Colorado 2024 Regular Session

Colorado House Bill HB1249 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	Second Regular Session
	2	+	Seventy-fourth General Assembly
	3	+	STATE OF COLORADO
	4	+	REREVISED
	5	+	This Version Includes All Amendments
	6	+	Adopted in the Second House
	7	+	LLS NO. 24-0697.01 Jed Franklin x5484
1	8		HOUSE BILL 24-1249
2		-	BY REPRESENTATIVE(S) Winter T. and Martinez, Amabile, Bird,
3		-	deGruy Kennedy, Duran, Joseph, Kipp, Lieder, Lukens, Lynch, Mauro,
4		-	McCormick, McLachlan, Titone, McCluskie;
5		-	also SENATOR(S) Pelton R. and Roberts, Bridges, Cutter, Fields, Gardner,
6		-	Kirkmeyer, Liston, Michaelson Jenet, Pelton B., Priola, Simpson,
7		-	Smallwood, Will, Fenberg.
	9	+	House Committees Senate Committees
	10	+	Agriculture, Water & Natural Resources Finance
	11	+	Finance Appropriations
	12	+	Appropriations
	13	+	A BILL FOR AN ACT
8	14		C
9		-	ONCERNING A STATE INCOME TAX CREDIT FOR ACTIVE AGRICULTURAL
10		-	STEWARDSHIP PRACTICES
11		-	, AND, IN CONNECTION THEREWITH, MAKING
12		-	AN APPROPRIATION
13		-	.
14		-
15		-	Be it enacted by the General Assembly of the State of Colorado:
16		-	SECTION 1. In Colorado Revised Statutes, add 39-22-561 as
17		-	follows:
18		-	39-22-561. Agricultural stewardship tax credit - tax preference
19		-	performance statement - legislative declaration - definitions - repeal.
	15	+	ONCERNING A STATE INCOME TAX CREDIT FOR ACTIVE101
	16	+	AGRICULTURAL STEWARDSHIP
	17	+	PRACTICES, AND, IN CONNECTION102
	18	+	THEREWITH, MAKING AN APPROPRIATION .103
	19	+	Bill Summary
	20	+	(Note: This summary applies to this bill as introduced and does
	21	+	not reflect any amendments that may be subsequently adopted. If this bill
	22	+	passes third reading in the house of introduction, a bill summary that
	23	+	applies to the reengrossed version of this bill will be available at
	24	+	http://leg.colorado.gov.)
	25	+	The bill establishes a state income tax credit for active qualified
	26	+	stewardship practices on a farm or ranch beginning January 1, 2026.
	27	+	There are 3 tiers of tax credits that may be earned by a qualified taxpayer.
	28	+	For actively practicing one qualified stewardship practice, a qualified
	29	+	taxpayer may earn a state income tax credit equal to $75 per acre of land
	30	+	SENATE
	31	+	3rd Reading Unamended
	32	+	May 8, 2024
	33	+	SENATE
	34	+	2nd Reading Unamended
	35	+	May 7, 2024
	36	+	HOUSE
	37	+	3rd Reading Unamended
	38	+	April 29, 2024
	39	+	HOUSE
	40	+	Amended 2nd Reading
	41	+	April 26, 2024
	42	+	HOUSE SPONSORSHIP
	43	+	Winter T. and Martinez, Amabile, Bird, deGruy Kennedy, Duran, Joseph, Kipp, Lieder,
	44	+	Lukens, Lynch, Mauro, McCluskie, McCormick, McLachlan, Titone
	45	+	SENATE SPONSORSHIP
	46	+	Pelton R. and Roberts, Bridges, Cutter, Fenberg, Fields, Gardner, Kirkmeyer, Liston,
	47	+	Michaelson Jenet, Pelton B., Priola, Simpson, Smallwood, Will
	48	+	Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
	49	+	Capital letters or bold & italic numbers indicate new material to be added to existing law.
	50	+	Dashes through the words or numbers indicate deletions from existing law. covered by the qualified stewardship practice, up to a maximum credit of
	51	+	$150,000 in one income tax year. For actively practicing 2 qualified
	52	+	stewardship practices, a qualified taxpayer may earn a state income tax
	53	+	credit equal to $100 per acre of land covered by the qualified stewardship
	54	+	practices, up to a maximum credit of $200,000 in one income tax year.
	55	+	For actively practicing 3 or more qualified stewardship practices, a
	56	+	qualified taxpayer may earn a state income tax credit up to $150 per acre
	57	+	of land covered by the qualified stewardship practices, up to a maximum
	58	+	of $300,000 per income tax year. The tax credit is refundable and may not
	59	+	be carried forward.
	60	+	To claim the credit, a qualified taxpayer must apply to the
	61	+	department of agriculture for a tax credit certificate. The department of
	62	+	agriculture will evaluate the application and issue the certificate if the
	63	+	taxpayer qualifies for the tax credit. If a tax credit certificate is issued, the
	64	+	qualified taxpayer must attach it to the taxpayer's income tax return and
	65	+	submit it to the department of revenue.
