Legislative Oversight Committee Concerning Tax Policy. The bill changes how income tax expenditures that benefit individuals engaged in military service are provided as follows:

• Beginning with income tax years commencing on or after January 1, 2027, section 2 of the bill eliminates the state income tax subtraction for an amount equal to any compensation received for active duty service in the armed forces of the United States by an individual who has reacquired residency in the state to the extent that the compensation is included in federal taxable income; and
• For income tax years commencing on or after January 1, 2027, but before January 1, 2032, section 3 allows a refundable income tax credit (credit) as a form of tuition assistance to an actively serving member of the Colorado National Guard who is eligible for tuition assistance (eligible member) under an existing statutorily-authorized program (program) administered by the department of veterans and military affairs (department).

To claim the credit, an eligible member must obtain a tax credit certificate issued by the department for each academic semester or quarter for which tuition assistance is awarded in the form of the credit.

The criteria for receiving a tax credit certificate are generally the same as the criteria for receiving other tuition assistance under the program; except that, to be eligible for a tax credit certificate, an eligible member must apply for all federal government tuition assistance that is not required to be repaid and that is generally made available to eligible members and not to the general population and must use all federal government tuition assistance received. The total amount of tuition assistance that an eligible member to whom the department has issued a tax credit certificate may obtain under the program, including the credit, is subject to existing program limits. In addition, the department may issue no more than $1 million in tax credit certificates for any income tax year.

Section 1 makes conforming amendments.
(Note: This summary applies to this bill as introduced.)

The bill creates 2 income tax subtractions for income tax years commencing on or after January 1, 2027, but before January 1, 2038. The first subtraction is for an amount equal to state capital gains that are realized by a taxpayer during the taxable year for the conversion by an increment of at least 20% ownership to a qualified employee-owned business of a qualified business. The taxpayers that are eligible for this subtraction are the same taxpayers that would be eligible for the tax credit for conversion costs for employee business ownership.

The second subtraction is allowed to worker-owned cooperatives in an amount equal to the worker-owned cooperative's federal taxable income for the tax year not to exceed $1 million.

The bill also makes changes to the tax credit for conversion costs for employee business ownership (credit). Under current law, the credit is available through income tax year 2026. The bill extends the credit through income tax year 2037. The bill also specifies that the aggregate amount of credits that can be claimed for each income tax year commencing on or after January 1, 2026, but before January 1, 2032, is $3 million and that the aggregate amount of credits that can be claimed for each income tax year commencing on or after January 1, 2032, but before January 1, 2038, is $4 million. The percentage of conversion or expansion costs that are eligible to be claimed for the credit is currently 50%; however, the bill increases this percentage to 75% beginning in tax year 2026 while maintaining the existing dollar caps for the different methods of conversion.

Additionally, the bill revises several definitions to expand eligibility for the credit and allows for qualified support entities, which are nonprofit organizations that provide services to businesses that qualify under the credit to convert or expand to employee-ownership, to be eligible to receive the credit for up to 75% of the costs incurred for providing such support, including for staff salaries and benefits, marketing and outreach, and consulting and technical assistance not to exceed $167,000.

The bill makes conforming amendments to several of the credit's expanded definitions that are also applicable to the tax credit for new employee-owned businesses.

(Note: This summary applies to this bill as introduced.)

Legislative Oversight Committee Concerning Tax Policy. For income tax years commencing on or after January 1, 2025, the bill both:

• Increases the amount of federal taxable income a taxpayer may have and still qualify for the state income tax credit for purchasing long-term care insurance and annually adjusts that federal taxable income amount for inflation; and
• Doubles the amount of the credit a taxpayer may claim and, for income tax years commencing on or after January 1, 2026, annually adjusts the credit amount for inflation.
  (Note: This summary applies to this bill as introduced.)

Legislative Oversight Committee Concerning Tax Policy. The bill creates an online database managed by the department of revenue that includes information on all qualifying state tax expenditures and state grant opportunities. A state grant opportunity is any grant funded by state money or administered by the state. A qualifying state tax expenditure is any state tax expenditure for which at least one of the following applies:

• A limited amount of dollars or credits is available;
• To qualify for the tax expenditure, a discretionary determination made by a state agency is necessary; or
• To qualify for the tax expenditure, a person must submit an application to and receive a certificate or other designation of approval from a state agency.

