HB 24-1349 Summary

• Establishes a 6.5% excise tax on retail sales of firearms, firearm precursor parts, and ammunition in Colorado, contingent on voter approval at the November 2024 general election.

• Tax becomes effective April 1, 2025 if approved, with vendors required to register and file monthly returns with the Department of Revenue; peace officers and active-duty military are exempt from the tax.

• Revenue distribution allocates the first $30 million annually to crime victim services, the next $8 million to behavioral and mental health programs (with $5 million dedicated to veterans' mental health services and $3 million for youth crisis response), and the next $1 million to school security programs.

• Vendors engaging in retail sales of covered items exceeding $20,000 annually must collect and remit the tax; penalties apply for non-compliance including civil penalties up to $1,000 and criminal prosecution for willful violations.

• Appropriates $383,027 to the Department of Revenue and $172,827 to the Department of Law for the 2024-25 fiscal year to implement and administer the tax.