Sales Tax Filing Information
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Sales Tax Filing Information

Sales Tax Filing Information

Filing Requirements & Frequency

Filing Requirements

If your business will be selling, renting or leasing tangible personal property, you must get a Sales Tax Account / License and file sales tax returns. Colorado generally does not impose a state sales tax on services. Some Colorado home-rule cities (that collect their own local sales tax) charge a sales tax on certain services. Contact those cities directly for further information.

 

Filing Frequency & Due Dates

Filing frequency is determined by the amount of sales tax collected monthly.

  • $15 or less per month: Sales tax returns may be filed annually. Annual returns are due January 20.
  • Under $300 per month: Sales tax returns may be filed quarterly.
    • Due dates:
      • January - March: due April 20
      • April - June: due July 20
      • July - September: due October 20
      • October - December: due January 20
  • $300 or more per month: sales tax returns must be filed monthly. Monthly returns are due the 20th day of month following reporting period.
  • Businesses that pay more than $75,000 per year in state sales tax must pay by Electronic Funds Transfer (EFT)EFT is due the 20th day of month following reporting period.
  • Wholesale businesses with a sales tax liability of $180 per year or less can file annually.

Note: If the 20th day falls on a weekend or holiday, the due date is the next business day.

No Sales Tax Due for a Filing Period

You must file a sales tax return every filing period, even if no sales are made and no tax has been collected. Failure to file will result in the Department filing a return on your behalf and estimating the amount to be billed. These estimated returns will be due and payable until an actual return is filed. If you no longer need your sales tax account (license), notify the Colorado Department of Revenue as soon as possible.

 

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Filing Tips

  1. Use the correct version of the Retail Sales Tax Return (DR 0100).
    •  Do not use old versions of the DR 0100. For the correct version, go to the Sales & Use Tax Forms web page.
  2. Report gross sales per site location.
    • Each location has its own Gross Sales and Services amount, so each location should be filed on a separate return. Also, the amount of deductions and exemptions will only apply for that particular location.
  3. Net Sales should be the same in each applicable column.
  4. Claim the Service Fee (Vendor Fee).
    • A service fee (vendor fee) is calculated on the DR 0100 and is deducted from the Total Amount Owed. Though it is called a fee, it is a benefit to the business for timely filed and paid returns.
  5. Enter site numbers on Retail Sales Tax Returns.
    • ​​​​​​​Each DR 0100 should have a site number listed (for example, 00000001-0010). This helps the Department identify and properly allocate local jurisdiction taxes that are paid with the return.
  6. Do not leave lines blank.
    • ​​​​​​​Complete all applicable and required lines. If there is no amount for that line, enter 0. There must be amounts on lines 1, 3, 5, 7, 9, 12, 14, 17, and 18.
  7. Do not use Line 10 for Consumer Use Tax.
    • ​​​​​​​Consumer Use Tax must be paid by Colorado businesses on purchases that did not include Colorado sales tax. Any tangible personal property a retailer purchased for resale, but subsequently removed from inventory for the retailer's own use, is subject to consumer use tax. A Consumer Use Tax Return (DR 0252) is required to report and remit any consumer use tax a retailer owes.

Amending a Sales Tax Return

If you make an overpayment of sales tax due or have a credit resulting from a mistake, error or canceled sale, credit for the amount of overpayment may be taken on a subsequent sales tax form (DR 0100).

If you underreport, a separate form for the same period must be filed. If you are filing an amended return, you are required to mark the Amended Return Box. The amended return must show all tax columns as corrected, not merely the difference(s). The amended return will replace the original return in its entirety. Be sure to use the correct service fee rate for the period you are amending.

If you are no longer engaged in business and you have an overpayment or made a mistake on a prior return, you should apply for a refund using the Claim for Refund (DR 0137).