The database must be created by December 31, 2026, and must be reviewed and updated on an annual basis.

(Note: This summary applies to this bill as introduced.)

Pension Review Commission. The bill creates a refundable income tax credit that is available for income tax years commencing on or after January 1, 2025, but prior to January 1, 2027, for a qualifying public employees' retirement association retiree, which means a full-time Colorado resident individual who:

• Is 65 years of age or older at the end of the 2025 or 2026 income tax year; and
• Has an annual federal adjusted gross income of no more than $38,000 as a single filer or $76,000 as a joint filer.
  (Note: This summary applies to this bill as introduced.)

Section 2 of the bill:

• Prohibits a person from offering, displaying, or advertising pricing information for a good, service, or property unless the person discloses the maximum total (total price) of all amounts that a person may pay for the good, service, or property, not including a government charge or shipping charge (total price disclosure requirement);
• Prohibits a person from misrepresenting the nature and purpose of pricing information for a good, service, or property;
• Requires a person to disclose the nature and purpose of pricing information for a good, service, or property that is not part of the total price; and
• Prohibits a landlord from requiring a tenant to pay certain fees, charges, or amounts.

A person does not violate the total price disclosure requirement if the person does not use deceptive, unfair, and unconscionable acts or practices related to the pricing of goods, services, or property and if the person:

• Is a food and beverage service establishment that :

• includes a disclosure in the total price for a good or service the amount of any mandatory service charge and how the mandatory service charge is distributed; and
• Distributes any mandatory service charge exclusively to nonmanagerial employees in accordance with applicable laws; or
• Can demonstrate that the total price of services the person offers is indeterminate at the time of the offer and clearly and conspicuously discloses the factors that determine the total price, any mandatory fees associated with the transaction, and that the total price may vary;
• Can demonstrate that the person is governed by and compliant with applicable federal law , rule, or regulation regarding pricing transparency for the particular transaction at issue;
• Can demonstrate that any fees, costs, or amounts in addition to the total price are associated with real estate settlement services and are not broker commissions or fees; or
• Can demonstrate that the person is providing broadband internet access service and is compliant with specified federal law .

A person is exempt from the bill if the person can demonstrate compliance with federal law that regulates pricing transparency for the transaction at issue and that the federal law preempts state law. Additionally, the bill does not require a landlord or landlord's agent to include, in the required disclosure, the actual amount charged for utility services provided to a tenant's dwelling unit.

A violation of the above prohibitions and requirement (violation) constitutes a deceptive, unfair, and unconscionable act or practice.

Section 2 also, along with any other remedies available by law or in equity, allows a person aggrieved by a violation to bring a civil action and send a written demand for the violation. If a person declines to make full legal tender of all fees, charges, amounts, or damages demanded or refuses to cease charging the aggrieved person within 14 days after receiving the written demand, the person is liable for the greater of: actual damages plus 18% interest, compounded annually.

• 3 times the actual damages incurred; or
• At least $100 to no more than $1,000 per person per violation.

Current law prohibits a written rental agreement from including a provision requiring a tenant to pay a markup or fee for a service for which the landlord is billed by a third party. Section 3 changes that provision to prohibit Section 4 prohibits the inclusion of a provision in a written rental agreement that requires a tenant to pay a fee , charge, or amount that is a violation violates a requirement under section 2 of the bill .

(Note: Italicized words indicate new material added to the original summary; dashes through words indicate deletions from the original summary.)

(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

The bill requires each entity that does business in Colorado and has total revenues exceeding $1 billion in the preceding calendar year (reporting entity) to publicly disclose its total greenhouse gas emissions during the preceding calendar year. For scope 1 and scope 2 emissions, the reporting requirements begin January 1, 2028. For scope 3 emissions, the initial reporting requirements begin January 1, 2029, and are updated on January 1 each year thereafter. A reporting entity must have each of its disclosures independently verified by a third-party auditor.

A district attorney or the attorney general may bring a civil action against a reporting entity for failing to comply with the disclosure requirements. A court may require a noncompliant reporting entity to pay a civil penalty in an amount not to exceed $100,000 for each day of noncompliance.