	66	+	The aggregate amount of tax credits issued in one calendar year
	67	+	cannot exceed $10 million. After certificates have been issued for credits
	68	+	that exceed an aggregate of $10 million for all qualified taxpayers during
	69	+	a calendar year, any claims that exceed the amount allowed are placed on
	70	+	a wait list in the order submitted and a certificate is issued for use of the
	71	+	credit in the next income tax year. No more than $5 million in claims
	72	+	shall be placed on the wait list in any given calendar year.
	73	+	Only one tax credit certificate may be issued per qualified taxpayer
	74	+	in a calendar year, and the qualified taxpayer claiming the credit may only
	75	+	receive the tax credit for up to 3 income tax years. No credit may be
	76	+	earned if the qualified taxpayer has received another tax credit, a tax
	77	+	deduction, or a grant related to agricultural land health from any source
	78	+	during the income tax year for which the tax credit is sought.
	79	+	Be it enacted by the General Assembly of the State of Colorado:1
	80	+	SECTION 1. In Colorado Revised Statutes, add 39-22-560 as2
	81	+	follows:3
	82	+	39-22-560. Agricultural stewardship tax credit - tax preference4
	83	+	performance statement - legislative declaration - definitions - repeal.5
20	84		(1) (a) I
21		-	N ACCORDANCE WITH SECTION 39-21-304 (1), WHICH REQUIRES
22		-	EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE A TAX
23		-	PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY
24		-	LEGISLATIVE DECLARATION
25		-	, THE GENERAL ASSEMBLY DECLARES THAT THE
26		-	NOTE: This bill has been prepared for the signatures of the appropriate legislative
27		-	officers and the Governor. To determine whether the Governor has signed the bill
28		-	or taken other action on it, please consult the legislative status sheet, the legislative
29		-	history, or the Session Laws.
30		-	________
31		-	Capital letters or bold & italic numbers indicate new material added to existing law; dashes
32		-	through words or numbers indicate deletions from existing law and such material is not part of
33		-	the act. PURPOSE OF THE TAX CREDIT CREATED IN THIS SECTION IS TO INDUCE
34		-	CERTAIN DESIGNATED BEHAVIOR BY TAXPAYERS
35		-	, SPECIFICALLY TO
36		-	ENCOURAGE AN INDIVIDUAL TO ACTIVELY PRACTICE ONE OR MORE
37		-	QUALIFIED STEWARDSHIP PRACTI CES ON A FARM OR RANCH
38		-	, INCLUDING ANY
39		-	PRACTICE THAT INCREASES SOIL HEALTH
40		-	, IMPROVES WATER EFFICIENCY, OR
41		-	CREATES MORE DIVERSE AND BENEFICIAL ECOSYSTEMS WHILE MAINTAINING
42		-	THE PRODUCTIVITY OF THE FARM OR RANCH
43		-	.
	85	+	N ACCORDANCE WITH SECTION 39-21-304 (1), WHICH REQUIRES6
	86	+	EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE A TAX7
	87	+	PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY8
	88	+	1249-2- LEGISLATIVE DECLARATION, THE GENERAL ASSEMBLY DECLARES THAT THE1
	89	+	PURPOSE OF THE TAX CREDIT CREATED IN THIS SECTION IS TO INDUCE2
	90	+	CERTAIN DESIGNATED BEHAVIOR BY TAXPAYERS , SPECIFICALLY TO3
	91	+	ENCOURAGE AN INDIVIDUAL TO ACTIVELY PRACTICE ONE OR MORE4
	92	+	QUALIFIED STEWARDSHIP PRACTICES ON A FARM OR RANCH , INCLUDING5
	93	+	ANY PRACTICE THAT INCREASES SOIL HEALTH , IMPROVES WATER6
	94	+	EFFICIENCY, OR CREATES MORE DIVERSE AND BENEFICIAL ECOSYSTEMS7
	95	+	WHILE MAINTAINING THE PRODUCTIVITY OF THE FARM OR RANCH .8
44	96		(b) T
45		-	HE GENERAL ASSEMBLY AND THE STATE AUDITOR SHALL
46		-	MEASURE THE EFFECTIVENESS OF THE CREDIT IN ACHIEVING THE PURPOSE
47		-	SPECIFIED IN SUBSECTION
48		-	(1)(a) OF THIS SECTION BASED ON THE
49		-	INFORMATION REQUIRED TO BE MAINTAINED BY AND REPORTED TO THE
50		-	STATE AUDITOR BY THE DEPARTMENT OF AGRICULTURE PURSUANT TO
51		-	SUBSECTION
52		-	(4)(b) OF THIS SECTION.
