Taxation in Colorado

Updated on Monday 09th July 2018

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Colorado is among the most preferred states for business in the USA considering the opportunities and the preferential taxation system for companies. For instance, the corporate income tax in Colorado is at a flat rate of 4.63%, but the federal corporate tax is established by the brackets structure. Our company formation agents in USA can offer in-depth information about the tax system in Colorado and about the main steps for opening a company in USA.

The federal corporate income tax applied in Colorado

The federal corporate income tax in Colorado is bracketed in accordance with the registered income, as seen in the table below:
Income Tax Rate
Up to $50,000 15%
Between $50,000 and $75,000 $7,500 + 25% of the amount over 50,000
Between $75,000 and $100,000 $13,750 + 34% of the amount over 75,000
Between $100,000 and $335,000 $22,250 + 39% of the amount over 100,000
Between $335,000 and $10,000,000 $113,900 + 34% of the amount over 335,000
Between $10,000,000 and $15,000,000 $3,400,000 + 35% of the amount over 10,000,000
Between $15,000,000 and $18,333,333 $5,150,000 + 38% of the amount over $15,000,000
$18,333,333 and more $6,416,667 + 35% of the amount over $18,333,33

For a better understanding of the corporate tax in Colorado, please feel free to get in touch with our company incorporation representatives in USA. Also, if you would like to know how a business is registered in this state, we invite you to read the general guide to company incorporation in Colorado.

What is the sales tax in Colorado?

The sales tax in Colorado is set at a 2.9% rate and it is imposed on goods and services for retail purposes in this state. It is good to know that cities in Colorado can impose their own sales taxes besides the standard rate mentioned above.

Other Colorado tax facts

In Colorado, there is no inheritance tax, no gift tax on property transfers, and no personal property tax. The Department of Revenue in Colorado allows natural persons and companies to file the tax forms and make online payments. Also, multistate companies in USA must consider the tax structure for each state where they have registered activities.

You can contact our team of company formation consultants in USA for extra information about the taxation in Colorado, and also about how you can start a business in USA.