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CO SB075

Bill

Status

Engrossed

4/17/2017

Primary Sponsor

Larry Crowder

Click for details

Origin

Senate

2017 Regular Session

AI Summary

  • Creates a tax deduction for military retirement benefits that phases in from 10% in 2018 to 100% by January 1, 2027, allowing veterans of any age to deduct an unlimited amount of military retirement income.
  • Excludes military retirement benefits from existing age-based retirement benefit deduction limits ($20,000 for ages 55-64 and $24,000 for ages 65+), which continue to apply only to non-military retirement benefits.
  • Allows excess military retirement benefits that exceed the phase-in percentage in subsection (4)(x) to be deducted under the general retirement benefits rules if the taxpayer is otherwise eligible.
  • Applies to income tax years commencing on or after January 1, 2018, with the deduction reaching 100% for tax years commencing on or after January 1, 2027.
  • Takes effect August 9, 2017, subject to referendum petition, with the stated purpose of honoring veterans' sacrifice and service while incentivizing veterans to relocate to Colorado.

Legislative Description

Income Tax Deduction For Military Retirement Benefits

Last Action

House Committee on Finance Refer Amended to Appropriations

4/26/2017

Committee Referrals

Appropriations4/26/2017
Finance4/17/2017
Committee of the Whole4/6/2017
Finance1/13/2017

Full Bill Text

No bill text available