Internet Mail-Order | Paying Tax Due
Consumers who bring tobacco products into Colorado without the Colorado tobacco products excise tax paid, must file the Tobacco Products Tax Return for Unlicensed Activity, DR 0225 (see Forms in Number Order), and make the payment with the return, within 30 days of receiving the tobacco products. To file the return electronically, send the completed DR 0225 form to DOR_ExciseTax@state.co.us, and payment instructions will follow. To file and pay by mail, follow the instructions for submission and payment stated on the form.
To avoid being responsible for the excise tax, do not purchase tobacco products from unlicensed sellers. Only purchase tobacco products from a licensed Colorado retail establishment or from a licensed tobacco products distributor. A current list of licensed distributors can be found at Tax.Colorado.gov/licensed-distributors.
Colorado statute, C.R.S. 39-28.5-106(4)(a), states that any person, firm, limited liability company, partnership, or corporation, other than a distributor, in possession of tobacco products for which tobacco product taxes have not been paid to the Department is liable and responsible for the uncollected tax on behalf of the distributor who failed to pay the tax. The person or entity is required to make the payment to the Department within 30 days of first taking possession of the tobacco product.
Penalty for Not Paying the Tax
If the Department receives information from a seller that untaxed tobacco products were sold to an individual or retailer in Colorado more than 30 days prior, statute allows for a 500% penalty, plus tax and interest.
The consumer is also responsible for filing and paying the use tax due on tobacco products if sales tax was not paid by the seller. Go to Tax.colorado.gov/consumer-use-tax for more information.