Bill > HB1037

This bill creates a refundable state income tax credit for eligible teachers employed in public schools during the tax years 2025 and 2026, with the aim of offsetting personal expenses teachers incur for classroom supplies and educational materials. An "eligible teacher" is defined as a full-time licensed teacher who works at least half an academic year in a public school, which includes traditional school district schools, charter schools, and board of cooperative services. The tax credit is $1,000 for teachers employed full-time for a complete academic year (both halves) or $500 for teachers employed full-time for only one half of an academic year. Two eligible teachers filing a joint tax return may each claim the credit, and any credit amount exceeding income taxes owed will be refunded to the teacher. The bill's legislative declaration emphasizes that teachers often spend their own money on educational resources that benefit students, and the tax credit is intended to shift some of these costs from teachers to the public. The credit will be subject to review by the General Assembly and State Auditor based on the number and value of credits claimed, and the provision is set to expire on December 31, 2031.

Budget and Finance

https://leg.colorado.gov/bills/hb25-1037