Colorado Sales Tax Basics: Rate, Nexus, and Filing
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Overview
Colorado sales tax may look simple at first, but local rules can make it harder to follow. Here's a quick breakdown of the basics.
Who administers it
Colorado sales tax is administered by the Colorado Department of Revenue.
State and local rates
The WGA page lists Colorado's statewide base sales tax rate as 2.9%. Local rates can stack on top and are generally based on the delivery address.
Economic nexus
Nexus means a business may have enough connection to a state that its sales tax responsibilities should be reviewed. For remote sellers, the WGA page lists Colorado's economic nexus threshold as $100,000 in sales.
Filing frequency
The WGA page notes that filing may be monthly, quarterly, or annually based on liability. The bookkeeping goal is to keep collected tax matched to the assigned filing schedule.
What to watch for
One Colorado watch-out is local complexity. The WGA page notes that home rule cities administer their own sales tax separately from the state. Some local filing details may still need extra attention even when tools are available to help simplify the process.
How we help
White Glove Accounting helps track Colorado taxable sales, reconcile collected tax, and keep records organized around the assigned filing cadence.
Colorado sales tax at a glance
- Administered by
- Colorado Department of Revenue
- Statewide base rate
- 2.9%, with local rates on top
- Economic nexus
- $100,000 in sales
- Filing frequency
- Monthly, quarterly, or annually by liability
Watch for: Home-rule cities administer their own sales tax separately from the state. The Sales and Use Tax System (SUTS) consolidates filing, but registration is still per-jurisdiction.
Rates and thresholds as of August 2026. They change, so verify anything time-sensitive with the Colorado Department of Revenue.
Read the Colorado bookkeeping guideWant your Colorado sales tax kept current?
We track taxable sales, reconcile collected tax, and prepare and file Colorado sales tax returns on the schedule the Colorado Department of Revenue assigns you. Tell us about your business and we'll send a written scope and price.
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White Glove Accounting is a bookkeeping firm — not a licensed CPA firm, public accountancy firm, or registered tax preparer. We keep your books clean so your CPA or tax preparer can do their job.