2023 Colorado Revised Statutes › Title 39 - TAXATION (§§ 39-1-101 — 39-37-301) › SPECIFIC TAXES (§§ 39-20-101 — 39-37-301) › INCOME TAX (§§ 39-22-101 — 39-22-5508) › Article 22 - Income Tax (§§ 39-22-101 — 39-22-5508) › Part 20 - REFUND OF REVENUES IN EXCESS OF STATE FISCAL YEAR SPENDING LIMITATION (§§ 39-22-2001 — 39-22-2005) › Section 39-22-2002 - Fiscal years commencing on or after July 1, 1998 - state sales tax refund - authority of executive director - repeal

(1)
If, for any state fiscal year commencing on or after July 1, 1998, the amount of state revenues exceeds the limitation on state fiscal year spending imposed by section 20 (7)(a) of article X of the state constitution and voters statewide either have not authorized the state to retain and spend all of the excess revenues for that fiscal year or have authorized the state to retain and spend only a portion of the excess revenues for that fiscal year, the executive director shall, if the amount of the identical individual refund calculated pursuant to subsection (2)(a) of this section exceeds the identical refund threshold, for the taxable year commencing on or after January 1 of the calendar year in which that fiscal year ended, but prior to January 1 of the subsequent calendar year, calculate a temporary state sales tax refund in accordance with the provisions of this section to refund the amount of excess state revenues.
(2)
(a)
For the taxable year commencing on or after January 1 of the calendar year in which that fiscal year ended, but prior to January 1 of the subsequent calendar year, the executive director shall divide the total amount of excess state revenues by the number of qualified individuals expected to claim a refund to determine the amount of the refund that each such qualified individual would receive if each individual received an identical refund.
(b)
If the amount of the identical individual refund calculated pursuant to subsection (2)(a) of this section is less than or equal to the identical refund threshold, the executive director shall allow each qualified individual an identical refund in the manner set forth in section
39-22-2003 (3)(a) and (3)(b)
.
(3)
As used in this section, unless the context otherwise requires, "excess state revenues" means the total amount of the state revenues for the state fiscal year in excess of the limitation on state fiscal year spending imposed by section 20 (7)(a) of article X of the state constitution, that voters statewide have not authorized the state to retain and spend, that the state is required to refund under section 20 (7)(d) of article X of the state constitution, including any adjustment for amounts specified in section 24-77-103.7 or 24-77-103.8, and that are not refunded by another method established by law
(a)
[Repealed by 2024 Amendment.]
(b)
[Repealed by 2024 Amendment.]
(c)
Repealed.
(3.5)
As used in this section, unless the context otherwise requires, "identical refund threshold" means an amount equal to one-half of the lowest amount listed for married, filing jointly, for Colorado in the most recent table prescribed pursuant to section 164 (b)(5)(H)(ii) of the internal revenue code; except that if, by September 1 of any calendar year, the executive director has not received advice from the internal revenue service that such an identical refund is regarded as a refund of sales tax and not as an accession to wealth, the identical refund threshold is fifteen dollars.
(4)
No later than October 1 of any given calendar year commencing on or after January 1, 1999, during which the controller certifies, in accordance with the provisions of section
24-77-106.5
, that state revenues exceed the limitation on state fiscal year spending imposed by section 20 (7)(a) of article X of the state constitution for the fiscal year ending in that calendar year, the executive director shall, if the amount of the identical individual refund calculated pursuant to subsection (2) of this section exceeds the identical refund threshold, calculate the income classifications and the amount of the refund allowed for each income classification pursuant to section
39-22-2003 (3)
for the taxable year commencing during said fiscal year that would refund the amount of excess state revenues that is not refunded by another method established by law.
