SB11-056 Summary

• Exempts from Colorado use tax the storage, use, or consumption of tangible personal property purchased by Colorado residents from out-of-state retailers that do not collect Colorado sales tax.

• Applies only to out-of-state retailers not doing business in Colorado as defined in section 39-26-102(3) and whose activity does not meet minimum contacts or substantial nexus requirements established in Quill Corp. v. North Dakota, 504 U.S. 298 (1992).

• Takes effect 12:01 a.m. on the day following the ninety-day period after final adjournment of the general assembly (August 10, 2011, if sine die occurs on May 11, 2011).

• Becomes effective only if a referendum petition is not filed within the ninety-day period; if filed, the measure requires approval by voters at the November 2012 general election.

• Applies to all purchases of tangible personal property made on or after the effective date of the act.