HB 23-1016

House Bill 23-1016, which has been signed into law, provides an income tax credit for public service retirees in Colorado who are at least 55 years old and living in the state full-time. This temporary benefit applies to those retiring from a Colorado public pension plan or a local government’s public pension plan, and it is available for tax years starting January 1, 2023, through December 31, 2024. The law aims to help these retirees by reducing their state income taxes during this two-year period.

Official Summary

Pension Review Commission. The bill creates an income tax credit that is available for income tax years commencing on or after January 1, 2023, but prior to January 1, 2025, for a qualifying public service retiree, which means a full-time Colorado resident individual who is: 55 years of age or older at the end of the 2023 or 2024 income tax year; and A retiree of a Colorado public pension plan administered pursuant to the Colorado Revised Statutes or a retiree of a public pension plan administered by a local government of the state of Colorado.(Note: This summary applies to this bill as introduced.)