The Colorado IRS has released the TABOR refund for fiscal year 2023-24. Eligible Coloradans will receive a sales tax refund on income earned over the cap in 2025.
Colorado TABOR Refund Release date 2025
The Taxpayer Bill of Rights limits the amount of revenue that state governments can spend and keep. Thanks to the bill, excess revenue is returned to taxpayers’ pockets through the TABOR refund. The TaCBOR revenue limit for the year is usually equal to the previous year’s limit plus the rate of inflation and population growth.
Eligible Coloradans can expect a TABOR refund after filing their 2025 state income tax returns for excess income in 2023-24. fiscal year. The return of TABOR is calculated through an annual audit of income.
The Department of Revenue announced the refund amount based on the adjusted gross income of the taxpayers and their filing status based on the audit. The report also says that the 2024 TABOR refund due in 2025 will process $89 million in previously underpaid TABOR refunds.
What makes you eligible for Colorado TABOR Refund 2025?
Coloradans who meet the following conditions will qualify for an upcoming Colorado tax refund when they file a tax return by April 15, 2025:
- You are at least 18 years old when the 2024 tax year begins.
- You do not require retentionMr wage refund on your state tax return.
- You are domiciled in Colorado and lived in Colorado during the tax year
- You have no past due Colorado taxes for the previous year.
- You may not need to file a Colorado tax return because you have no obligations or file a federal tax return.
However, if you have met the following, you can claim a TABOR refund by October 15, 2025 when you file your 2024 Colorado tax return or PTC (property/rent/heating tax) rebate:
- The age criterion of 18 here is the same as the TABOR refund criterion above.
- You have a tax obligation to pay state tax and you are seeking a refund of your withheld wages.
- You must file a state tax return because of your obligation or requirement to file a federal tax return.
2025 Colorado TABOR Refund Distribution Methods
According to the auditor, Coloradans will receive their TABOR refund in three ways:
- Tax rate cut: Coloradans filing income taxes in 2024 can expect tax rates to temporarily decrease from 4.45% to 4.25% for their 2025 refund.
- Eligible Colorado residents will receive a tax refund based on a six-tier mechanism based on their adjusted gross income and filing status if the refund amount is more than $15 per person. Refunds will continueMrh income declaration process, so it will be according to the citizen’s income.
- The refund will be used to offset property tax exemptions offered to veterans, seniors, Gold Star spouses or disabled veterans. This part of the TABOR refund is administered by the Ministry of Finance, not the Tax Administration. The Treasury Department issues a check to each county after the county requests reimbursement and submits a financial report to the department to receive reimbursement.
Colorado TABOR Refund Amount in 2025
The Colorado Department of Revenue has updated the refund amount for the 2025 TABOR refund, and taxpayers should be aware that it is not the same as the refund for 2024, where all taxpayers received the same refund of $800.
The 2025 TABOR refund is based on the tax collection process, which includes income tax and property tax, so the amount may vary from taxpayer to taxpayer based on their adjusted gross income and filing status. Eligible Colorado residents can check the refund amount below based on the following factors:
| AGI ranges | Individuals Taxpayers | Married, but they endure together |
| Maximum income of $53,000 | 177 dollars | 354 dollars |
| $53,001 – $105,000 | 240 dollars | 480 dollars |
| $105,001 – $166,000 | 277 dollars | 554 dollars |
| $166,001 – $223,000 | 323 dollars | 646 dollars |
| $233,001 – $302,000 | 350 dollars | 700 dollars |
| $302,001 or more | 565 dollars | 1130 dollars |
How to apply for Colorado TABOR Refund 2025?
Eligible Coloradans can expect an automatic tax cut of 4.25%, however, for a refund process that includes tax returns, they must ensure that they file their tax return on time in 2025. The tax cut will include the 2024 tax return that is due by April 15, 2025.
So, make sure you file your tax returns on time even if they don’t have tax obligations for Colorado tax returns and the federal tax return filing requirement.
Eligible residents must claim a property/rent/heat tax refund and file a state tax return by October 15, 2025, even if they have no income to report to the agency.
The process for applying for a property tax exemption may differ depending on the platform you use or how your local government handles property tax because property tax exemptions are administered by the local government.
The amount of TABOR refund to be refunded in 2025 for the fiscal year 2023-24. is out, the revenue audit is complete, and Coloradans can check the amount they can expect in 2025.