	97	+	HE GENERAL ASSEMBLY AND THE STATE AUDITOR SHALL9
	98	+	MEASURE THE EFFECTIVENESS OF THE CREDIT IN ACHIEVING THE PURPOSE10
	99	+	SPECIFIED IN SUBSECTION (1)(a) OF THIS SECTION BASED ON THE11
	100	+	INFORMATION REQUIRED TO BE MAINTAINED BY AND REPORTED TO THE12
	101	+	STATE AUDITOR BY THE DEPARTMENT OF AGRICULTURE PURSUANT TO13
	102	+	SUBSECTION (4)(b) OF THIS SECTION.14
53	103		(2) A
54		-	S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE
55		-	REQUIRES
56		-	:
	104	+	S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE15
	105	+	REQUIRES:16
57	106		(a) "C
58		-	REDIT CERTIFICATE" MEANS A CERTIFICATE ISSUED BY THE
59		-	DEPARTMENT OF AGRICULTURE CERTIFYING THAT A QUALIFIED TAXPAYER
60		-	QUALIFIES FOR AN INCOME TAX CREDIT AUTHORIZED IN THIS SECTION AND
61		-	SPECIFYING THE AMOUNT OF THE CREDIT ALLOWED AND THE INCOME TAX
62		-	YEAR FOR WHICH THE CREDIT MAY BE CLAIMED
63		-	.
64		-	(b) "Q
65		-	UALIFIED STEWARDSHIP PRACTICE " MEANS ANY
66		-	AGRICULTURAL PRACTICE
67		-	, AS SPECIFIED BY RULES ISSUED BY THE
68		-	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE
69		-	, THAT MAY INCLUDE
70		-	A GRAZING OR CROPPING PRACTICE THAT IMPROVES SOIL HEALTH
71		-	, IMPROVES
72		-	WATER RETENTION AND DROUGHT RESILIENCE
73		-	, OR CREATES MORE DIVERSE
74		-	AND BENEFICIAL ECOSYSTEMS WHILE MAINTAINING THE PRODUCTIVITY OF
75		-	THE FARM OR RANCH
76		-	, INCLUDING ROTATIONAL CROPS, REDUCED TILLAGE, NO
77		-	TILLAGE
78		-	, COVER CROPPING, INTEGRATING MANAGED LIVESTOCK GRAZING ON
79		-	CROPLAND
80		-	, RANGE IMPROVEMENTS , INTERSEEDING, OR COMPOST
81		-	APPLICATION
82		-	.
	107	+	REDIT CERTIFICATE" MEANS A CERTIFICATE ISSUED BY THE17
	108	+	DEPARTMENT OF AGRICULTURE CERTIFYING THAT A QUALIFIED TAXPAYER18
	109	+	QUALIFIES FOR AN INCOME TAX CREDIT AUTHORIZED IN THIS SECTION AND19
	110	+	SPECIFYING THE AMOUNT OF THE CREDIT ALLOWED AND THE INCOME TAX20
	111	+	YEAR FOR WHICH THE CREDIT MAY BE CLAIMED .21
	112	+	(b) "QUALIFIED STEWARDSHIP PRACTICE" MEANS ANY22
	113	+	AGRICULTURAL PRACTICE, AS SPECIFIED BY RULES ISSUED BY THE23
	114	+	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE, THAT MAY24
	115	+	INCLUDE A GRAZING OR CROPPING PRACTICE THAT IMPROVES SOIL HEALTH,25
	116	+	IMPROVES WATER RETENTION AND DROUGHT RESILIENCE , OR CREATES26
	117	+	MORE DIVERSE AND BENEFICIAL ECOSYSTEMS WHILE MAINTAINING THE27
	118	+	1249
	119	+	-3- PRODUCTIVITY OF THE FARM OR RANCH, INCLUDING ROTATIONAL CROPS,1
	120	+	REDUCED TILLAGE, NO TILLAGE, COVER CROPPING, INTEGRATING2
	121	+	MANAGED LIVESTOCK GRAZING ON CROPLAND, RANGE IMPROVEMENTS ,3
	122	+	INTERSEEDING, OR COMPOST APPLICATION.4
83	123		(c) "Q
84		-	UALIFIED TAXPAYER" MEANS A PERSON SUBJECT TO TAX
85		-	PURSUANT TO THIS ARTICLE
86		-	22 WHO ACTIVELY PRACTICES A QUALIFIED
87		-	STEWARDSHIP PRACTICE ON A FARM OR RANCH LOCATED IN THE STATE
88		-	DURING AN INCOME TAX YEAR
89		-	, WHETHER THE QUALIFIED STEWARDSHIP
90		-	PRACTICE IS NEWLY PRACTICED DURING THE INCOME TAX YEAR OR IS BEING
91		-	PAGE 2-HOUSE BILL 24-1249 CONTINUED FROM A PRIOR INCOME TAX YEAR .