(Note: This summary applies to this bill as introduced.)

The bill creates a new income tax credit in an amount equal to the purchase price of a firearm safety device, not to exceed $200, that is purchased by an eligible taxpayer from a federally licensed dealer (credit). A firearm safety device is a device that is designed or can be used to store a firearm and is designed to be unlocked only by means of a key, a combination, or by other similar means. The credit is available for income tax years 2027 and 2028, and if the amount of the credit exceeds the eligible taxpayer's tax liability, the credit may be carried forward for a period of 5 income tax years. In addition, the maximum amount of aggregate credits that can be claimed in an income tax year is $5 million.
(Note: This summary applies to this bill as introduced.)

Currently, the advanced industry investment tax credit (credit) expires on December 31, 2026. The bill extends the credit until December 31, 2031. The credit is currently available to a qualified investor that makes a qualified investment in a qualified small business that is in an advanced industry. On and after January 1, 2028, the credit is also available to a qualified investor that makes a qualified investment in a qualified small business that is not an advanced industry business, operates in the manufacturing sector, generates revenue from operations, is a primary employer, is producing a product that is distributed outside of Colorado, and, in the judgment of the Colorado office of economic development (office), is a commercially scalable and capital-intensive business that will bring incremental income to the local economy.

The bill changes the definition of "qualified investment" by eliminating the current prohibition against a qualified investor having more than 30% of the voting power in the qualified small business before the investor makes a qualified investment and more than 49% of the voting power in the qualified small business after making a qualified investment.

The bill changes the definition of "qualified investor" by clarifying that an entity subject to income tax may qualify as an investor, except that a C corporation, including any limited liability or other legal entity treated as a C corporation for federal and state income tax purposes, is not a qualified investor. A qualified investor may include a partner, shareholder, or beneficiary that is allocated a credit. A qualified investor does not include a person that had control of a qualified small business for 6 months preceding or following the date of the investment in the qualified small business. A founder, employee, or contractor or a spouse of a founder, employee, or contractor of a qualified small business is not a qualified investor. A person that has invested more than $50,000 in the qualified small business or owns more than 10% of the qualified small business on a fully diluted basis is not a qualified investor.

The office administers the credit. The office may certify a small business as a qualified small business until October 1, 2031. A small business certified as a qualified small business must report to the office as requested to confirm the certified small business's status as a qualified small business. The office may require a qualified small business to provide information to confirm that a qualified investment has been made in the qualified small business, the intended use of the qualified investment, and the expected number of new employees that will be hired by the qualified small business as a result of the qualified investment. A qualified small business that receives a qualified investment is required to report data relevant to the impact of the credit and development of the qualified small business annually to the office for 5 years following a qualified investment. The office may assess a penalty against a qualified small business that does not meet this reporting requirement.

The office may issue $4 million in credits per calendar year for the years through the 2026 calendar year for which the credit is currently available. The bill decreases the cap to $2.5 million per calendar year beginning with the 2027 calendar year through the 2031 calendar year.

If the qualified investor receiving a credit is a trust, the qualified investor may allocate the credit between the trust and its beneficiaries in any manner determined by the trust. The office shall issue a credit certificate to a trust beneficiary and a trust beneficiary may claim the amount indicated on the credit certificate.

(Note: This summary applies to this bill as introduced.)

The bill creates the work-based learning consortium pilot program (pilot program) in the department of higher education (department). The purpose of the pilot program is to develop and expand the integration of work-based learning experiences for students enrolled in higher education.

On or before July 1, 2026, or within 90 days after the department receives sufficient funding, the department shall convene a consortium consisting of a group of representatives from institutions of higher education to:

• Share best practices on improving access to quality work-based learning opportunities for students;
• Help participating institutions of higher education meet workforce needs in Colorado and connect academic learning with real-world experiences through career preparation and skill development for students; and
• Make recommendations to the general assembly and institutions of higher education on the best practices.

Subject to available appropriations, at the end of the 3-year pilot program, the consortium shall complete and submit a report to the education committees of the house of representatives and the senate, or their successor committees. The report must include:

• A description of the consortium's findings and recommendations;
• Details on the consortium's impacts on participating institutions of higher education and the effects of creating additional work-based learning activities on students, faculty, and employers; and
• Recommendations for statutory changes, financial resources, department policy changes, and institution of higher education policy changes necessary to improve successful work-based learning opportunities for students in institutions of higher education.

