the department’s treatment of digital goods as tangible property.”
The department defines “stakeholder workgroup” as a forum for the department to gather information from stakeholders. It occurs before the actual rulemaking hearing. Stakeholders are defined as “individuals who have particular knowledge of the issues being discussed … to provide relevant information, opinions, and constructive feedback and suggestions.”
The public is invited to give input. Anyone who cannot attend in person can request a conference number to call in at dor_taxrules@state.co.us or by submitting comments via email to the same address.
According to a draft of the proposed change to rule 39-26-102(15) “Tangible Personal Property,” “the purpose of this rule is to provide clarification on the definition of tangible personal property.”
Laura Carno, founder of SpringsTaxpayers.com, said regardless of what they choose to call it, when they take more money from the people, they need to ask permission. She called this process a violation of the Taxpayer’s Bill of Rights (TABOR).
“The fact that they are doing this through rulemaking instead of doing it properly by asking the voters shows the contempt they have for taxpayers.,” Carno said. “They just look at us as their ATM.”