	124	+	UALIFIED TAXPAYER" MEANS A PERSON SUBJECT TO TAX5
	125	+	PURSUANT TO THIS ARTICLE 22 WHO ACTIVELY PRACTICES A QUALIFIED6
	126	+	STEWARDSHIP PRACTICE ON A FARM OR RANCH LOCATED IN THE STATE7
	127	+	DURING AN INCOME TAX YEAR , WHETHER THE QUALIFIED STEWARDSHIP8
	128	+	PRACTICE IS NEWLY PRACTICED DURING THE INCOME TAX YEAR OR IS9
	129	+	BEING CONTINUED FROM A PRIOR INCOME TAX YEAR .10
92	130		(3) (a) S
93		-	UBJECT TO THE LIMITATIONS SET FORTH IN SUBSECTION
94		-	(3)(b) OF THIS SECTION, FOR INCOME TAX YEARS COMMENCING ON OR AFTER
95		-	JANUARY 1, 2026, BUT BEFORE JANUARY 1, 2031, A QUALIFIED TAXPAYER
96		-	IS ALLOWED A CREDIT AGAINST THE INCOME TAXES IMPOSED BY THIS
97		-	ARTICLE
98		-	22 IN AN AMOUNT EQUAL TO:
99		-	(I) A
100		-	MINIMUM OF FIVE DOLLARS AND A MAXIMUM OF SEVENTY -FIVE
101		-	DOLLARS PER ACRE OF LAND SUBJECT TO ONE QUALIFIED STEWARDSHIP
102		-	PRACTICE
103		-	, AS SPECIFIED BY RULE ISSUED BY THE COMMISSIONER OF THE
104		-	DEPARTMENT OF AGRICULTURE
105		-	, LIMITED TO A MAXIMUM CREDIT AMOUNT OF
106		-	ONE HUNDRED FIFTY THOUSAND DOLLARS PER INCOME TAX YEAR
107		-	;
108		-	(II) A
109		-	MINIMUM OF TEN DOLLARS AND A MAXIMUM OF ONE HUNDRED
110		-	DOLLARS PER ACRE OF LAND SUBJECT TO TWO QUALIFIED STEWARDSHIP
111		-	PRACTICES
112		-	, AS SPECIFIED BY RULE ISSUED BY THE COMMISSIONER OF THE
113		-	DEPARTMENT OF AGRICULTURE
114		-	, LIMITED TO A MAXIMUM CREDIT AMOUNT OF
115		-	TWO HUNDRED THOUSAND DOLLARS PER INCOME TAX YEAR
116		-	; AND
117		-	(III) A MINIMUM OF FIFTEEN DOLLARS AND A MAXIMUM OF ONE
118		-	HUNDRED FIFTY DOLLARS PER ACRE OF LAND SUBJECT TO THREE OR MORE
119		-	QUALIFIED STEWARDSHIP PRACTICES
120		-	, AS SPECIFIED BY RULE ISSUED BY THE
121		-	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE
122		-	, LIMITED TO A
123		-	MAXIMUM CREDIT AMOUNT OF THREE HUNDRED THOUSAND DOLLARS PER
124		-	INCOME TAX YEAR
125		-	.
	131	+	UBJECT TO THE LIMITATIONS SET FORTH IN SUBSECTION11
	132	+	(3)(b)
	133	+	OF THIS SECTION, FOR INCOME TAX YEARS COMMENCING ON OR12
	134	+	AFTER JANUARY 1, 2026, BUT BEFORE JANUARY 1, 2031, A QUALIFIED13
	135	+	TAXPAYER IS ALLOWED A CREDIT AGAINST THE INCOME TAXES IMPOSED BY14
	136	+	THIS ARTICLE 22 IN AN AMOUNT EQUAL TO:15
	137	+	(I) A MINIMUM OF FIVE DOLLARS AND A MAXIMUM OF16
	138	+	SEVENTY-FIVE DOLLARS PER ACRE OF LAND SUBJECT TO ONE QUALIFIED17
	139	+	STEWARDSHIP PRACTICE, AS SPECIFIED BY RULE ISSUED BY THE18
	140	+	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE , LIMITED TO A19
	141	+	MAXIMUM CREDIT AMOUNT OF ONE HUNDRED FIFTY THOUSAND DOLLARS20
	142	+	PER INCOME TAX YEAR;21
	143	+	(II) A MINIMUM OF TEN DOLLARS AND A MAXIMUM OF ONE22
	144	+	HUNDRED DOLLARS PER ACRE OF LAND SUBJECT TO TWO QUALIFIED23
	145	+	STEWARDSHIP PRACTICES , AS SPECIFIED BY RULE ISSUED BY THE24
	146	+	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE, LIMITED TO A25
	147	+	MAXIMUM CREDIT AMOUNT OF TWO HUNDRED THOUSAND DOLLARS PER26
	148	+	INCOME TAX YEAR; AND27
	149	+	1249
	150	+	-4- (III) A MINIMUM OF FIFTEEN DOLLARS AND A MAXIMUM OF ONE1
	151	+	HUNDRED FIFTY DOLLARS PER ACRE OF LAND SUBJECT TO THREE OR MORE2
	152	+	QUALIFIED STEWARDSHIP PRACTICES, AS SPECIFIED BY RULE ISSUED BY THE3