Funds appropriated to the commission on higher education (commission) may be used by the commission to cover the costs of work-based learning requirements for students who are required to complete credit-bearing work-based learning requirements to graduate from an institution of higher education.

(Note: This summary applies to this bill as introduced.)

The bill repeals the current "Money Transmitters Act" and replaces it with the "Money Transmission Modernization Act" (act). The new act enacts, in part, a model law developed in conjunction with the money transmitter industry.

The act reduces regulatory burden by modernizing outdated and inconsistent regulatory requirements, including:

• Clarifying the definition of "control" of a licensee and introducing a rebuttable presumption of control;
• Enabling Colorado's participation in multistate licensing initiatives;
• Codifying the agent-to-payee exemption to licensure;
• Revising prudential standards required for licensing and ongoing monitoring, such as tangible net worth and permissible investment calculations;
• Establishing an irrevocable, standby letter of credit as a permissible investment; and
• Expanding the enforcement actions available in case of nonperformance by a money transmitter.
  (Note: This summary applies to this bill as introduced.)

The bill refers 2 ballot issues to the voters at the November 2025 statewide election concerning funding for the healthy school meals for all program.

Section 2 of the bill refers a ballot issue to the voters at the November 2025 statewide election to allow the state to retain and spend state revenue that would otherwise need to be refunded for exceeding the estimate in the ballot information booklet analysis for Proposition FF and to allow the state to maintain the increases in state taxable income established in Proposition FF that would otherwise need to be decreased. If voters reject the ballot issue, the state will both:

• Refund $26,265,621 to individuals who have a federal taxable income of $300,000 or more and claimed itemized or standard state income tax deductions greater than $12,000 for single tax return filers and $16,000 for joint tax return filers; and
• Adjust the limit on itemized deductions established in Proposition FF to a level that would have reduced the amount of income tax revenue attributable to these itemized deductions by $26,265,621.

If voters approve the ballot measure:

• The state will not refund $26,265,621 to individuals who have a federal taxable income of $300,000 or more and claimed itemized or standard state income tax deductions greater than $12,000 for single tax return filers and $16,000 for joint tax return filers; and
• The increases in federal taxable income as a result of Proposition FF will stay at the levels established by Proposition FF.

Section 3 refers a ballot issue to the voters at the November 2025 statewide election to allow the state to increase taxes by $95 million annually by increasing state taxable income to support the healthy school meals for all program. If voters approve the ballot issue:

• Income tax deductions for individuals who have a federal taxable income of $300,000 or more will be reduced from current levels to $1,000 for single filers and $2,000 for joint filers; and
• The state will allocate the additional revenue generated by the reduction in income tax deductions to the healthy school meals for all program.

If voters reject the ballot issue, income tax deductions will not be reduced.

In addition to the income tax changes and potential refunds that may result from voters approving or rejecting the ballot issues described in sections 2 and 3 , the bill also changes the healthy school meals for all program cash fund (fund) and healthy school meals for all programs. If voters approve the ballot issue submitted pursuant to section 2 and reject the ballot issue submitted pursuant to section 3 , $1 million is transferred annually from the fund to local school food purchasing programs. If voters approve the ballot issue submitted pursuant to section 3 , regardless of whether the voters approve the ballot issue submitted pursuant to section 2 :

• The permissible distribution of local food purchasing grants is modified;
• Certain school food authorities are allowed to collaborate to implement advisory committees;
• The duties of an advisory committee are clarified; and
• The distribution of funds from the fund is changed so that the amounts distributed through local food purchasing grants for increasing wages or providing stipends for individuals whom the participating school food authority employs to directly prepare and serve food for school meals and through the local school food purchasing technical assistance and education grant program are modified based on the amount of money in the fund.
  (Note: This summary applies to this bill as introduced.)

