CO SB035

Suspends tax assessment limitations when taxpayer assets are under court control or during bankruptcy proceedings, plus six months after each circumstance ends.

Expands Department of Revenue collection authority to include levying personal property (beyond seizure and sale), issuing motor vehicle title transfers, and seeking district court warrants to search premises for property seizure.

Creates new property surrender requirements where banks must surrender deposits within 21 days and employers must surrender wages within 21 days after pay period, with continuous levy on wages capped at 25 percent of disposable earnings.

Establishes liability for third parties who fail to surrender taxpayer property or rights subject to levy, with recovery amounts credited against the original tax debt and providing discharge protection for those who comply.

Appropriates $6,750 to the Division of Motor Vehicles from the Colorado DRIVES vehicle services account for system maintenance and support to implement motor vehicle title transfer provisions.