TABOR Fed Tax

The federal IRS is proposing a new rule that would make Coloradoans’ refunds under the state “Taxpayer Bill of Rights,” TABOR, subject to federal taxation…

(Feds Want to Tax TABOR Refunds vxr                             :22)

Governor Polis calls that potential rule change “absurd and confusing,” pointing out that those refunds haven’t been taxed in the more than 30 years they’ve been around.  The change would only apply to Colorado taxpayers who itemize federal deductions.  If you take the standard deduction, the IRS would leave your TABOR refund alone.  IRS claims about 90% of Colorado taxpayers take its standard deduction.