The bill adjusts several state tax expenditures as follows:

• Section 2 of the bill increases the amount of a company's total domestic workforce that must be in Colorado for a company to qualify for the insurance premium tax rate tax expenditure for a home office or regional home office;
• Section 3 requires insurance companies, when submitting certain filings with the division of insurance, to submit the total annual dollar amount of premiums collected or contracted for on policies or contracts of insurance covering property or risks in Colorado during the previous calendar year from entities that are exempt from taxation;
• Section 6 limits the existing tax deduction related to expenses, the deduction of which is disallowed by section 280C of the internal revenue code, so that a taxpayer may only claim the tax deduction for income tax years commencing before January 1, 2026;
• Section 10 , for income tax years commencing on and after January 1, 2026, creates a new tax deduction related to expenses, the deduction of which is disallowed by section 280C of the internal revenue code, so that a taxpayer may claim the deduction for any expenses that cannot be deducted under section 280C of the internal revenue code;
• Section 7 limits the alternative minimum tax credit to income tax years commencing prior to January 1, 2025;
• Section 8 extends the tax credit for monetary contributions to promote child care, so that the tax credit is available through income tax years commencing before January 1, 2030, rather than January 1, 2028;
• Section 9 , for income tax years commencing on and after January 1, 2026, creates an income tax credit for certain individuals who are 65 years of age or older in the income tax year, or who are a surviving spouse of that individual, and who were previously eligible to receive a grant for real property tax assistance and heat or fuel expenses assistance;
• Section 20, beginning January 1, 2026, ends the availability of grants for real property tax assistance and heat or fuel expenses assistance;
• Sections 4, 5, 14, 15, 21, 22, and 23 make conforming amendments for the changes made in sections 9 and 20 ;
• Section 11 expands the definition of local government to include counties for purposes of the alternative transportation options tax credit;
• Section 12 limits the existing business personal property tax credit so that a taxpayer may only claim the tax deduction for income tax years commencing before January 1, 2026;
• Section 13 modifies the tax credit for qualified costs incurred in preservation of historic structures by removing the 5% increase in the percentage of rehabilitation expenses incurred in a rehabilitation in a disaster area for the rehabilitation of a commercial structure that are applicable for the tax credit;
• Section 16 modifies the downloaded software sales tax exemption so that all software that is available for repeated sale and license and governed by a nonnegotiable license agreement qualifies as tangible property and thus is subject to sales tax;
• Section 17 ensures that, beginning July 1, 2025, interstate telephone and telegraph services are subject to state sales tax;
• Section 18 repeals, effective July 1, 2025, the special fuel excise tax reduction associated with bad debt and the payment of the special fuel excise tax; and
• Section 19 modifies the enterprise zone tax credit for income tax years beginning January 1, 2026, by limiting the total amount of the credit that may be claimed to $2 million, providing an exemption process for that limit, and prohibiting certain taxpayers from claiming that credit.
  (Note: This summary applies to this bill as introduced.)

Legislative Oversight Committee Concerning Tax Policy. Section 2 of the bill extends a refundable income tax credit (credit) that is available for the income tax years commencing on January 1, 2022, and January 1, 2024, so that the credit is also available for the income tax years commencing on January 1, 2025, and January 1, 2026.

For each income tax year, the credit is for a qualifying senior, which means a resident individual who:

• Is 65 years of age or older at the end of the income tax year;
• Has federal adjusted gross income (AGI) that is less than or equal to $75,000 if filing a single return, or less than or equal to $125,000 if filing a joint return; and
• Has not claimed the senior property tax exemption for the property tax year that coincides with the income tax year.

The amount of the credit for both the 2025 and 2026 income tax years is:

• $800 for a qualifying senior filing a single return with federal AGI that is $25,000 or less. For every $500 of federal AGI above $25,000, the amount of the credit is reduced by $8.
• $800 for 2 taxpayers filing a joint return with federal AGI that is $25,000 or less. For every $500 of federal AGI above $25,000, the amount of the credit is reduced by $4.
• $400 for each taxpayer, in the case of 2 taxpayers who share the same primary residence, and may legally file a joint return but actually file separate returns and both claim the credit. For every $500 of federal AGI above $25,000, the amount of the credit is reduced by $4.

Notwithstanding the income-based reductions in the allowable credit amount, a taxpayer who also qualifies for a property tax and rent assistance grant or heat assistance grant during the calendar year 2025 or 2026 is eligible to receive the full amount of the credit.

