Colorado Income Tax Rate for 2026
Colorado has one flat income tax rate of 4.4% for 2026. Examples of Colorado state income tax calculations for Single and Married Filing Jointly statuses are compared.
Colorado has one individual income tax bracket with a statutory flat rate of 4.4% for 2026. The same flat rate applies to Single, Married Filing Jointly, Married Filing Separately, and Head of Household filing statuses. The 2026 tax year covers income earned from January 1, 2026 through December 31, 2026. For calendar-year filers, federal Form 1040 series returns and Colorado Form 104 tax returns are generally due April 15, 2027.
Colorado voters approved reductions in the statutory income tax rate from 4.63% to 4.55% beginning in 2020, and to 4.4% beginning in 2022. Temporary rate reductions can also apply when state revenue exceeds the limits established by the Taxpayer's Bill of Rights (TABOR). A temporary reduction lowered the rate to 4.25% for tax year 2024, followed by a return to 4.4% for 2025. Colorado's 2026 estimated income tax worksheet currently uses 4.4%. Any temporary reduction for tax year 2026 would be published by the Department of Revenue before the 2027 filing season begins.
Examples
Colorado Income Tax Calculation Examples
The goal of these examples is to compare Single and Married Filing Jointly statuses at the same $80,000 annual income per person. The Single example uses $80,000 of household income, while the Married Filing Jointly example assumes each spouse earns $80,000, for a combined $160,000. The results match our All 50 States income tax calculator using $80,000 or $160,000 and the corresponding filing status.
To simplify the calculations, both examples assume full-year Colorado residency, W-2 wages only, no dependents, and taxpayers under age 65 who are not blind or claimed as dependents. Colorado does not have a separate state standard deduction because its calculation starts with federal taxable income. The federal standard deduction is therefore used, and assumes no other deductions, Colorado additions or subtractions, or tax credits. See the All 50 States calculator for a full list of assumptions and sources.
Colorado Filing Status Comparison (2026 Tax Year)
| Tax Metric | Single | Married Filing Jointly |
|---|---|---|
| Household Income | $80,000 | $160,000 |
| Standard Deduction | $16,100 | $32,200 |
| Taxable Income | $63,900 | $127,800 |
| State Income Tax | $2,812 | $5,623 |
| Effective Tax Rate | 3.51% | 3.51% |
| Marginal Tax Rate | 4.4% | 4.4% |
Looking at the table above, we can see that the same 4.4% tax rate applies to both Single and Married Filing Jointly statuses. The federal standard deduction doubles for Married Filing Jointly, matching the doubling of household income. Colorado taxable income and estimated state income tax also double, leaving both examples with the same marginal and effective tax rates. Before rounding, the joint tax equals the combined tax of two single filers who each earn $80,000. Filing jointly therefore produces no Colorado marriage penalty in this simplified comparison. Next, we will review the step-by-step calculations for each filing status.
Step-by-Step Example 1: Single
For a single filer with $80,000 of household income, the 2026 federal standard deduction is $16,100. With no Colorado additions or subtractions, federal and state taxable income are the same.
- Taxable income: Subtract the federal standard deduction from household income.
- Estimated Colorado income tax: Multiply taxable income by the flat tax rate of 4.4%.
Colorado effective tax rate: $2,811.60 divided by $80,000 of household income equals 3.51%, rounded. The estimated state income tax rounds to $2,812 in the comparison table.
Colorado marginal tax rate: 4.4%, the rate applied to each additional dollar of Colorado taxable income in this example.
Step-by-Step Example 2: Married Filing Jointly
Now let's apply the same calculation to a married couple filing jointly. Each spouse earns $80,000 with a combined household income of $160,000. The 2026 federal standard deduction for Married Filing Jointly is $32,200. With no Colorado additions or subtractions, federal and state taxable income are again the same.
- Taxable income: Subtract the joint federal standard deduction from household income.
- Estimated Colorado income tax: Multiply taxable income by the same flat tax rate of 4.4%.
