Types of Business Taxes
SALES/USE TAX
Overview
Sales Tax Licenses
FYI Sales Tax Licenses
This FYI explains standard sales tax licenses, other types of sales, special event sales tax licenses, and other sales tax information.
Consumer Use Tax
FYI Consumer Use Tax
This FYI provides general information and explains delivery into another taxing jurisdiction, building materials, motor vehicle sales and leasing, and when sales tax is owed instead of use tax.
Special Sales Tax Situations
Small home businesses
FYI Small Home Businesses
This FYI reviews requirements for small home businesses regarding the sales tax license.
Specific Businesses or Types of Sales
Special sales tax regulations apply to specific businesses and certain types of sales. Examples of these specific businesses or sales include automotive repair, consigned merchandise sales, coupons and gift certificates, janitorial services, maintenance and decorating services, etc. A list of FYI publications regarding the special sales tax regulations for specific situations is online at http://www.revenue.state.co.us/TPS_Dir/Sales.html
Levels of Governmental Agencies for Sales Tax
Numerous governmental agencies access sales/use taxes in Colorado. These entities include the State of Colorado, the counties, various regional/special districts, and cities. The Colorado Department of Revenue issues a "Colorado Sales/Use Tax Rate" publication twice a year on January 1 and July 1. This publication explains each level of sales/use tax, the applicable area or goods, the rate, any allowed service fee deduction, and the form on which the tax is remitted. See "Colorado Sales/Use Tax Rate, DRP 1002 Colorado Sales/Use Tax Rates
State of Colorado
The state sales and use tax rate is 2.9%. For sales tax there are certain exemptions: food for home consumption; machinery and machine tools used in manufacturing; gas, electricity, fuel oil, wood, etc. for home use. For sales tax a deduction for a service fee to the vendor (3 1/3%) is allowed for each applicable tax if sales taxes are paid on or before a due date. Sales Taxes are remitted on Form DR 0 100 Combined Retail Sales Tax Return.
Sales Taxes due from home businesses and isolated sales are remitted on Form DR 0100A Combined Annual Retail Sales Tax Return (For Use by Home Business And for Isolated Sales)
The remittance form for "Special Event" sales is DR 0098. It is attached to the Vendor Special Event License Application.
Use taxes for the State of Colorado and the three service/taxing districts described below are remitted on Form DR 0252 Consumer Use Tax Return.
Various Service and Taxing Districts
Regional Transportation District (RTD). This district includes Boulder County and the rate is 0.6%.
Scientific and Cultural Facilities District (CD). This district sales tax applies to all sales which are subject to the RTD tax and the rate is 0.1%.
FootballStadium District (BD). This district sales tax applies to all sales that are subject to the RTD tax and the rate is 0.1%.
The combined total for these three service/taxing districts is .8%.
Boulder County
The State of Colorado collects sales taxes for Boulder County. Boulder County's tax rate is .55%. Read the Colorado Sales/Use Tax Rates for Sales Tax Exempt items, items covered by the use tax, and any service fee.
The City of Lafayette
The Finance Department is responsible for sales tax collections and licensing.
The City of Lafayette is a Home Rule city for which the State does NOT collect local sales or use taxes. The sales tax rate is 3.50%.
The combined local sales/use tax rate for applicable sales in the City of Lafayette is 8.4%.
PROPERTY TAX
Local property taxes, residential and commercial, are administered by county government.
Sources of property tax information:
Boulder County Assessor's Office
Boulder County Courthouse, Second Floor
13th and Pearl Street P.O. Box 471
Boulder, CO 80306
T(303)441-3530
T(303)441-4532 Commercial Department
F(303)441-4525
http://www.co.boulder.co.us/assessor/
The Assessor's Office Web site provides contact information and an explanation of the "Assessment Process." The Boulder County Assessment Process information includes general information, the Assessment Calendar, Taxes are Determined, and the Property Tax Process. The Web site also provides information regarding "Assessment Abstract and Summary of Tax Levies" by year and the various departments within the assessor's office.
Property Tax Components
Assessment
Taxes on residential and commercial/industrial property are levied against a taxable (or "assessed") value. The current commercial assessment rate is 29% of assessed value for commercial property and vacant land. The current residential assessment rate is 9.74% of assessed value for residential property (anywhere people live).
Mill Levies
In Lafayette, an annual property tax of 75.179 mills (a mill is 1/10th of 1 percent) is levied on real and personal property. 1999 Levies (payable in 2000):
Boulder County 19.835
Boulder Valley School District 42.890
City of Lafayette 11.860
Urban Drainage and Flood Control .594
Total Mills 75.179
Other Possible Levies
Your business property may be located in an area of Lafayette that has additional tax levies such as a Fire, Water, Improvement, or Bond District.
Calculation of Commercial Property Tax
Property taxes per $100,000.00 of assessed value:
$100,000.00 x 29% = $29,000.00
x .075179 = $ 2,180.19 annual commercial property tax
OTHER TAXES
Your business may be subject to other taxes.
Arrange for Income Taxes
State
Federal
Determine What Other Taxes Apply
Excise
Mileage and Fuel Tax
Withholding for Employees - DRP 1098 Colorado Income Tax Withholding Tables for Employers
|