	153	+	COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE , LIMITED TO A4
	154	+	MAXIMUM CREDIT AMOUNT OF THREE HUNDRED THOUSAND DOLLARS PER5
	155	+	INCOME TAX YEAR.6
	156	+	(b) THE DEPARTMENT OF AGRICULTURE MAY ONLY ISSUE TAX7
	157	+	CREDIT CERTIFICATES TO A QUALIFIED TAXPAYER :8
	158	+	(I) F
	159	+	OR THREE INCOME TAX YEARS; AND9
	160	+	(II) I
	161	+	F THE QUALIFIED TAXPAYER HAS NOT RECEIVED A TAX10
	162	+	CREDIT, TAX DEDUCTION, OR GRANT RELATED TO THE AGRICULTURAL11
	163	+	LAND AND THE QUALIFYING STEWARDSHIP PRACTICE DURING AN INCOME12
	164	+	TAX YEAR FOR WHICH A TAX CREDIT IS CLAIMED PURSUANT TO THIS13
	165	+	SECTION FROM ANY OTHER SOURCE .14
	166	+	(4) (a) A
	167	+	QUALIFIED TAXPAYER SHALL SUBMIT AN APPLICATION TO15
	168	+	THE DEPARTMENT OF AGRICULTURE FOR A TAX CREDIT CERTIFICATE TO16
	169	+	CLAIM THE CREDIT ALLOWED BY THIS SECTION ON A FORM AND IN A17
	170	+	MANNER PRESCRIBED BY THE DEPARTMENT OF AGRICULTURE . THE18
	171	+	APPLICATION MUST INCLUDE A MEANS FOR THE TAXPAYER TO NOTE19
	172	+	WHETHER THE TAXPAYER FILES INCOME TAXES ON A CALENDAR YEAR OR20
	173	+	FISCAL YEAR BASIS AND INFORMATION TO ALLOW THE DEPARTMENT OF21
	174	+	AGRICULTURE TO MAKE A DETERMINATION THAT THE STEWARDSHIP22
	175	+	PRACTICE IS A QUALIFIED STEWARDSHIP PRACTICE , THAT THE QUALIFIED23
	176	+	TAXPAYER IS ACTIVELY PRACTICING THE QUALIFIED STEWARDSHIP24
	177	+	PRACTICE, AND TO VERIFY THE AMOUNT FOR WHICH THE TAX CREDIT25
	178	+	CERTIFICATE IS APPLIED. A QUALIFIED TAXPAYER MAY RECEIVE ONLY ONE26
	179	+	TAX CREDIT CERTIFICATE PER INCOME TAX YEAR .27
	180	+	1249
	181	+	-5- (b) (I) THE DEPARTMENT OF AGRICULTURE SHALL MAINTAIN A1
	182	+	DATABASE OF ANY INFORMATION DETERMINED NECESSARY BY THE2
	183	+	DEPARTMENT OF AGRICULTURE TO EVALUATE THE EFFECTIVENESS OF THE3
	184	+	INCOME TAX CREDIT ALLOWED IN THIS SECTION IN MEETING THE PURPOSE4
	185	+	SET FORTH IN SUBSECTION (1) OF THIS SECTION AND SHALL PROVIDE SUCH5
	186	+	INFORMATION, AND ANY OTHER INFORMATION THAT MAY BE NEEDED , IF6
	187	+	AVAILABLE, TO THE STATE AUDITOR AS PART OF THE STATE AUDITOR 'S7
	188	+	EVALUATION OF THIS TAX EXPENDITURE REQUIRED BY SECTION 39-21-305.8
	189	+	(II) T
	190	+	HE DEPARTMENT OF AGRICULTURE SHALL , IN A SUFFICIENTLY9
	191	+	TIMELY MANNER TO ALLOW THE DEPARTMENT OF REVENUE TO PROCESS10
	192	+	RETURNS CLAIMING THE INCOME TAX CREDIT ALLOWED IN THIS SECTION ,11
	193	+	PROVIDE THE DEPARTMENT OF REVENUE WITH AN ELECTRONIC REPORT FOR12
	194	+	THE PRECEDING TAX YEAR THAT LISTS EACH QUALIFIED TAXPAYER TO13
	195	+	WHICH THE DEPARTMENT OF AGRICULTURE ISSUED A TAX CREDIT14
	196	+	CERTIFICATE AND INCLUDES THE FOLLOWING INFORMATION :15
	197	+	(A) T
	198	+	HE QUALIFIED TAXPAYER'S NAME;16
126	199		(B) T
127		-	HE DEPARTMENT OF AGRICULTURE MAY ONLY ISSUE TAX CREDIT
128		-	CERTIFICATES TO A QUALIFIED TAXPAYER
129		-	:
130		-	(I) F
131		-	OR THREE INCOME TAX YEARS; AND
132		-	(II) IF THE QUALIFIED TAXPAYER HAS NOT RECEIVED A TAX CREDIT ,
133		-	TAX DEDUCTION, OR GRANT RELATED TO THE AGRICULTURAL LAND AND THE
134		-	QUALIFYING STEWARDSHIP PRACTICE DURING AN INCOME TAX YEAR FOR
135		-	WHICH A TAX CREDIT IS CLAIMED PURSUANT TO THIS SECTION FROM ANY
136		-	OTHER SOURCE
137		-	.
