HB 23-1006

House Bill 23-1006 requires employers in Colorado to provide their employees with an annual statement that includes information about the total compensation paid and income tax withheld, as well as a notice about federal and state earned income tax credits and child tax credits. Employers can send this notice electronically, like via email or text message, and must include it in any language used to communicate with employees. The bill was signed into law by the governor on March 31, 2023, and will take effect on August 7, 2023. This means that starting from August 7th, employers need to start providing these notices to their employees annually.

Official Summary

The law has required an employer to provide its employees with an annual statement showing the total compensation paid and the income tax withheld for the preceding calendar year. The act requires an employer to also provide written notice of the availability of the federal and state earned income tax credits and the federal and state child tax credits at least once annually. An employer may send the written notice to employees electronically, including via e-mail or text message. The written notice must be in English and any other language the employer uses to communicate with employees and must include any additional content that the department of revenue prescribes. APPROVED by Governor March 31, 2023 EFFECTIVE August 7, 2023 NOTE: This act was passed without a safety clause and takes effect 90 days after sine die. (Note: This summary applies to this bill as enacted.)

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