Colo. Rev. Stat. § 15-10-112

Current through Chapter 290 of the 2022 Legislative Session (except for Chapter 210 which is not effective until 7/1/2022 and Chapters 227 and 229 which are not yet available)
Section 15-10-112 - Cost of living adjustment of certain dollar amounts
(1) As used in this section, unless the context otherwise requires:
(a) "CPI" means the consumer price index (annual average) for all urban consumers (CPI-U): United States city average -- all items, reported by the bureau of labor statistics, United States department of labor or its successor agency or, if the index is discontinued, an equivalent index reported by a federal authority. If no such index is reported, the term means the substitute index chosen by the department of revenue; and
(b) "Reference base index" means the CPI for the calendar year 2010.
(2) The dollar amounts stated in sections 15-11-102, 15-11-202(2), 15-11-403, and 15-11-405 apply to the estate of a decedent who died during or after 2010, but for the estate of a decedent who died after 2011, these dollar amounts must be increased or decreased if the CPI for the calendar year immediately preceding the year of death exceeds or is less than the reference base index. The amount of any increase or decrease is computed by multiplying each dollar amount by the percentage by which the CPI for the calendar year immediately preceding the year of death exceeds or is less than the reference base index. If the amount of the increase or decrease produced by the computation is not a multiple of one thousand dollars, then the amount of the increase or decrease is rounded down if it is an increase, or rounded up if it is a decrease, to the next multiple of one thousand dollars, but for the purpose of section 15-11-405, the periodic installment amount is the lump-sum amount divided by twelve. If the CPI for 2010 is changed by the bureau of labor statistics, the reference base index must be revised using the rebasing factor reported by the bureau of labor statistics, or other comparable data if a rebasing factor is not reported.
(3) Before February 1, 2012, and before February 1 of each succeeding year, the department of revenue shall publish a cumulative list, beginning with the dollar amounts effective for the estate of a decedent who died in 2012 of each dollar amount as increased or decreased under this section.

C.R.S. § 15-10-112

Amended by 2014 Ch. 296,§ 12, eff. 8/6/2014.
L. 2009: Entire section added, (HB 09-1287), ch. 310, p. 1670, §1, effective July 1, 2010. L. 2010: (1)(b), (2), and (3) amended, (SB 10-199), ch. 374, p. 1747, §2, effective July 1. L. 2014: (2) amended, (HB 14-1322), ch. 296, p. 1240, § 12, effective August 6.

COMMENT

Automatic Adjustments for Inflation. Added in 2008, Section 1-109 operates in conjunction with the inflation adjustments of the dollar amounts listed in subsection (b) also adopted in 2008. Section 1-109 was added to make it unnecessary in the future for the ULC or individual enacting states to continue to amend the UPC periodically to adjust the dollar amounts for inflation. This section provides for an automatic adjustment of each of the above dollar amounts annually.

In each January, the Bureau of Labor Statistics of the U.S. Department of Labor reports the CPI (annual average) for the preceding calendar year. The information can be obtained by telephone (202/691-5200) or on the Bureau's website (http://www.bls.gov/cpi).

Subsection (c) tasks an appropriate state agency, such as the Department of Revenue, to issue an official cumulative list of the adjusted amounts beginning in January of the year after the effective date of the act. This subsection is bracketed because some enacting states might not have a state agency that could appropriately be assigned the task of issuing updated amounts. Such an enacting state might consider tasking the state supreme court to issue a court rule each year making the appropriate adjustment.

For provisions relating to the time of taking effect or the provisions for transition of this code, see § 15-17-101.