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Colorado Income Tax Rates 2025

Colorado has a flat income tax rate of 4.4% on all taxable income. The Colorado Constitution requires a single flat rate, and recent voter-approved measures have gradually reduced the rate from 4.63%.

Tax Type

Flat

Rate Range

4.4% flat

Brackets

1

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State Tax Ranking

#23 of 51 Moderate tax burden at $75,000 income

At $75,000 income (single filer), Colorado ranks #23 out of 51 states — where #1 is the lowest tax burden.

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Tax at Different Income Levels

Income State Tax Effective Rate Take-Home
$50,000 $2,200 4.40% $43,929
$75,000 $3,300 4.40% $63,751
$100,000 $4,400 4.40% $82,151
$150,000 $6,600 4.40% $118,333
$200,000 $8,800 4.40% $154,133

Single filer, standard deduction, 2025 tax year. Take-home is after federal + state income tax (excludes FICA).

Tax Overview

Colorado has a flat income tax rate of 4.4% in 2025 (reduced from 4.55% in 2024 and 4.63% previously). Colorado's TABOR amendment limits government revenue growth, resulting in periodic taxpayer refunds when revenue exceeds limits. The state offers a generous standard deduction matching the federal amount.

Tax Planning Tip

Colorado's flat rate has been gradually declining through TABOR-related adjustments. The state standard deduction matches the federal ($15,750 single), keeping effective rates low. TABOR refunds provide an additional tax benefit in years when state revenue exceeds limits.

With a flat tax, your Colorado state income tax is simply 4.4% of your Colorado taxable income. Colorado uses federal taxable income as its starting point, then applies state-specific additions and subtractions. This makes filing relatively straightforward for most taxpayers. Colorado fully exempts Social Security benefits from state income tax for taxpayers aged 65 and older, and provides a partial exemption for those aged 55–64. The state sales tax rate is 2.9%, though combined local rates often bring the total above 8%.

Property Tax & Cost of Living

Property Tax Rate
0.49%
$2,646/yr on $540,000 home
Cost of Living Index
105
5% above national average
Median Home Value
$540,000
Housing index: 113 (avg = 100)

Property tax rate is the state average effective rate. Actual rates vary by county. COL index from BEA Regional Price Parities.

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Frequently asked questions

What is Colorado's income tax rate in 2025?

Colorado has a flat income tax rate of 4.4% on all taxable income, regardless of how much you earn.

Does Colorado tax Social Security benefits?

Colorado fully exempts Social Security benefits from state income tax for taxpayers aged 65 and older, and provides a partial exemption for those aged 55 to 64.

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Last updated May 1, 2026 Tax year 2025-26

Data sources: IRS (irs.gov), Social Security Administration

This tool is general information only, not financial advice.

Reviewed by USTax Tools Editorial Desk

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