Skip to main content
Colorado General AssemblyToggle Main Menu
Agency NameToggle Agency Menu

Exempt Certain Businesses From Destination Sourcing Rule

Concerning an exemption for certain businesses from the destination sourcing rule for sales tax collection requirements.
2019 Regular Session
Fiscal Policy & Taxes
Bill Summary

On December 18, 2018, the department of revenue adopted various emergency rules related to sales tax collection, including a new destination sourcing rule that requires retailers to collect sales tax based on where the tangible personal property or service will be delivered instead of based on the taxing jurisdiction in which the retailer is located.

The bill specifies that the new destination sourcing rule does not apply to any retailer with physical presence that has generated less than $100,000 in gross revenue from the sale of tangible personal property or services outside of the taxing jurisdiction where the retailer is located. For those particular retailers with physical presence, the sale is sourced to the retailer's location, regardless of whether the tangible personal property or service is delivered outside of the taxing jurisdiction in which the retailer is located. The bill also adds the same exception to the statutory retailer's use tax collection requirement.

(Note: This summary applies to this bill as introduced.)




Bill Text


Sponsor Type Legislators
Prime Sponsor

Sen. R. Woodward
Rep. J. Arndt, Rep. K. Van Winkle


Sen. J. Tate
Rep. C. Larson


Colorado legislature email addresses ending in are no longer active. Please replace with for Colorado legislature email addresses. Details

The effective date for bills enacted without a safety clause is August 7, 2024, if the General Assembly adjourns sine die on May 8, 2024, unless otherwise specified. Details