House Committee of Reference Report

Committee on Finance

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This is text that is removed from law.

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February 26, 2026

After consideration on the merits, the Committee recommends the following:

HB26-1048   be amended as follows, and as so amended, be referred to the Committee on Appropriations with favorable recommendation:

Page 1, Line 1Amend printed bill, page 4, line 16, after "July 29, 2029," insert "and

Page 1, Line 2beginning at 11:59 p.m. on July 26, 2030, and ending at 11:59 p.m.

Page 1, Line 3on July 28, 2030, and beginning at 11:59 p.m. on July 25, 2031, and

Page 1, Line 4ending at 11:59 p.m. on July 27, 2031,".

Page 1, Line 5Page 5, after line 10 insert:

Page 1, Line 6"(7)  An exemption established in subsection (3) of this

Page 1, Line 7section shall only be allowed if the estimated adjustment

Page 1, Line 8factor, as defined in sections 39-22-130 (2)(b)(I) and 39-22-123.5

Page 1, Line 9(3.5)(a)(VI), for the applicable state income tax year will be

Page 1, Line 10greater than three and seventy-five one-hundredths percent.".

Page 1, Line 11Renumber succeeding subsection accordingly.

Page 1, Line 12Page 5, line 11, strike "2033." and substitute "2035.".

Page 1, Line 13Page 6, after line 11 insert:

Page 1, Line 14"SECTION 3.  In Colorado Revised Statutes, 39-22-123.5, amend

Page 1, Line 15(3.5)(a)(VI) as follows:

Page 1, Line 1639-22-123.5.  Earned income tax credit - legislative declaration

Page 1, Line 17- repeal.

Page 1, Line 18(3.5) (a)  As used in this subsection (3.5), unless the context

Page 1, Line 19otherwise requires:

Page 1, Line 20(VI)  "EV" means the estimate of the state's nonexempt revenue

Page 1, Line 21for the applicable state fiscal year included in the applicable forecast

Page 1, Line 22excluding the projected aggregate amount of the increased portion of the

Page 2, Line 1earned income tax credit allowed pursuant to subsection (3.5)(b) or

Page 2, Line 2(3.5)(c) of this section, and the projected aggregate amount of the credit

Page 2, Line 3allowed pursuant to section 39-22-130, created in House Bill 24-1311,

Page 2, Line 4enacted in 2024, and the revenue loss attributable to the sales

Page 2, Line 5and use tax exemption allowed pursuant to section 39-26-735,

Page 2, Line 6created in House Bill 26-1048, enacted in 2026, for the given income

Page 2, Line 7tax year.

Page 2, Line 8SECTION 4.  In Colorado Revised Statutes, 39-22-130, amend

Page 2, Line 9(2)(b)(II)(E) as follows:

Page 2, Line 1039-22-130.  Family affordability tax credit - tax preference

Page 2, Line 11performance statement - legislative declaration - definitions - repeal.

Page 2, Line 12(2)  As used in this section, unless the context otherwise requires:

Page 2, Line 13(b) (II)  As used in this subsection (2)(b):

Page 2, Line 14(E)  "EV" means the estimate of the state's nonexempt revenue for

Page 2, Line 15the applicable state fiscal year included in the applicable forecast

Page 2, Line 16excluding the projected aggregate amount of the tax credit allowed

Page 2, Line 17pursuant to this section, and the projected aggregate amount of the

Page 2, Line 18increased portion of the earned income tax credit allowed pursuant to

Page 2, Line 19section 39-22-123.5 (3.5), created in House Bill 24-1134, enacted in

Page 2, Line 202024, and the revenue loss attributable to the sales and use tax

Page 2, Line 21exemption allowed pursuant to section 39-26-735, created in

Page 2, Line 22House Bill 26-1048, enacted in 2026, for the given income tax year.".

Page 2, Line 23Renumber succeeding section accordingly.