C.R.S. § 39-31-101 — Real property tax - tax equivalent - assistance - heat or fuel expenses assistance - eligibility - applicability - definitions - repeal

(1) (a) Individuals having resided within this state for the entire taxable year who are sixty-five years of age or older during the taxable year are eligible for a grant to be determined with respect to the income taxes imposed by article 22 of this title 39, subject to the additional qualification requirements of this section, to aid in the payment by such individuals of: (I) Real estate taxes, including taxes on mobile homes, or trailer coach specific ownership tax on, or tax-equivalent payments with respect to, residences occupied by such individuals; or (II) Heat or fuel expenses for residences occupied by such individuals. (b) (I) Spouses are treated as jointly qualifying for the grant under subsection (1)(a) of this section if either spouse meets the age requirement and they jointly meet all the limitations of subsection (3) of this section. In all cases spouses must file one joint claim. (II) A surviving spouse who is fifty-eight years of age or older qualifies for the grant under subsection (1)(a) of this section if the surviving spouse meets all the limitations imposed by subsection (3) of this section. (c) (I) Before January 1, 2025, the grant authorized by this section is also allowed to individuals having resided in this state for the entire taxable year and coming within the limitations imposed by subsection (3) of this section who, regardless of age, have a disability during the entire taxable year to a degree sufficient to qualify for the payment to them of full benefits from any bona fide public or private plan or source based solely upon such disability. (II) An individual has a disability for the purposes of subparagraph (I) of this paragraph (c) if such individual is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or that has lasted for a continuous period of not less than twelve months. (III) This subsection (1)(c) is repealed, effective December 31, 2030. (d) (I) Eligibility under more than one provision of this subsection (1) does not increase the amount of any grant available to an individual or spouses under subsection (2) of this section; except that an individual or spouses may claim the grant under both subsections (1)(a)(I) and (1)(a)(II) of this section, if applicable. (II) This subsection (1)(d) is repealed, effective December 31, 2030. (1.5) (a) The grant set forth in subsection (1) of this section is allowed as follows: (I) An individual or spouses claiming the grant pursuant to subsection (1)(a)(I) or (1)(c) of this section may claim the grant in an amount set forth in subsection (2) of this section; (II) An individual or spouses claiming the grant pursuant to subsection (1)(a)(II) of this section may claim the grant in an amount set forth in subsection (2.1) of this section; and (III) An individual or spouses claiming the grant pursuant to both subsections (1)(a)(I) and (1)(a)(II) of this section may claim the grant in the amount set forth in subsection (2) of this section plus the amount set forth in subsection (2.1) of this section. (b) (I) The provisions of subsection (1.5)(a) of this section apply to an individual claiming the grant pursuant to subsection (1)(c) of this section. (II) This subsection (1.5)(b) is repealed, effective December 31, 2030. (2) A grant is the amount of the general property taxes actually paid on the residence or the amount of taxes actually paid on a mobile home, plus any tax-equivalent payments computed pursuant to subsection (4) of this section, with respect to the rent of a trailer space during the year for which the grant is claimed, the amount of the specific ownership tax actually paid on a trailer coach, or the amount of the tax-equivalent payments, computed pursuant to subsection (4) of this section, actually made during the year for which such grant is claimed, but in no event may it exceed: (a) Repealed. (I) and (II) (Deleted by amendment, L. 2014.) (III) Repealed. (a.5) Repealed. (b) Repealed. (I) and (II) (Deleted by amendment, L. 2014.) (III) Repealed. (c) Repealed. (d) For a grant claimed for the 2023 calendar year, either eight hundred seventy-two dollars reduced by ten percent of the claimant's income over the phase-out amount or the property tax flat grant amount, whichever amount is greater. For a grant claimed for years commencing on or after January 1, 2024, either the maximum grant amount allowed under this subsection (2)(d) for the prior year, adjusted for inflation and reduced by ten percent of the claimant's income over the phase-out amount, or the property tax flat grant amount, whichever amount is greater. (2.1) For a grant claimed for the 2023 calendar year, either two hundred forty dollars reduced by ten percent of the claimant's income over the phase-out amount or the heat or fuel expenses flat grant amount, whichever amount is greater. For a grant claimed for years commencing on or after January 1, 2024, either the maximum grant amount allowed under this subsection (2.1) for the prior year, adjusted for inflation and reduced by ten percent of the claimant's income over the phase-out amount, or the heat or fuel expenses flat grant amount, whichever amount is greater. (2.3) and (2.5) Repealed. (3) Such grant is allowed to such persons as described in subsection (1) of this section who meet the following requirements: (a) Are not claimed as an exemption for purposes of Colorado income tax by any other person for the taxable year; (b) Have income from all sources for the