SB 24-024

Senate Bill 24-024 in Colorado requires local taxing jurisdictions to apply the same reporting requirements for intermediaries (like booking platforms) as they do for marketplace facilitators when it comes to collecting and remitting local lodging taxes. This means that these intermediaries must report tax information in a similar way, but local jurisdictions can't ask for extra information beyond what's needed for tax collection. The bill also restricts when local taxing authorities can audit these platforms, limiting audits to times when they are filing tax returns. It will take effect on January 1, 2025, after being signed by the governor. This impacts booking and accommodation intermediaries as well as local governments responsible for collecting lodging taxes.

Official Summary

The act requires local taxing jurisdictions, which are limited to jurisdictions for which the department of revenue does not collect, administer, and enforce a local lodging tax, to apply the same reporting requirements or standards to an accommodation's intermediary as to a marketplace facilitator that is obligated to collect and remit a local lodging tax. The act prohibits local taxing jurisdictions from requiring additional reporting information from an accommodation's intermediary. The act also prohibits a local taxing jurisdiction that has passed an applicable marketplace facilitator law from auditing a marketplace facilitator for sales facilitated by the marketplace at any time other than when the marketplace facilitator is filing tax returns with the local taxing jurisdiction. The act does not prohibit a local taxing jurisdiction from requesting information maintained by an accommodation's intermediary that is in connection with an audit related to a local lodging tax or from requesting and obtaining additional information or data from a marketplace facilitator or accommodation's intermediary to be provided on a voluntary basis or prohibit a home rule municipality, for purposes unrelated to the administration of local taxes, from passing an ordinance regulating a marketplace facilitator or an accommodation's intermediary, including an ordinance governing the issuance of information or data by a marketplace facilitator or accommodation's intermediary to the home rule city. APPROVED by Governor April 19, 2024 EFFECTIVE January 1, 2025(Note: This summary applies to this bill as enacted.)

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