As the tax season kicks off, Colorado residents have an important opportunity to maximize their refunds and ensure they receive every dollar they are entitled to. This year, the IRS officially began accepting tax returns on Monday, and amidst the usual filing frenzy, Coloradans are reminded to pay special attention to a crucial step in the process: opting in for TABOR refunds. These refunds, rooted in the Taxpayer’s Bill of Rights, provide a financial return when the state exceeds its spending limits. With new tax benefits and credits also on the horizon, it’s essential for taxpayers to be informed and proactive to take full advantage of their entitlements.
| Category | Details |
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| IRS Tax Season Start | The IRS began accepting and processing tax returns on Monday. |
Understanding TABOR: What You Need to Know
TABOR stands for the Taxpayer’s Bill of Rights, an important part of Colorado’s laws. This law was created in 1992 to make sure the state doesn’t keep too much of your money. When Colorado collects more money than it needs, you might get some of it back! But to receive these refunds, you must opt-in by checking a special box when you file your taxes.
If you forget to check that box, you might miss out on your TABOR refund! Elisabeth Kosar from the Colorado Department of Revenue wants everyone to remember this crucial step. She advises taxpayers to check with their tax preparers or do it online to ensure they receive their refunds. It’s easy to get confused, so being careful is very important!
How to Ensure You Get Your TABOR Refund
To get your TABOR refund, you need to take action when filing your taxes. When using tax services like H&R Block or TurboTax, look for the option that says, ‘I elect to receive TABOR.’ This option helps you claim your refund. Remember, if you don’t choose this option, you won’t receive any money back from TABOR.
Elisabeth Kosar emphasizes the importance of this step for all Colorado taxpayers. If you are unsure, don’t hesitate to ask for help from your tax preparer. They can guide you on how to check the box and ensure you get your refund. It’s a small step that can lead to extra money in your pocket!
The Process of Claiming Your TABOR Refund
Once you have opted in for your TABOR refund, it will be processed along with your regular state tax refund. This means you won’t have to wait long to receive your money. If you have lived in Colorado for a while, you may remember receiving flat refund checks in the past. This year, however, the refunds will be based on your income.
It’s important to note that these refunds will be lower than those given during the pandemic. But don’t worry! Colorado is still working hard to give back to its residents. New tax benefits introduced last year are designed to help taxpayers keep more money in their wallets.
New Tax Benefits for Colorado Residents
In addition to TABOR refunds, Colorado has introduced new tax benefits that you may qualify for. Last year’s legislative session was very busy, and lawmakers created many new tax credits. These credits can help you save money or even get money back when you file your taxes.
Elisabeth Kosar mentioned that a tax benefits hub will be launched soon. This hub will provide valuable information about all the different tax credits available to Colorado residents. It’s a great idea to check it out and find out if you qualify for any of these benefits!
Who Can Claim TABOR Refunds?
You might be surprised to learn that anyone can claim TABOR refunds, even if you don’t owe any taxes! This means that if you are a resident of Colorado and have filed your taxes, you might still receive some money back. It’s a great opportunity for all taxpayers.
The Colorado Department of Revenue encourages everyone to take advantage of this refund. They provide all the necessary information on their website, so you can easily find out how to claim your refund. If you have any questions, you can also call the Taxpayer Helpline for assistance!
Important Dates for Colorado Tax Filers
As of Monday, the IRS has started accepting and processing tax returns, which means it’s time to get ready! Make sure to mark your calendars and start gathering your documents. The sooner you file, the sooner you can receive your TABOR refund.
Remember, filing your taxes early can also help you avoid any last-minute stress. Make sure to double-check your forms and don’t forget to opt-in for your TABOR refund. By keeping track of important dates, you can ensure a smooth tax filing experience!
Getting Help with Your Taxes
If you find taxes confusing, you are not alone! Many people struggle with understanding tax forms and what they need to do. That’s why it’s a great idea to seek help from tax professionals or use tax preparation services that can guide you through the process.
The Colorado Department of Revenue is also here to help. They have a Taxpayer Helpline that you can call for assistance. If you have questions about TABOR or any other tax-related issues, don’t hesitate to reach out. Getting help can make filing your taxes much easier!
Frequently Asked Questions
What is the TABOR refund in Colorado?
TABOR stands for the Taxpayer’s Bill of Rights, giving Colorado taxpayers a refund when the state exceeds spending limits.
How can I receive my TABOR refund?
To receive your TABOR refund, you must opt in when filing your taxes. Check the box on your tax forms or ask your tax preparer to do so.
What if I forget to opt in for my TABOR refund?
If you don’t check the box to opt in, unfortunately, you will miss out on your TABOR refund.
When will TABOR refunds be processed?
TABOR refunds will be processed along with your traditional state tax refunds after you file your taxes.
Are TABOR refunds the same for everyone?
No, TABOR refunds vary based on income and are lower than previous flat refund checks sent during the pandemic.
Where can I find more information about tax credits?
You can visit the Colorado Department of Revenue website or check their upcoming tax benefits hub for information on new tax credits.
How can I contact the Taxpayer Helpline?
You can reach the Taxpayer Helpline at 303-238-7378, available weekdays from 8 a.m. to 4:30 p.m.
Summary
On Monday, the IRS started accepting tax returns, and Colorado residents should take note of an important step to ensure they receive their TABOR refunds. TABOR, or the Taxpayer’s Bill of Rights, requires taxpayers to opt in for the refund by checking a specific box when filing. The Colorado Department of Revenue is emphasizing that failing to do so means missing out on the refund. This year, refunds will vary based on income and are lower than previous years, but new tax benefits will be available. For more details, taxpayers can visit the Department’s website or call their helpline.