Colorado effective tax rate: $5,623.20 divided by $160,000 of household income equals 3.51%, rounded. The estimated state income tax rounds to $5,623 in the comparison table.
Colorado marginal tax rate: 4.4%, unchanged from the Single example.
Takeaway
Colorado Income Tax Takeaways
A flat tax rate applies to taxable income: Colorado's 4.4% rate does not apply to the entire paycheck. In these examples, the federal standard deduction reduces the amount of income subject to state tax.
The joint tax equals the combined tax of two single filers: At $80,000 of annual income per person, the joint household has twice the income, federal standard deduction, and Colorado taxable income. Before rounding, the joint tax of $5,623.20 is exactly twice the Single tax of $2,811.60. This simplified comparison shows no Colorado marriage penalty.
Both examples produce the same effective tax rate: Estimated Colorado income tax divided by household income produces a 3.51% effective rate for both filing statuses. Both also have a 4.4% marginal rate. Results can differ when other deductions, state adjustments, or credits apply.
Colorado vs Neighboring States
| State | Tax Year | Tax Rate | Rate Type |
|---|---|---|---|
| Colorado | 2026 | 4.4% | Flat |
| Kansas | 2026 | 5.2% - 5.58% | Progressive |
| Nebraska | 2026 | 2.46% - 4.55% | Progressive |
| New Mexico | 2026 | 1.5% - 5.9% | Progressive |
| Utah | 2026 | 4.45% | Flat |
| Wyoming | 2026 | 0% | None |
FAQ
Frequently Asked Questions
Is Colorado a flat tax state?
Yes. Colorado applies one income tax rate to state taxable income. It does not use a series of progressively higher tax brackets. Deductions and other adjustments can still affect how much income is taxed.
What is the Colorado income tax rate for 2026?
The statutory rate is 4.4%. Colorado's 2026 estimated income tax worksheet uses that rate, as do the examples on this page. Temporary rate reductions can apply in years when state revenue conditions trigger them.
What is Colorado's marginal tax rate?
The marginal tax rate in both examples is 4.4%. Each additional dollar of Colorado taxable income adds 4.4 cents of tax before credits.
What is Colorado's effective tax rate?
There is no single effective tax rate for every Colorado taxpayer. On this page, the effective rate is estimated Colorado income tax divided by household income. At $80,000, our example produces an effective tax rate of 3.51% for a Single status filer.
Does Colorado have a standard deduction?
Colorado does not have a separate state standard deduction. Instead, the calculation starts with federal taxable income after the federal standard deduction or itemized deductions. Our 2026 examples use federal standard deductions of $16,100 for Single and $32,200 for Married Filing Jointly.
Does Colorado have a personal exemption?
No separate Colorado personal exemption is subtracted in these calculations. Colorado starts with federal taxable income, and the federal personal exemption amount is zero for 2026.
Does Colorado have a dependent exemption?
Colorado does not provide a separate exemption deduction for each dependent. Qualifying families may instead receive tax benefits through credits. The examples on this page assume no dependents or tax credits.
Does Colorado have a marriage penalty?
Colorado does not apply a higher tax rate simply because a couple files jointly. Whether marriage increases a couple's tax also depends on deductions, credits, and how income is divided between them. A true marriage-penalty comparison requires comparing a complete joint return with the combined tax on two complete unmarried returns. The table above compares a Single filer earning $80,000 with a married couple earning $160,000 combined, or $80,000 per person.
References:
- 2026 Colorado Estimated Income Tax Payment Form (DR 0104EP). Colorado Department of Revenue. Worksheet, page 3. Retrieved September 10, 2026.
- Individual Income Tax Guide. Colorado Department of Revenue. Part 2: Calculating Colorado Income Tax. Retrieved September 10, 2026.
- Colorado Revised Statutes, Title 39: Taxation. Colorado General Assembly. Sections 39-22-104 and 39-22-627, income tax and temporary rate adjustments. Retrieved September 10, 2026.
- Tax Inflation Adjustments for Tax Year 2026. Internal Revenue Service. Standard deductions and personal exemptions. Retrieved September 10, 2026.