Section 1 requires the property tax administrator to provide reports from counties related to taxpayers who are eligible for and actually claim the homestead property tax exemption.
(Note: This summary applies to this bill as introduced.)

Sales and Use Tax Simplification Task Force. Currently, the department of revenue (department) does not have authority to allow a sales and use tax license and a sales and use tax exemption certificate to be searchable by the name and identification number of the sales and use tax licensee or the sales and use tax exemption certificate holder. The bill directs the department's executive director to allow this type of search.
(Note: This summary applies to this bill as introduced.)

Legislative Oversight Committee Concerning Tax Policy. The bill adjusts several tax expenditures as follows:

• Section 1 of the bill disallows the income tax credit for unsalable alcohol after December 31, 2025, and repeals the credit on December 31, 2030;
• Currently, a taxpayer is allowed to deduct up to 2% of the taxable gallons of fuel removed from a fuel terminal to account for fuel that is lost in transit. Section 2 changes the allowance to 1% starting January 1, 2026.
• Currently, for income tax years commencing before January 1, 2025, a purchaser who installs an energy storage system in a residential dwelling may claim an income tax credit in an amount equal to 10% of the purchase price paid by the purchaser for the energy storage system. Section 3 extends the credit to include subsequent income tax years commencing before January 1, 2027, and extends the repeal of the credit from January 1, 2028, to January 1, 2030.
• Currently, the reducing emissions from lawn equipment income tax credit is available until the tax year beginning January 1, 2027, and the department of revenue is required to issue a report on the credit for each income tax year from January 1, 2025, through January 1, 2028. Section 4 extends the credit until the tax year beginning January 1, 2029, extends the reporting requirement through January 1, 2030, and extends the repeal date of the credit from December 31, 2033, to December 31, 2035.
• By amending a definition of "agricultural compounds" that is incorporated into the definition of "wholesale sale" used for purposes of the sales and use tax statutes, section 5 exempts from sales and use tax soil conditioners, plant amendments, plant growth regulators, mulches, compost, soil used for aboveground production of agricultural commodities, manure, fish for non-stocking purposes, fish embryos, and fish eggs beginning January 1, 2026;
• Section 6 states that the purpose of the insolvency assessments paid insurance premium tax credit is to offset the cost for an insurer paying required assessments into the life and health insurance protection association and that the credit's effectiveness is measured by how many eligible insurers claim the credit and the amount claimed relative to payments into the life and health insurance protection association;
• Sections 7 and 8 state that the purpose of the state refund income tax deduction is to avoid re-taxing a taxpayer's state income tax refund when a state refund is required to be included as income on the taxpayer's federal return pursuant to the internal revenue code and that the effectiveness of the deduction is measured by the number of taxpayers claiming the deduction and the total amount of state refunds claimed as deductions from Colorado taxable income;
• Section 9 states that the purpose of the dyed special fuels and off-road fuel tax excise tax exemption is to entirely exclude dyed diesel or kerosene from the special fuels excise tax where the dyed fuel is used for specified off-road purposes or by governmental entities and that the effectiveness of the exemption is measured by the number of taxpayers claiming the exemption and the amount of tax that would have been paid without the exemption;
• Section 10 states that the purpose of the off-road fuel use refund is to compensate taxpayers who buy and pay the tax on otherwise taxable fuels for the purpose of using the fuels for specified non-taxable purposes under federal law and that the effectiveness of the refund is measured by the number of taxpayers claiming a refund and the amount of tax that was already collected and is refunded; and
• Section 11 states that the purpose of the wholesale sales exemption from sales tax is to ensure that sales tax is levied and collected only on a final end sale to a retail consumer and not on wholesale sales and that the effectiveness of the wholesale exemption from sales tax is measured by the number of taxpayers claiming the wholesale exemption from tax and the amount of tax liability not paid.
  (Note: This summary applies to this bill as introduced.)