138		-	(4) (a) A
139		-	QUALIFIED TAXPAYER SHALL SUBMIT AN APPLICATION TO
140		-	THE DEPARTMENT OF AGRICULTURE FOR A TAX CREDIT CERTIFICATE TO
141		-	PAGE 3-HOUSE BILL 24-1249 CLAIM THE CREDIT ALLOWED BY THIS SECTION ON A FORM AND IN A MANNER
142		-	PRESCRIBED BY THE DEPARTMENT OF AGRICULTURE
143		-	. THE APPLICATION MUST
144		-	INCLUDE A MEANS FOR THE TAXPAYER TO NOTE WHETHER THE TAXPAYER
145		-	FILES INCOME TAXES ON A CALENDAR YEAR OR FISCAL YEAR BASIS AND
146		-	INFORMATION TO ALLOW THE DEPARTMENT OF AGRICULTURE TO MAKE A
147		-	DETERMINATION THAT THE STEWARDSHIP PRACTICE IS A QUALIFIED
148		-	STEWARDSHIP PRACTICE
149		-	, THAT THE QUALIFIED TAXPAYER IS ACTIVELY
150		-	PRACTICING THE QUALIFIED STEWARDSHIP PRACTICE
151		-	, AND TO VERIFY THE
152		-	AMOUNT FOR WHICH THE TAX CREDIT CERTIFICATE IS APPLIED
153		-	. A QUALIFIED
154		-	TAXPAYER MAY RECEIVE ONLY ONE TAX CREDIT CERTIFICATE PER INCOME
155		-	TAX YEAR
156		-	.
157		-	(b) (I) T
158		-	HE DEPARTMENT OF AGRICULTURE SHALL MAINTAIN A
159		-	DATABASE OF ANY INFORMATION DETERMINED NECESSARY BY THE
160		-	DEPARTMENT OF AGRICULTURE TO EVALUATE THE EFFECTIVENESS OF THE
161		-	INCOME TAX CREDIT ALLOWED IN THIS SECTION IN MEETING THE PURPOSE
162		-	SET FORTH IN SUBSECTION
163		-	(1) OF THIS SECTION AND SHALL PROVIDE SUCH
164		-	INFORMATION
165		-	, AND ANY OTHER INFORMATION THAT MAY BE NEEDED , IF
166		-	AVAILABLE
167		-	, TO THE STATE AUDITOR AS PART OF THE STATE AUDITOR 'S
168		-	EVALUATION OF THIS TAX EXPENDITURE REQUIRED BY SECTION
169		-	39-21-305.
170		-	(II) T
171		-	HE DEPARTMENT OF AGRICULTURE SHALL , IN A SUFFICIENTLY
172		-	TIMELY MANNER TO ALLOW THE DEPARTMENT OF REVENUE TO PROCESS
173		-	RETURNS CLAIMING THE INCOME TAX CREDIT ALLOWED IN THIS SECTION
174		-	,
175		-	PROVIDE THE DEPARTMENT OF REVENUE WITH AN ELECTRONIC REPORT FOR
176		-	THE PRECEDING TAX YEAR THAT LISTS EACH QUALIFIED TAXPAYER TO WHICH
177		-	THE DEPARTMENT OF AGRICULTURE ISSUED A TAX CREDIT CERTIFICATE AND
178		-	INCLUDES THE FOLLOWING INFORMATION
179		-	:
180		-	(A) T
181		-	HE QUALIFIED TAXPAYER'S NAME;
182		-	(B) T
183		-	HE AMOUNT OF THE INCOME TAX CREDIT THAT THE CERTIFICATE
184		-	INDICATES THE QUALIFIED TAXPAYER IS ELIGIBLE TO CLAIM
185		-	; AND
186		-	(C) THE QUALIFIED TAXPAYER'S SOCIAL SECURITY NUMBER OR THE
187		-	QUALIFIED TAXPAYER
188		-	'S COLORADO ACCOUNT NUMBER AND FEDERAL
189		-	EMPLOYER IDENTIFICATION NUMBER
190		-	.
