Bill > SB009

This bill modifies the definition of a "charitable organization" for the purpose of state sales and use tax in Colorado by establishing a presumption that organizations holding a 501(c)(3) determination letter from the Internal Revenue Service (IRS) qualify as charitable. The Department of Revenue, which is the state agency responsible for collecting taxes, must now presume an organization is charitable if it provides this IRS letter, and cannot deny charitable status solely because of a change in the organization's 501(c)(3) status. However, the Department of Revenue still retains the ability to review and determine if an organization truly meets the criteria for being a "charitable organization" under state law, even with the presumption in place.