HB 17-1136

HB 17-1136, a Colorado bill that was eventually signed into law, aims to simplify and standardize how taxpayers can file their taxes electronically. Currently, some tax laws require electronic filing while others allow it as an option, which has caused confusion for both taxpayers and the Department of Revenue. The bill clarifies that the state can mandate electronic filing and payments in all cases and allows the department to create rules around these requirements. This change will affect anyone who files taxes in Colorado and should make the process clearer and more consistent going forward.

Official Summary

Within the statutory title on taxation, some sections require a taxpayer to pay taxes via electronic funds transfer (EFT) while other sections allow a taxpayer to pay taxes via EFT. The same is true for electronic filing of returns. The inconsistent approach of requiring it in some cases and allowing it in others has created difficulty in administering the laws, particularly when the department of revenue tried by rule to provide a consistent exception in the form of an undue hardship waiver for EFT. The bill changes the EFT and electronic filing requirements for consistency, specifying in all cases that the department may require EFT and electronic filing and that the department may promulgate rules to implement EFT and electronic filing. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)

Votes