CO HB1392

Extends the contaminated land state income tax credit through December 31, 2031 (previously expired January 1, 2023), allowing taxpayers to claim credits for environmental remediation expenses up to $1.5 million per project.

Increases the annual cap on tax credits from $3 million to $5 million per year (2022-2024), with $2 million reserved for rural communities and $3 million available for any community.

Enhances credits for rural community projects, increasing the remediation credit rate from 40% to 50% on the first $750,000 of expenses and from 30% to 40% on the next $750,000.

Allows transferees of contaminated land tax credits to offset the credits against any Colorado income tax due, and requires the Colorado Department of Public Health and Environment to track and certify credit transfers.

Extends the property tax exemption for affordable housing projects through any extended use period under federal Internal Revenue Code Section 42, and adds school districts, charter schools, and special districts as qualified entities for remediation projects.