House Committee of Reference Report

Committee on Finance

All text that will be removed from the bill will be indicated by strikethrough as follows:

This is text that is removed from law.

Text that is added to a bill will be indicated by either all capitals or bold & italic as follows:

  • This all capitals text would be added to law.
  • This is bold & italic text that would be added to law.

March 9, 2026

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

HB26-1223   be amended as follows, and as so amended, be referred to the Committee on Appropriations with favorable recommendation:

Page 1, Line 1Amend page 5, line 16, strike "House Bill 26- ;" and substitute

Page 1, Line 2"House Bill 26-1223;".

Page 1, Line 3Page 7, after line 13 insert:

Page 1, Line 4"(f)  "Joint filer adjusted base income" means, for income

Page 1, Line 5tax years commencing before January 1, 2034, an amount of

Page 1, Line 6adjusted gross income equal to the amount of adjusted gross

Page 1, Line 7income determined by the department pursuant to section

Page 1, Line 839-22-130 (7) to be necessary for two resident individuals who

Page 1, Line 9file a joint return to qualify for the family affordability tax

Page 1, Line 10credit pursuant to section 39-22-130 for the income tax year

Page 1, Line 11commencing on January 1, 2026.

Page 1, Line 12(g)  "Single filer adjusted base income" means, for income

Page 1, Line 13tax years commencing before January 1, 2034, an amount of

Page 1, Line 14adjusted gross income equal to the amount of adjusted gross

Page 1, Line 15income determined by the department pursuant to section

Page 1, Line 1639-22-130 (7) to be necessary for a single resident individual who

Page 1, Line 17files a single return to qualify for the family affordability tax

Page 1, Line 18credit pursuant to section 39-22-130 for the income tax year

Page 1, Line 19commencing on January 1, 2026.".

Page 1, Line 20Page 7, lines 15 and 16, strike "and, for income tax years

Page 1, Line 21commencing on and after January 1, 2027, but before January 1,

Page 1, Line 222034," and substitute "and".

Page 1, Line 23Page 8, lines 4 and 5, strike "and, for income tax years commencing

Page 1, Line 24on and after January 1, 2027, but before January 1, 2034," and

Page 1, Line 25substitute "and".

Page 2, Line 1Page 8, line 27, strike "fifteen thousand dollars;" and substitute "the

Page 2, Line 2single filer adjusted base income;".

Page 2, Line 3Page 9, line 5, strike "twenty-five thousand dollars." and substitute

Page 2, Line 4"the joint filer adjusted base income.".

Page 2, Line 5Page 9, lines 7 and 8, strike "federal adjusted gross income amounts

Page 2, Line 6set forth in this subsection (4)" and substitute "joint filer adjusted

Page 2, Line 7based income and single filer adjusted base income".

Page 2, Line 8Page 9, line 20, after "of" insert "state".

Page 2, Line 9Page 9, line 21, strike "House Bill 26- ," and substitute "House

Page 2, Line 10Bill 26-1223,".

Page 2, Line 11Page 14, after line 5 insert:

Page 2, Line 12"SECTION 5. In Colorado Revised Statutes, 29-2-105, add (11)

Page 2, Line 13as follows:

Page 2, Line 1429-2-105.  Contents of sales tax ordinances and proposals.

Page 2, Line 15(11)  Notwithstanding any provision of law to the

Page 2, Line 16contrary, the sale and use of computer software, as that term

Page 2, Line 17is defined in 39-26-102 (15)(c)(II)(B), is not subject to taxation by

Page 2, Line 18a county or municipality pursuant to parts 1 and 2 of article 26

Page 2, Line 19of title 39, unless the governing body of the county or

Page 2, Line 20municipality by resolution or ordinance approves a proposal for

Page 2, Line 21the taxation of such computer software and the proposal is

Page 2, Line 22submitted to the registered electors of the county or

Page 2, Line 23municipality in a manner that conforms so far as practicable to

Page 2, Line 24the general election laws of the state and with the provisions

Page 2, Line 25of section 20 of article X of the state constitution.

Page 2, Line 26SECTION 6.  In Colorado Revised Statutes, 32-9-119, add (2)(d)

Page 2, Line 27as follows:

Page 2, Line 2832-9-119.  Additional powers of district.

Page 2, Line 29(2) (d)  Notwithstanding any provision of law to the

Page 2, Line 30contrary, the sale and use of computer software, as that term

Page 2, Line 31is defined in 39-26-102 (15)(c)(II)(B), is not subject to taxation by

Page 2, Line 32the district pursuant to parts 1 and 2 of article 26 of title 39,

Page 2, Line 33unless the board by resolution or ordinance approves a

Page 2, Line 34proposal for the taxation of such computer software and the

Page 2, Line 35proposal is submitted to the registered electors of the district

Page 2, Line 36in a manner that conforms so far as practicable to the general

Page 3, Line 1election laws of the state and with the provisions of section 20

Page 3, Line 2of article X of the state constitution.

Page 3, Line 3SECTION 7. In Colorado Revised Statutes, 32-13-107, amend

Page 3, Line 4(1)(a) as follows:

Page 3, Line 532-13-107.  Sales and use tax imposed - collection -

Page 3, Line 6administration of tax - use - definitions.

Page 3, Line 7(1) (a) (I)  Except as otherwise provided in paragraph (b) of this

Page 3, Line 8subsection (1) subsection (1)(b) of this section, upon the approval of

Page 3, Line 9the registered electors pursuant to the provisions of section 32-13-105, the

Page 3, Line 10board has the power to levy such uniform sales and use taxes throughout

Page 3, Line 11the district created in section 32-13-104 upon every transaction or other

Page 3, Line 12incident with respect to which a sales and use tax is levied by the state,

Page 3, Line 13pursuant to the provisions of article 26 of title 39; C.R.S.; except that

Page 3, Line 14beginning July 1, 2016, such sales and use tax shall not be levied or

Page 3, Line 15collected on the sale or use of aviation fuel.

Page 3, Line 16(II)  Notwithstanding any provision of law to the

Page 3, Line 17contrary, the sale and use of computer software, as that term

Page 3, Line 18is defined in 39-26-102 (15)(c)(II)(B), is not subject to taxation by

Page 3, Line 19the district pursuant to parts 1 and 2 of article 26 of title 39,

Page 3, Line 20unless the board by resolution or ordinance approves a

Page 3, Line 21proposal for the taxation of such computer software and the

Page 3, Line 22proposal is submitted to the registered electors of the district

Page 3, Line 23in a manner that conforms so far as practicable to the general

Page 3, Line 24election laws of the state and with the provisions of section 20

Page 3, Line 25of article X of the state constitution.".

Page 3, Line 26Renumber succeeding sections accordingly.

Page 3, Line 27Strike "House Bill 26- " and substitute "House Bill 26-1223" on:

Page 3, Line 28Page 5, lines 1, 13, 18, and 24.