Sales and Use Tax Simplification Task Force. Section 1 of the bill establishes uniform confidentiality standards for the protection of taxpayer information used or obtained in connection with a sales or use tax investigation performed by a third-party auditor on behalf of a local taxing jurisdiction. Third-party auditors are generally prohibited from divulging or making known in any way to any person information that is obtained from a sales or use tax investigation on behalf of a local taxing jurisdiction or disclosed in any document, report, or return filed in connection with local sales or use taxes. Third-party auditors are permitted to disclose taxpayer information in certain limited circumstances, including disclosure to:

• An official, employee, hearing officer, attorney, or other public agent of the local taxing jurisdiction who is authorized to receive such information in connection with the local taxing jurisdiction's sales or use tax investigation performed by the third-party auditor;
• A requesting taxpayer, or the taxpayer's authorized agent, of the taxpayer's own tax filings;
• The department of revenue (department) for purposes of statistical analysis and publication as authorized by current law; and
• The department and the federal internal revenue service as necessary and pertinent to a taxpayer's compliance or failure to comply with state or federal tax law.

Violation of the confidentiality provisions in section 1 is a misdemeanor punishable by a fine of not more than $1,000 per violation. Section 2 clarifies the authority of the executive director of the department to share taxpayer information with statutory local governments, special districts, and requesting home rule jurisdictions as necessary to facilitate dispute resolution, coordination, intergovernmental agreements, and information sharing between the department and such local governments consistent with current law, which prohibits the disclosure of any such shared information to any third party.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Current law allows any individual to deduct amounts, up to certain caps based on the individual's age, received as pensions or annuities from any source, to the extent included in federal adjusted gross income.

Notwithstanding the caps on the deduction for amounts received as pensions or annuities from other sources, current law allows any individual who is 65 years of age or older at the close of a taxable year to subtract the total amount of social security benefits that the individual received from the individual's federal taxable income, to the extent those benefits were included in federal taxable income, when determining the individual's state taxable income. Beginning January 1, 2025, this subtraction is also allowed to any individual who is 55 years of age or older and has an adjusted gross income for the applicable tax year that is less than or equal to $75,000 if filing individually or $95,000 if filing jointly.

For income tax years commencing on or after January 1, 2026, the bill removes all caps on the deduction for amounts received as pensions and annuities and allows any individual, regardless of age or income, to subtract the total amount that the individual received as pension or annuity income from the individual's federal taxable income, to the extent that income was included in federal taxable income, when determining the individual's state taxable income.

(Note: This summary applies to this bill as introduced.)

The bill authorizes the owner or operator of a water quality green infrastructure project (project) to sell or trade any greenhouse gas credits (GHG credit) created by the project in the GHG credit trading program (trading program) that is established by the air quality control commission (AQCC) by rule.

The owner or operator that is conducting a project shall pay an independent third-party auditor to certify the GHG credits created by the project in order to sell or transfer those GHG credits in the trading program.

The division of administration in the department of public health and environment (division) shall monitor the sale and transfer of the GHG credits created from a project in the trading program and permit owners and operators of facilities that are regulated by the AQCC and the division and participating in the trading program to purchase the GHG credits in order to reach certain greenhouse gas compliance targets.

(Note: This summary applies to this bill as introduced.)

With regard to the family and medical leave insurance program (program), section 1 of the bill extends the duration of paid family and medical leave, up to an additional 12 weeks, for a parent who has a child receiving inpatient care in a neonatal intensive care unit. Section 2 changes the premiums financing the payment of program benefits by extending the current premium amount, 0.9% of wages per employee, through 2025 and setting the premium amount for the 2026 calendar year at 0.88% of wages per employee. For each subsequent calendar year, the director of the division of family and medical leave insurance (director) in the department of labor and employment is required set the premium on or before November 1 of the preceding year. The director is required to set the premium in a manner such that:

• At the end of the year, the balance of the family and medical leave insurance fund (fund) is not less than 6 months' worth of projected expenditures from the fund required for performance of the functions and duties of the director;
• The volatility of the premium rate is minimized; and
• The premium amount does not exceed 1.2% of wages per employee.
  (Note: This summary applies to this bill as introduced.)

The bill establishes that certain evidence that a person has engaged in an unfair or deceptive trade practice constitutes a significant impact to the public. The bill also clarifies that a deceptive trade practice claim cannot be based solely on a claim that a person breached a contract or engaged in negligence or on a claim for damages based on the rendering of professional services, unless the claim for damages involves an allegation of a material misrepresentation of fact, a failure to disclose material information, or an action that cannot be characterized as providing advice, judgment, or opinion.
(Note: This summary applies to this bill as introduced.)