taxable year of less than the maximum eligible income amount, which includes, but is not limited to, for this purpose, alimony, cash public assistance and relief, pension or annuity benefits, federal social security benefits, veterans' benefits, nontaxable interest, workers' compensation, and unemployment compensation benefits. For the purposes of this subsection (3)(b), the following are not considered income: (I) Outright gifts; (II) Medicaid payments specifically provided for the payment of medicare premiums; (II.5) Payments from or income received by a special needs trust; and (III) Those specific veterans' benefits that are service-connected disability compensation payments. For the purposes of this subparagraph (III), service-connected disability compensation payments means those payments made for permanent disability, which disability shall be limited to loss of or loss of use of both lower extremities so as to preclude locomotion without the aid of braces, crutches, canes, or a wheelchair; loss of use of both hands; blindness in both eyes, including such blindness with only light perception; or loss of one lower extremity together with residuals or organic disease or injury that so affects the functions of balance or propulsion as to preclude locomotion without the use of a wheelchair. (4) (a) The tax-equivalent amount for individuals otherwise qualified who paid rent for the right to occupy premises as a residence during the taxable year is twenty percent of the actual rent paid during the taxable year, not including any charge for utilities or food, for the purposes of calculating the amount of the grant pursuant to subsection (2) of this section. (b) To qualify as a tax-equivalent payment set forth in subsection (4)(a) of this section, rent must have been paid as a part of a bona fide tenancy or leasing agreement and does not include any portion of payments made to institutions or facilities commonly known as nursing homes but does include rent paid for the use of a mobile home or paid on trailer space if paid as a part of a bona fide tenancy. (c) For individuals otherwise qualified who paid heat or fuel expenses indirectly as part of their rental payments, it is presumed that ten percent of the actual rent paid during the taxable year was for heat or fuel expenses for the purpose of calculating the amount of the grant pursuant to subsection (2.1) of this section. For rental payments to qualify under subsection (1)(a)(II) of this section, they must have been paid as a part of a bona fide tenancy or lease agreement. Rental payments made to institutions or facilities commonly known as nursing homes do not qualify, but rental payments for the use of a mobile home qualify if paid as a part of a bona fide tenancy or lease agreement. (5) As used in this section: (a) Heat or fuel expenses flat grant amount means an amount equal to ninety-two dollars for the 2023 calendar year, and for each year thereafter the amount for the prior year adjusted for inflation. (b) Inflation means the annual percentage change in the United States department of labor, bureau of labor statistics, consumer price index for Denver-Aurora-Lakewood for all items and all urban consumers, or its successor index. (c) Maximum eligible income amount means: (I) For an individual, income that is less than or equal to eighteen thousand twenty-six dollars for the 2023 calendar year and for each year thereafter, the amount for the prior year adjusted for inflation; and (II) For spouses, income that is less than or equal to twenty-four thousand three hundred forty-five dollars for the 2023 calendar year and for each year thereafter, the amount for the prior year adjusted for inflation. (d) Phase-out amount means: (I) In the case of an individual, an amount equal to nine thousand six hundred ninety-two dollars for the 2023 calendar year and for each year thereafter, the amount for the prior year adjusted for inflation; and (II) In the case of spouses, an amount equal to fifteen thousand six hundred sixty-eight dollars for the 2023 calendar year and for each year thereafter, the amount for the prior year adjusted for inflation. (e) Property tax flat grant amount means an amount equal to two hundred eighty-two dollars for the 2023 calendar year, and for each year thereafter the amount for the prior year adjusted for inflation. Source: L. 87: Entire article added, p. 1453, § 30, effective June 22. L. 90: (3)(b) amended, p. 574, § 73, effective July 1. L. 98: (2)(a), (2)(b), and (3)(b) amended and (2.5) added, p. 513, § 1, effective August 5. L. 2000: (3)(b) amended, p. 1110, § 1, effective May 26. L. 2007: (2) and IP(3)(b) amended and (5) added, p. 1388, § 1, effective August 3. L. 2014: (1)(b)(I), (1)(c), (1)(d), (2), IP(3)(b), and (3)(b)(II) amended and (2.3) and (3)(b)(II.5) added, (SB 14-014), ch. 249, p. 965, § 2, effective July 1. L. 2019: IP(2)(a), (2)(a)(III), IP(2)(b), and (2)(b)(III) repealed, (2)(a.5), (2)(c), (2.3), IP(3), IP(3)(b), (4), and (5) amended, and (2)(d) added, (HB 19-1085), ch. 228, p. 2299, § 1, effective August 2. L. 2024: (1)(a), (1)(b), (1)(c)(I), (1)(d), (2)(d), (4), (5)(a), (5)(c), and (5)(d) amended, (1)(c)(III), (1.5), (2.1), and (5)(e) added, and (2.5) repealed, (HB 24-1268), ch. 475, p. 3327, § 1, effective August 7. Editor's note: Subsections (2)(a.5)(II), (2)(c)(II), and (2.3)(b) provided for the repeal of subsections (2)(a.5), (2)(c), and (2.3), respectively, effective July 1, 2021. (See L. 2019, p. 2299.) Cross references: For the legislative declaration in SB 14-014, see section 1 of chapter 249, Session Laws of Colorado 2014.