The Colorado Department of Revenue has revealed the TABOR refund for the 2023-24 fiscal year. The eligible Coloradans will receive a sales tax refund, for the revenue generated over the limit in 2025.
Colorado TABOR Refund 2025 Release Date
The Taxpayers Bill of Rights limits the revenue amount that state governments can spend and retain. Thanks to the bill, the excess revenue goes back into taxpayers’ pockets through a TABOR refund. The TaCBOR revenue limit for the year is usually equal to the prior year’s limit with the inflation rate, and population growth.
Eligible Coloradans can expect the TABOR refund after filing their state tax returns in 2025 for the 2023-24 FY excess revenue. The TABOR refund is calculated through the annual revenue audit.
The Department of Revenue has released the refund amount based on the adjusted gross income of tax filers and their filing status based on the audit. The report also says the 2024 TABOR refund due in 2025 will process the $89 million of previously under-refunded TABOR refunds.
What makes you eligible for the Colorado TABOR Refund 2025?
The Coloradans who meet the following eligibility requirements will qualify for the Colorado upcoming Tax Refund when they have to fill tax return by 15 April 2025:
- You have at least attained the age of 18 when the 2024 tax year has begun.
- You are not claiming a withholding wage refund in your state tax return.
- You are a Colorado residence and lived in Colorado for the tax year
- You do not have any due Colorado tax responsibility for the prior year.
- You may not need to file the Colorado tax return due to no obligation or file the federal tax returns.
However, if you have met the following you can claim the TABOR Refund by 15 October 2025 when file your Colorado 2024 tax return or PTC (Property Tax/ Rent/ Heat) rebate:
- The age criteria of 18 years are the same here as the above TABOR refund criteria.
- You have tax liability to pay state tax and you are claiming the withholding wage refund.
- You need to file the state tax return due to your obligation or requirement to file a federal tax return.
Colorado TABOR Refund Distribution Ways 2025
According to the auditor, the Coloradans will receive the TABOR Refund in the following three ways:
- Tax rate reduction: Coloradoans who file the 2024 income tax return can expect the tax rates to reduce from 4.45% to 4.25% temporarily for a refund in 2025.
- The eligible Coloradans will receive the tax refund based on the six-tier mechanism according to their adjusted gross income and filing status if the refund amount is more than $15 per person. The refund will proceed through the income filing process that’s why it will be according to the citizen’s income.
- The refund will be used to reimburse the property tax provisions exemptions offered to veterans, seniors, Gold Star spouses, or veterans with disabilities. This part of the TABOR refund is administered by the Treasury Department, not the Revenue Department. The Treasury Department issues the check to each county after the County requests the reimbursement and presents the financial report to the department to receive the reimbursement.
Colorado TABOR Refund Amount 2025
The Department of Revenue of Colorado has updated the refund amount for the 2025 TABOR refund, and taxpayers should know it’s not the same as the 2024 refund, where all the taxpayers got an equal refund of $800.
The 2025 TABOR refund is based on the tax collection process, which has an income tax and property tax included, so the amount may vary from taxpayer to taxpayer based on their adjusted gross income and filing status. The Coloradans who meet the eligibility condition can check the refund amount below based on the mentioned factors:
| AGI ranges | Individuals Tax filers | Married but filing jointly |
| Maximum income of $53,000 | $177 | $354 |
| $53,001 – $105,000 | $240 | $480 |
| $105,001 – $166,000 | $277 | $554 |
| $166,001 – $223,000 | $323 | $646 |
| $233,001 – $302,000 | $350 | $700 |
| $302,001 or above | $565 | $1,130 |
How to claim the Colorado TABOR Refund 2025?
The eligible Coloradans can expect the tax reduction automatically to 4.25%, however, for the refund process involving tax returns, they have to ensure they file their tax return timely in 2025. The tax reduction will involve a 2024 tax return which is due by 15 April 2025.
So, ensure that you file your tax returns timely even when they have no tax liability for Colorado tax returns and the requirement to file a federal tax return.
Eligible residents must claim the Property tax/ Rent/ Heat rebate and file their state tax return before 15 October 2025, even when they have no income to report to the agency.
The process of filing for property tax exemption may vary depending on the platform you use or the local government’s way of handling the property tax because property tax exemptions are administered by the local government.
The TABOR refund amount due to be refunded in 2025 for the 2023-24 fiscal year is out, the audit of the revenue is completed, and the Coloradans can check the amount they can expect in 2025.
