Colorado Salary Tax Calculator
The Colorado Salary Tax Calculator helps residents estimate their state income tax liability and net pay. By inputting gross salary and deductions, users can quickly calculate their Colorado state taxes using the flat 4.4% tax rate, helping with financial planning and budget management.
Tax Calculator
FAQs
What is Colorado's income tax rate?
Colorado uses a flat income tax rate of 4.4% for all taxpayers regardless of income level. This rate applies to both federal and state taxable income after accounting for deductions and exemptions.
How is Colorado state tax calculated?
Colorado tax = (Gross salary - Deductions) × 4.4%. The calculator subtracts deductions from gross income, then applies the 4.4% rate to determine tax liability and net pay after state taxes.
Are Social Security benefits taxed in Colorado?
Colorado does not tax Social Security benefits. Retirement income from Social Security is fully exempt from state income taxes, providing financial relief for retirees.
What deductions are available in Colorado?
Colorado allows standard federal deductions plus state-specific deductions including college investment plan contributions, charitable donations, and conservation easements. Some retirement income is also deductible.
Is there local income tax in Colorado?
Colorado has no local income taxes. Residents only pay the 4.4% state tax and federal taxes. Some municipalities may have sales taxes but no local income taxes.
How often is the tax rate updated?
The 4.4% rate has been in effect since 2023. Tax rate changes require legislative approval and are typically announced well in advance of tax years.
Do non-residents pay Colorado tax?
Non-residents working in Colorado must pay state taxes on income earned within Colorado. The calculator can help estimate tax liability for both residents and non-residents.
Are bonuses taxed differently in Colorado?
Bonuses are taxed as regular income in Colorado. They're subject to the 4.4% flat tax rate after accounting for applicable deductions and exemptions.
How accurate is this calculator?
This calculator provides estimates based on current tax laws. Actual taxes may vary depending on specific tax situations, credits, and additional deductions not accounted for here.
When are Colorado taxes due?
Colorado state taxes are due April 15th each year, matching the federal deadline. Extensions are available but require filing by the original due date.