	200	+	HE AMOUNT OF THE INCOME TAX CREDIT THAT THE17
	201	+	CERTIFICATE INDICATES THE QUALIFIED TAXPAYER IS ELIGIBLE TO CLAIM ;18
	202	+	AND19
	203	+	(C) T
	204	+	HE QUALIFIED TAXPAYER'S SOCIAL SECURITY NUMBER OR THE20
	205	+	QUALIFIED TAXPAYER'S COLORADO ACCOUNT NUMBER AND FEDERAL21
	206	+	EMPLOYER IDENTIFICATION NUMBER .22
191	207		(5) I
192		-	N ORDER TO CLAIM THE CREDIT AUTHORIZED BY THIS SECTION ,
193		-	A QUALIFIED TAXPAYER SHALL FILE THE TAX CREDIT CERTIFICATE WITH THE
194		-	PAGE 4-HOUSE BILL 24-1249 QUALIFIED TAXPAYER'S STATE INCOME TAX RETURN. THE AMOUNT OF THE
195		-	CREDIT THAT THE QUALIFIED TAXPAYER MAY CLAIM PURSUANT TO THIS
196		-	SECTION IS THE AMOUNT STATED ON THE TAX CREDIT CERTIFICATE
197		-	.
198		-	(6) T
199		-	HE DEPARTMENT OF AGRICULTURE SHALL ISSUE CERTIFICATES
200		-	FOR CREDIT CLAIMS RECEIVED IN THE ORDER SUBMITTED
201		-	, BUT SHALL NOT
202		-	ISSUE CREDIT CERTIFICATES THAT EXCEED THREE MILLION DOLLARS IN A
203		-	CALENDAR YEAR
204		-	. AFTER CERTIFICATES HAVE BEEN ISSUED FOR CREDITS IN
205		-	AN AGGREGATE AMOUNT OF THREE MILLION DOLLARS FOR ALL QUALIFIED
206		-	TAXPAYERS DURING A CALENDAR YEAR
207		-	, ANY ADDITIONAL CLAIMS MUST BE
208		-	PLACED ON A WAIT LIST
209		-	, WITH PRIORITY FIRST GIVEN TO A QUALIFIED
210		-	TAXPAYER WHO HAS BEEN ISSUED A TAX CERTIFICATE IN THE CALENDAR
211		-	YEAR PRECEDING THE CALENDAR YEAR IN WHICH THE QUALIFIED TAXPAYER
212		-	IS PLACED ON THE WAIT LIST AND SECOND TO A QUALIFIED TAXPAYER WHO
213		-	APPLIED FOR THE TAX CREDIT AUTHORIZED IN THIS SECTION BUT WAS
214		-	PLACED ON THE WAIT LIST
215		-	, AND A CERTIFICATE MUST BE ISSUED FOR USE OF
216		-	THE CREDIT IN THE NEXT CALENDAR YEAR
217		-	; EXCEPT THAT NO MORE THAN
218		-	TWO MILLION DOLLARS IN CLAIMS SHALL BE PLACED ON THE WAIT LIST IN
219		-	ANY GIVEN CALENDAR YEAR
220		-	. NO CLAIM FOR A CREDIT IS ALLOWED FOR ANY
221		-	INCOME TAX YEAR UNLESS A CERTIFICATE HAS BEEN ISSUED BY THE
222		-	DIVISION
223		-	. IF ALL OTHER REQUIREMENTS OF THIS SECTION ARE MET , THE
224		-	RIGHT TO CLAIM THE CREDIT IS VESTED IN A QUALIFIED TAXPAYER AT THE
225		-	TIME A CREDIT CERTIFICATE IS ISSUED
226		-	.
