Colorado 2013: Sales Tax Deduction
Colorado does not allow the deduction of state income tax included on the federal Schedule A. Any state income tax deducted must be added back on Colorado form 104. However, if sales tax is taken instead of state income tax (because it is a larger amount), no add back is required.
Certain Colorado customers, who deducted sales tax instead of state income tax on their federal Schedule A, line 5, may have filed an incorrect Colorado tax return.
TurboTax has fixed this issue.
How to tell if you may be impacted
You may be affected if all of the following apply to you:
- You filed your Colorado state tax return after 2/20/2014 and prior to 3/28/2014 AND
- Your federal Schedule A – Itemized Deductions, line 5 is checked for General sales taxes and not for Income taxes.
If you are affected, you may have overpaid your state tax. You may need to amend your Colorado return.
To amend your return:
- Follow these step-by-step instructions.
- After you make the changes to your tax return, you will need to mail a copy of your amended state return.
- Your printed return will include instructions on how and where to mail it.
If you need to contact us, please use the phone number in the email from TurboTax and tell the representative you’re calling about the Colorado 2013: Sales Tax Deduction