CO HB1206

Taxpayers operating recycling or composting facilities registered with the Colorado Department of Health and Environment may claim refunds of state sales and use taxes paid on waste reduction or recycling equipment for calendar years 2015 through 2019.

Refund applications must be submitted to the Department of Revenue between January 1 and April 1 of the year following the tax payment, including proof of taxes paid and detailed equipment lists as required by department rules.

"Waste reduction or recycling equipment" includes new or used machinery operated exclusively in Colorado to collect, separate, process, or treat solid waste so resulting products can be used as raw materials, but excludes motor vehicles.

Statutory definitions establish that refundable equipment must directly process recovered materials, preconsumer materials, or postconsumer waste through collecting, sorting, decontaminating, and returning materials to commerce.

The refund program expires January 1, 2021, and the bill takes effect 90 days after final adjournment unless subject to a referendum petition requiring voter approval at the November 2016 general election.