The Department is finding that many taxpayers claiming the Senior Housing Income Tax Credit for tax year 2022 do not qualify. This is resulting in return adjustments and delays in processing returns as well as refunds. The credit is commonly known as the Senior Property Tax Exemption or Senior Homestead Exemption.
The credit claimed on line 11 of the DR 0104CR has many qualifying questions listed in the DR 0104 instruction booklet. Most notably the Department is adjusting returns based on AGI/filing status limitations and claiming prior credits for housing such as property tax exemption for seniors at a county level or similar property tax exemption for a "qualifying disabled veteran."
A person would be disqualified from the tax credit if they received a property tax exemption on their property tax statement under either of the conditions outlined in 39-3-203 (see list item 4 in the instructions below).
The bill requires that the Property Tax Administrator provide the Department of Revenue with reports on seniors and/or veterans with disability homestead exemptions on December 1, 2022 and April 1, 2023.
Colorado seniors 65 years of age or older at the end of 2022 may qualify for the Income Qualified Senior Housing Income Tax Credit. Please read below carefully to determine if you qualify for the credit, and to calculate how much you qualify for.
1. Is your date of birth (or your spouse's date of birth) December 31, 1957 or earlier?
- Yes: Continue to step 2.
- No: Step, you do not qualify for this credit.
2. Were you (or was your spouse) a full-year resident or part-year resident of Colorado for 2022?
- Yes: Continue to step 3.
- No: Stop, you do not qualify for this credit.
3. Is your adjusted gross income (line 11 of your federal tax form 1040, 1040-SR, or 1040-NR) for this income tax year $75,000 or less?
- Yes: Continue to step 4.
- No: Stop, you do not qualify for this credit.
4. Do you own the home that you live in as your primary residence?
- Yes: Continue to step 5.
- No: You qualify for this income tax credit. Skip step 5 and continue to step 6 to calculate the amount of credit you are eligible to receive.
5. Did you receive a partial property tax exemption for your primary residence under section 39-3-204 of the Colorado Revised Statutes (commonly known as the Senior Property Tax Exemption, Senior Homestead Exemption or Disabled Veteran Exemption) for the property tax year beginning January 1, 2022? The exemption should appear on your property tax statement from your county assessor. You may have been approved for the exemption by applying in a prior year. This exemption is generally allowed if one owner of a home is 65 years old as of January 1, and has occupied the home as a primary residence for at least 10 consecutive years.
- No: You qualify for this income tax credit. Continue to step 6 to calculate the amount of credit you are eligible to receive.
- Yes: Stop, you do not qualify for this credit.
6. Look up your federal filing status and adjusted gross income (AGI) in the table below and select the corresponding credit value. Transfer this amount to line 11 on the DR 0104CR.
| Single, Married filing joint, Head of Household | Married filing separate | |
|---|---|---|
| AGI | Credit Allowed | Credit Allowed |
| $25,499 or less | $1,000 | $500 |
| $25,500 - $25,999 | $990 | $495 |
| $26,000 - $26,499 | $980 | $490 |
| $26,500 - $26,999 | $970 | $485 |
| $27,000 - $27,499 | $960 | $480 |
| $27,500 - $27,999 | $950 | $475 |
| $28,000 - $28,499 | $940 | $470 |
| $28,500 - $28,999 | $930 | $465 |
| $29,000 - $29,499 | $920 | $460 |
| $29,500 - $29,999 | $910 | $455 |
| $30,000 - $30,499 | $900 | $450 |
