New Colorado Laws Change Corporate Tax Rules, Raise Tax Credits
Colorado will implement a new system for corporate tax reporting in 2026, which includes all affiliates in a combined group’s return and aligns the process with other states. Governor Jared Polis signed a bill that also increases the state earned income tax credit to 50% and establishes a refundable child and dependent care tax credit, contingent on meeting revenue targets. Governor Polis approved several tax-related bills, emphasizing their historic significance in saving money for Colorado residents.