Colorado DOR Adopts Rule on Income Tax Withholding for Nonresident Real Property Transfers

The Colorado Department of Revenue (DOR) adopted a rule regarding income tax withholding for nonresident transfers of Colorado real property. The rule establishes procedures for withholding agents to report and remit Colorado income tax withheld from transfers of Colorado real property by nonresidents, as well as requirements for submitting written affirmations when no withholding is required. [Colo. Dep’t of Revenue, Reg. Section 39-22-604.5, 01/21/26 Colo. Reg.]