| $30,500 - $30,999 | $890 | $445 |
| $31,000 - $31,499 | $880 | $440 |
| $31,500 - $31,999 | $870 | $435 |
| $32,000 - $32,499 | $860 | $430 |
| $32,500 - $32,999 | $850 | $425 |
| $33,000 - $33,499 | $840 | $420 |
| $33,500 - $33,999 | $830 | $415 |
| $34,000 - $34,499 | $820 | $410 |
| $34,500 - $34,999 | $810 | $405 |
| $35,000 - $35,499 | $800 | $400 |
| $35,500 - $35,999 | $790 | $395 |
| $36,000 - $36,499 | $780 | $390 |
| $36,500 - $36,999 | $770 | $385 |
| $37,000 - $37,499 | $760 | $380 |
| $37,500 - $37,999 | $750 | $375 |
| $38,000 - $38,499 | $740 | $370 |
| $38,500 - $38,999 | $730 | $365 |
| $39,000 - $39,499 | $720 | $360 |
| $39,500 - $39,999 | $710 | $355 |
| $40,000 - $40,499 | $700 | $350 |
| $40,500 - $40,999 | $690 | $345 |
| $41,000 - $41,499 | $680 | $340 |
| $41,500 - $41,999 | $670 | $335 |
| $42,000 - $42,499 | $660 | $330 |
| $42,500 - $42,999 | $650 | $325 |
| $43,000 - $43,499 | $640 | $320 |
| $43,500 - $43,999 | $630 | $315 |
| $44,000 - $44,499 | $620 | $310 |
| $44,500 - $44,999 | $630 | $305 |
| $45,000 - $45,499 | $600 | $300 |
| $45,500 - $45,999 | $590 | $295 |
| $46,000 - $46,499 | $580 | $290 |
| $46,500 - $46,999 | $570 | $285 |
| $47,000 - $47,499 | $560 | $280 |
| $47,500 - $47,999 | $550 | $275 |
| $48,000 - $48,499 | $540 | $270 |
| $48,500 - $48,999 | $530 | $265 |
| $49,000 - $49,499 | $520 | $260 |
| $49,500 - $49,999 | $510 | $255 |
| $50,000 - $50,499 | $500 | $250 |
| $50,500 - $50,999 | $490 | $245 |
| $51,000 - $51,499 | $480 | $240 |
| $51,500 - $51,999 | $470 | $235 |
| $52,000 - $52,499 | $460 | $230 |
| $52,500 - $52,999 | $450 | $225 |
| $53,000 - $53,499 | $440 | $220 |
| $53,500 - $53,999 | $430 | $215 |
| $54,000 - $54,499 | $420 | $210 |
| $54,500 - $54,999 | $410 | $205 |
| $55,000 - $55,499 | $400 | $200 |
| $55,500 - $55,999 | $390 | $195 |
| $56,000 - $56,499 | $380 | $190 |
| $56,500 - $56,999 | $370 | $185 |
| $57,000 - $57,499 | $360 | $180 |
| $57,500 - $57,999 | $350 | $175 |
| $58,000 - $58,499 | $340 | $170 |
| $58,500 - $58,999 | $330 | $165 |
| $59,000 - $59,499 | $320 | $160 |
| $59,500 - $59,999 | $310 | $155 |
| $60,000 - $60,499 | $300 | $150 |
| $60,500 - $60,999 | $290 | $145 |
| $61,000 - $61,499 | $280 | $140 |
| $61,500 - $61,999 | $270 | $135 |
| $62,000 - $62,499 | $260 | $130 |
| $62,500 - $62,999 | $250 | $125 |
| $63,000 - $63,499 | $240 | $120 |
| $63,500 - $63,999 | $230 | $115 |
| $64,000 - $64,499 | $220 | $110 |
| $64,500 - $64,999 | $210 | $105 |
| $65,000 - $65,499 | $200 | $100 |
| $65,500 - $65,999 | $190 | $95 |
| $66,000 - $66,499 | $180 | $90 |
| $66,500 - $66,999 | $170 | $85 |
| $67,000 - $67,499 | $160 | $80 |
| $67,500 - $67,999 | $150 | $75 |
| $68,000 - $68,499 | $140 | $70 |
| $68,500 - $68,999 | $130 | $65 |
| $69,000 - $69,499 | $120 | $60 |
| $69,500 - $69,999 | $110 | $55 |
| $70,000 - $70,499 | $100 | $50 |
| $70,500 - $70,999 | $90 | $45 |
| $71,000 - $71,499 | $80 | $40 |
| $71,500 - $71,999 | $70 | $35 |
| $72,000 - $72,499 | $60 | $30 |
| $72,500 - $72,999 | $50 | $25 |
| $73,000 - $73,499 | $40 | $20 |
| $73,500 - $73,999 | $30 | $15 |
| $74,000 - $74,499 | $20 | $10 |
| $74,500 - $74,999 | $10 | $5 |
| $75,001 or more | $0 | $0 |
How do I claim the Income Qualified Senior Housing Income Tax Credit?
The Income Qualified Senior Housing Income Tax Credit is claimed using the DR 0104CR. The DR 0104CR must be filed with your Individual Income Tax Return. This form can be completed electronically or by paper.
Due to the many disqualifying taxpayers claiming the credit, we are requesting that our electronic filing partners review their requirements and questions to prevent further non-qualifying credits being claimed.