Colorado DOR Issues Revised Information on Credit for Income Tax Paid to Another State

The Colorado Department of Revenue (DOR) Jan. 1 issued revised information on the individual income tax credit for income tax paid to another state. Colorado resident taxpayers may claim a credit on their Colorado returns for income tax paid to another state for the same tax year. The credit is subject to several requirements and limitations. Nonresidents can’t claim the credit. The information includes: 1) the conditions to qualify for the credit; 2) that the credit is allowed only for state taxes imposed on a taxpayer’s income; 3) that the credit is allowed for the net amount of income tax ...