Colorado Modifies Charitable Status Determination for Sales, Use Tax

The Colorado Governor signed a law modifying the determination process for charitable organization status for sales and use tax purposes. The law establishes that the Department of Revenue must presume an organization with an IRS 501(c)(3) determination letter qualifies as charitable, while maintaining that a change in 501(c)(3) status alone doesn’t disqualify an organization. The law takes effect Aug. 12. [S.B. 9, enacted 04/20/26]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.