January 2024 – Sales Tax

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UPDATE – SALES TAX

 

OVERVIEW

Effective January 1, 2024, some of the sales tax rates in the state of Colorado changed. We wanted to share the rate changes with you as we start the New Year, specifically as it relates to the City of Fort Collins.

 

CITY OF FORT COLLINS

Here is the Colorado Sales/Use Tax publication which outlines all of the new rates as of 1/1/2024.

Effective 1/1/24, the general rate for sales tax is 4.35%.This is an increase from 2023 when the general tax rate was 3.85%.

Certain food and drink sales are included in the 4.35% sales tax grouping:

Food and drinks provided by places like restaurants, cafes, hotels, and others where prepared food or drinks are regularly sold.

– Food and drinks sold from vending machines or similar devices.
– Prepared alcoholic drinks.
– Coffee and associated food products sold for use in offices or commercial establishments.
– Vitamins, minerals, food supplements, health aids.
– Pet food.
– Mandatory gratuity or service charges associated with the sale of food and beverages at restaurants.

While the sales tax rate increased in Fort Collins, the rate for groceries did not change and remains 2.25%.

 

LARIMER COUNTY

The Larimer County sales/use tax rate for 2024 is 0.80%, not changing from 2023.

 

STATE OF COLORADO

The state sales/use tax rate is 2.9% for 2024, not changing from 2023.