(The Center Square) – Colorado taxpayers can expect to see smaller refunds under the Taxpayer’s Bill of Rights, according to the most recent state economic forecast.
The forecast, released this week by the Legislative Council Staff, projects a $293.3 million total TABOR refund obligation for fiscal year 2024-25.
The refunds depend on a taxpayer’s income, with single filers making under $54,000 getting a $20 refund and joint filers getting a $40 refund. Single filers making between $54,001 to $110,000 will get a $26 refund, and joint filers will get a $52 refund.
For fiscal year 2025-26, LCS projects TABOR-subject funds will be below the Referendum C cap, which was passed by voters in 2005.
“As a result, no refunds to taxpayers are expected to be made via property tax exemptions and assessed value reductions, or refunds using the income tax form,” LCS said.
TABOR, passed as a state constitutional amendment in 1992, requires voter approval for tax increases and limits the state’s revenue growth to inflation plus the rate of population growth. Revenue collected over the Referendum C cap is refunded to taxpayers.
The LCS forecast is always released in conjunction with the Governor’s Office of State Planning and Budgeting. The OSPB forecasts a nearly $100 million statutory reserve shortage for 2024-2025, The Center Square reported.
Colorado lawmakers convened a special session last month to address the state’s $1.2 billion budget hole, which state Democrats blamed on Republicans’ One Big Beautiful Bill Act passed by Congress.
“Congrats, Colorado! Thanks to the Colorado GOP blowing a $1.2 billion hole in the state budget to give billionaires a tax cut, you can only buy half a tank of gas with your TABOR refund — unless you’re rich, then it’s an appetizer at Elway’s,” the Colorado Democratic Party said in a post on X.
U.S. Rep. Gabe Evans, R-Colorado, posted on his campaign’s X account: “Translation: abolishing the Taxpayer Bill of Rights is the #1 economic plank in the state Dems’ platform, and they’ve worked overtime to find loopholes that allow them to spend your TABOR refund, leaving you with less (or none at all, which is their goal).”
