Colorado variant. This is a Colorado-specific version of the Income Tax Calculator, using pre-defined local figures (tax rates, median home and income values, and typical regional costs). For the full formula, methodology, and FAQ, open the main Income Tax Calculator.
Colorado income tax (Flat 4.4%) stacks on top of federal tax. Understanding both layers is essential to estimating your total Colorado tax bill.
Colorado state income tax structure
Colorado taxes income at Flat 4.4%, with a top marginal rate of 4.4%. Like the federal system, only income within each bracket is taxed at that bracket's rate.
Federal brackets (10%–37%) apply nationwide. Combine your federal effective rate with the Colorado rate to find your true marginal tax on the next dollar earned.
About taxes and housing in Colorado
Colorado applies a single flat income tax rate of 4.4% to all taxable income.
Colorado has among the lowest effective property tax rates in the country, though rapidly rising home values have pushed up assessments.
Colorado's economy spans aerospace, technology, and outdoor recreation, with strong population growth concentrated along the Front Range.
Worked example: state tax on $92,911
Using the 4.4% top rate as a ceiling, state income tax on $92,911 is at most about $4,088; the actual figure is lower after brackets and deductions.
Quick reference
- State income tax: Flat 4.4%
- State sales tax: 2.9% (plus 4.91% avg local)
- Median home value: $565,000
- Median household income: $92,911
- Effective property tax rate: 0.55%
- Avg auto insurance: $2,065/yr
Frequently Asked Questions
Does Colorado have state income tax?
Yes - Flat 4.4%, topping out at 4.4%.
What is the top tax rate in Colorado?
The top marginal state rate is 4.4%.