Tax Expenditure Evaluations

Section 39-21-305(1)(c.5) and (d), C.R.S., requires the State Auditor to evaluate all of the State’s tax expenditures at least once prior to the legislative session before they are scheduled to expire and gives the State Auditor discretion to evaluate an expenditure again if there have been substantial changes to the expenditure. Additionally, Section 39-21-306, C.R.S. requires that we annually report on the impact of the State’s policy of using federal taxable income as the basis for Colorado taxable income including any changes that may significantly impact the State's tax base.

Section 39-21-403(2)(c)(I), C.R.S., requires the Legislative Oversight Committee Concerning Tax Policy to consider our tax expenditure evaluation reports' policy considerations and review of federal income tax law. It also allows the Committee to direct the State Auditor to evaluate up to three additional tax expenditures per year and prepare up to two reports annually on specific and discrete topics related to existing tax policy. We publish evaluation reports as they are completed throughout the year. Our anticipated review schedule through June 30, 2025 is provided below. Please note that this schedule will be updated periodically.

Fiscal Year 2025 Reports