Colo. Code Regs. 39-22-517
Current through Register Vol. 47, No. 17, September 10, 2024
Rule 39-22-517 - Child Care Center Investment CreditBasis and Purpose. The bases for this rule are sections 39-21-112 and 39-22-517, C.R.S. The purpose of this rule is to further define the tangible personal property eligible for the child care center investment credit.
(1)General Rules.(a) Any person operating a child care center, family child care home, or foster care home licensed pursuant to the provisions of sections 26-6-905 and 26.5-5-309, C.R.S., is allowed a credit against the tax imposed pursuant to article 22 of title 39, C.R.S., in an amount of twenty percent of the taxpayer's annual investment in tangible personal property to be used in the child care center, family child care home, or foster care home.(b) Any sole proprietorship, partnership, limited liability corporation, subchapter S corporation, or regular corporation which provides child care facilities which are incidental to their business and are licensed pursuant to sections 26-6-905 and 26.5-5-309, C.R.S., for the use of its employees is allowed a credit against the tax imposed pursuant to article 22 of Title 39, C.R.S., in an amount of ten percent of the taxpayer's annual investment in tangible personal property to be used in such child care facilities.(2)Qualifying Tangible Personal Property. For the purposes of section 39-22-517, C.R.S., tangible personal property shall only include tangible personal property purchased for use in the operation of a child care center, family child care home, or foster care home to the extent the property qualifies as depreciable property for federal income tax purposes with a determinable life that exceeds one year and the cost of such property is allowed as a deductible business expense for federal income tax purposes either as a current expense or as a deduction for depreciation. For example, if a taxpayer purchased a van which was to be used 50% of the time for the taxpayer's personal matters, 50% of the cost of the van would be qualifying tangible personal property.Colorado Register, Vol 37, No. 14. July 25, 2014, effective 8/14/201437 CR 18, September 25, 2014, effective 10/15/201437 CR 19, October 10,2014, effective 10/30/201437 CR 22, November 25, 2014, effective 12/16/201438 CR 04, February 25, 2015, effective 3/17/201538 CR 07, April 10, 2015, effective 4/30/201538 CR 11, June 10, 2015, effective 6/30/201538 CR 22, November 25, 2015, effective 12/15/201538 CR 24, December 25, 2015, effective 1/14/201638 CR 24, December 25, 2015, effective 1/19/201639 CR 01, January 10, 2016, effective 1/30/201639 CR 16, August 25, 2016, effective 9/14/201640 CR 08, April 25, 2017, effective 5/15/201740 CR 12, June 25, 2017, effective 7/15/201740 CR 16, August 25, 2017, effective 9/14/201740 CR 23, December 10, 2017, effective 1/1/201841 CR 14, July 25, 2018, effective 8/14/201841 CR 20, October 25, 2018, effective 11/14/201842 CR 02, January 25, 2019, effective 12/18/201842 CR 02, January 25, 2019, effective 12/18/2018, expires 4/17/201942 CR 06, March 25, 2019, effective 4/14/201943 CR 04, February 25, 2020, effective 3/16/202043 CR 13, July 10, 2020, effective 6/2/202043 CR 17, September 10, 2020, effective 9/30/202044 CR 03, February 10, 2021, effective 3/2/202144 CR 07, April 10, 2021, effective 4/30/202144 CR 08, April 25, 2021, effective 5/15/202145 CR 01, January 10, 2022, effective 1/30/202245 CR 04, February 25, 2022, effective 3/17/202245 CR 05, March 10, 2022, effective 3/30/202246 CR 11, June 10, 2023, effective 5/2/202346 CR 09, May 10, 2023, effective 5/30/202346 CR 15, August 10, 2023, effective 8/30/2023