(5)
If one or more ballot questions are submitted to the voters at a statewide election to be held in November of any given calendar year commencing on or after January 1, 1999, that seek authorization for the state to retain and spend all or any portion of the amount of excess revenues for the fiscal year ending during said calendar year, no later than October 1 of said calendar year, the executive director shall, in addition to the calculations required by subsection (4) of this section:
(a)
(I)
Calculate the amount of the state sales tax refund that each qualified individual would receive if each individual received an identical refund by dividing the total amount of excess state revenues required to be refunded if one or more of such ballot questions are approved by voters statewide and that is not refunded by another method established by law by the number of qualified individuals expected to claim a refund;
(II)
Calculate the amount of the state sales tax refund that each qualified individual would receive if each individual received an identical refund by dividing the total amount of excess state revenues required to be refunded if all of such ballot questions are not approved by voters statewide and that is not refunded by another method established by law by the number of qualified individuals expected to claim a refund;
(b)
If the amount of any identical refund calculated pursuant to subsection (5)(a)(I) of this section exceeds the identical refund threshold, calculate income classifications and the amount of the refund to be allowed for each income classification pursuant to section
39-22-2003 (3)
for the taxable year commencing during said fiscal year that would refund the amount of excess state revenues, if any, required to be refunded if one or more of such ballot questions are approved by voters statewide;
(c)
If the amount of the identical refund calculated pursuant to subsection (5)(a)(II) of this section exceeds the identical refund threshold, calculate income classifications and the amount of the refund to be allowed for each income classification pursuant to section
39-22-2003 (3)
for the taxable year commencing during said fiscal year that would refund the amount of excess state revenues, if any, required to be refunded if all of such ballot questions are not approved by voters statewide.
(5.5)
(a)
In addition to the calculations otherwise required by this section, no later than October 1, 2023, the executive director shall calculate the amount of the identical individual refund calculated pursuant to subsection (2)(a) of this section and the income classifications and the amount of the refund allowed for each income classification pursuant to section
39-22-2003 (3)
for the taxable year commencing during the fiscal year based on the amount of excess state revenues that will be refunded under section
39-3-210
with or without the provisions of Senate Bill 23-303 taking effect.
(b)
This subsection (5.5) is repealed, effective July 1, 2024.
(6)
(a)
Upon calculating the amount of any identical individual sales tax refund and, if necessary, income classifications and the amount of the refund for each income classification in accordance with the provisions of this section, the executive director shall notify in writing the executive committee of the legislative council created pursuant to section
2-3-301 (1)
, C.R.S., of any such calculations and the basis for such calculations. Such written notification shall be given within five working days after such calculations are completed, but such written notification shall be given no later than October 1 of the calendar year.
(b)
It is the function of the executive committee to review and approve or disapprove such calculated identical individual sales tax refund or such calculated income classifications and refund amount for each income classification within twenty days after receipt of such written notification from the executive director. Any such income classification or refund amount calculated pursuant to the provisions of this section that is not approved or disapproved by the executive committee within said twenty days shall be automatically approved; except that, if within said twenty days the executive committee schedules a hearing on such income classification or refund amount, such automatic approval shall not occur unless the executive committee does not approve or disapprove such income classification or refund amount after the conclusion of such hearing. Any hearing conducted by the executive committee pursuant to the provisions of this paragraph (b) shall be concluded no later than twenty-five days after receipt of such written notification from the executive director.
(c)
(I)
If the executive committee disapproves any income classification or refund amount calculated by the executive director pursuant to this section, the executive committee shall specify such income classification or refund amount to be implemented by the executive director. Any income classification or refund amount specified by the executive committee pursuant to this subparagraph (I) shall be calculated or adjusted in accordance with the provisions of this section.
(II)
The executive director shall not adjust any income classification or refund amount that has not been approved pursuant to the provisions of paragraph (b) of this subsection (6) or otherwise specified pursuant to subparagraph (I) of this paragraph (c).
(7)
[Repealed by 2024 Amendment.]
Amended by 2024 Ch. 170,§ 4, eff. 5/14/2024.
Amended by 2023 Ch. 258,§ 18, eff. 5/24/2023.
L. 99: Entire part added, p. 1307, § 1, effective August 4. L. 2002: (1), (4), (5)(b), and (5)(c) amended, p. 1075, § 1, effective June 1; (1), (4), (5)(b), and (5)(c) amended, p. 716, § 6, effective August 7; (1), (4), (5)(b), and (5)(c) amended, p. 736, § 6, effective August 7. L. 2015: (3) amended, (HB 15-1367), ch. 271, p. 1077, § 16, effective June 4.
Subsection (3)(c)(II) provided for the repeal of subsection (3)(c), effective July 1, 2017. (See L. 2015, p. 1077.)
For the legislative declaration in HB 15-1367, see section 1 of chapter 271, Session Laws of Colorado 2015.