HB 20-1125 Summary

• Creates a state income tax credit for eligible educators who purchase school supplies qualifying for the federal educator expense deduction under 26 U.S.C. § 62(d)(1)

• Allows a credit for qualifying expenses exceeding $250 but not exceeding $750 for tax years beginning January 1, 2020 through December 31, 2024

• Provides that any credit amount exceeding the educator's income tax liability is refunded to the educator

• Sunsets the credit on December 31, 2028

• Takes effect August 5, 2020, subject to referendum petition procedures under the Colorado Constitution