Essential Taxes for Most Businesses
Most businesses will be responsible for one or more of the following taxes to the State of Colorado:
If you make taxable sales in Colorado, you may need to collect both state and local sales taxes.
Any business that generates income may need to file a Colorado income tax return matching the entity type of that particular business.
Any business that generates income may need to file a Colorado income tax return matching the entity type of that particular business.
To see more taxes and fees that might apply to your business, visit Excise Taxes and Fees & Charges
Start and Grow Your Business in Colorado
Each business is unique in how it goes through different stages of growth. Find what fits your business below:
If you are looking to start a completely new business in Colorado, start selling goods and services in Colorado, employ your first employee in Colorado, or expand your existing business into Colorado, you are in the right place. To get started with setting up your business in Colorado with a step-by-step guide, visit Start a Business in Colorado.
If you pay wages to an employee who performs work in Colorado, you must withhold Colorado income tax from those wages and send it to the Colorado Department of Revenue. If your employee performs work in another state, you need to withhold based on each state’s rules. To learn more about withholding taxes, go to Colorado Withholding Tax.
The Department of Revenue cannot advise you about the kind of structure that is right for your business, but there are many other resources that can assist you:
Depending on the nature of your business and its operations in different states, there will be different licensing and tax requirements for each state. We encourage you to connect with an attorney or accountant to discuss further.
Explore ways to save
Information about tax benefits available to your business are available below:
Business E-File Options
Use Revenue Online (ROL) to manage, file, and pay state-collected (tooltip) taxes and fees.
Use Sales & Use Tax System (SUTS) to file and pay sales taxes for self-collecting (tooltip) municipalities.
Retailers with two or more sites can file state-administered sales tax electronically using an approved spreadsheet service through Revenue Online.
We’re Here to Help
The Colorado Tax Division cannot offer personalized tax advice. Please consult a tax professional for guidance specific to your situation.
If you are unable to find the information you need on this website or Revenue Online, get in touch:
- Visit us at a Taxpayer Service Center
- Call us at our Taxpayer Service Helpline
- Connect with other small businesses through the Small Business Development Center
Learn about when to use Revenue Online, SUTS, MyBizColorado, GIS, or local government websites.
Learn about specific tax issues by exploring our video library, signing up for upcoming webinars, or watching recordings of previous webinars.
Review tax guidance publications for general information on particular tax types or topics.