	208	+	N ORDER TO CLAIM THE CREDIT AUTHORIZED BY THIS SECTION ,23
	209	+	A QUALIFIED TAXPAYER SHALL FILE THE TAX CREDIT CERTIFICATE WITH24
	210	+	THE QUALIFIED TAXPAYER'S STATE INCOME TAX RETURN. THE AMOUNT OF25
	211	+	THE CREDIT THAT THE QUALIFIED TAXPAYER MAY CLAIM PURSUANT TO26
	212	+	THIS SECTION IS THE AMOUNT STATED ON THE TAX CREDIT CERTIFICATE .27
	213	+	1249
	214	+	-6- (6) THE DEPARTMENT OF AGRICULTURE SHALL ISSUE CERTIFICATES1
	215	+	FOR CREDIT CLAIMS RECEIVED IN THE ORDER SUBMITTED , BUT SHALL NOT2
	216	+	ISSUE CREDIT CERTIFICATES THAT EXCEED THREE MILLION DOLLARS IN A3
	217	+	CALENDAR YEAR. AFTER CERTIFICATES HAVE BEEN ISSUED FOR CREDITS4
	218	+	IN AN AGGREGATE AMOUNT OF THREE MILLION DOLLARS FOR ALL5
	219	+	QUALIFIED TAXPAYERS DURING A CALENDAR YEAR , ANY ADDITIONAL6
	220	+	CLAIMS MUST BE PLACED ON A WAIT LIST, WITH PRIORITY FIRST GIVEN TO7
	221	+	A QUALIFIED TAXPAYER WHO HAS BEEN ISSUED A TAX CERTIFICATE IN THE8
	222	+	CALENDAR YEAR PRECEDING THE CALE NDAR YEAR IN WHICH THE9
	223	+	QUALIFIED TAXPAYER IS PLACED ON THE WAIT LIST AND SECOND TO A10
	224	+	QUALIFIED TAXPAYER WHO APPLIED FOR THE TAX CREDIT AUTHORIZED IN11
	225	+	THIS SECTION BUT WAS PLACED ON THE WAIT LIST , AND A CERTIFICATE12
	226	+	MUST BE ISSUED FOR USE OF THE CREDIT IN THE NEXT CALENDAR YEAR ;13
	227	+	EXCEPT THAT NO MORE THAN TWO MILLION DOLLARS IN CLAIMS SHALL BE14
	228	+	PLACED ON THE WAIT LIST IN ANY GIVEN CALENDAR YEAR . NO CLAIM FOR15
	229	+	A CREDIT IS ALLOWED FOR ANY INCOME TAX YEAR UNLESS A CERTIFICATE16
	230	+	HAS BEEN ISSUED BY THE DIVISION. IF ALL OTHER REQUIREMENTS OF THIS17
	231	+	SECTION ARE MET, THE RIGHT TO CLAIM THE CREDIT IS VESTED IN A18
	232	+	QUALIFIED TAXPAYER AT THE TIME A CREDIT CERTIFICATE IS ISSUED .19
227	233		(7) I
228		-	F AN INCOME TAX CREDIT AUTHORIZED IN THIS SECTION EXCEEDS
229		-	THE INCOME TAX DUE ON THE INCOME OF THE QUALIFIED TAXPAYER FOR THE
230		-	TAXABLE YEAR
231		-	, THE EXCESS CREDIT MAY NOT BE CARRIED FORWARD AND
232		-	MUST BE REFUNDED TO THE QUALIFIED TAXPAYER
233		-	.
234		-	(8) T
235		-	HE COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE MAY
236		-	ISSUE RULES TO ADMINISTER THIS SECTION
237		-	, INCLUDING SPECIFYING
238		-	REQUIREMENTS FOR IMPLEMENTING AND DEMONSTRATING QUALIFIED
239		-	STEWARDSHIP PRACTICES
240		-	, AND MAY ISSUE TAX CREDIT CERTIFICATES
241		-	PURSUANT TO THIS SECTION
242		-	. BEFORE PROMULGATING ANY RULES , THE
243		-	COMMISSIONER SHALL INITIATE A PUBLIC STAKEHOLDER PROCESS TO ADVISE
244		-	THE COMMISSIONER ABOUT THE REQUIREMENTS FOR IMPLEMENTING AND
245		-	DEMONSTRATING QUALIFIED STEWARDSHIP PRACTICES
246		-	.
247		-	(9) T
248		-	HIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2034.
249		-	PAGE 5-HOUSE BILL 24-1249 SECTION 2. Appropriation. For the 2024-25 state fiscal year,
250		-	$17,117 is appropriated to the department of agriculture for use by the
251		-	agricultural services division. This appropriation is from the general fund
252		-	and is based on an assumption that the division will require an additional
253		-	0.1 FTE. To implement this act, the division may use this appropriation for
254		-	the conservation services division.
255		-	SECTION 3. Act subject to petition - effective date. This act
256		-	takes effect at 12:01 a.m. on the day following the expiration of the
257		-	ninety-day period after final adjournment of the general assembly; except
258		-	that, if a referendum petition is filed pursuant to section 1 (3) of article V
259		-	of the state constitution against this act or an item, section, or part of this act
260		-	within such period, then the act, item, section, or part will not take effect
261		-	unless approved by the people at the general election to be held in
262		-	PAGE 6-HOUSE BILL 24-1249 November 2024 and, in such case, will take effect on the date of the official
263		-	declaration of the vote thereon by the governor.
264		-	____________________________ ____________________________
265		-	Julie McCluskie Steve Fenberg
266		-	SPEAKER OF THE HOUSE PRESIDENT OF
267		-	OF REPRESENTATIVES THE SENATE
268		-	____________________________ ____________________________
269		-	Robin Jones Cindi L. Markwell
270		-	CHIEF CLERK OF THE HOUSE SECRETARY OF
271		-	OF REPRESENTATIVES THE SENATE
272		-	APPROVED________________________________________
273		-	(Date and Time)
274		-	_________________________________________
275		-	Jared S. Polis
276		-	GOVERNOR OF THE STATE OF COLORADO
277		-	PAGE 7-HOUSE BILL 24-1249
	234	+	F AN INCOME TAX CREDIT AUTHORIZED IN THIS SECTION20
	235	+	EXCEEDS THE INCOME TAX DUE ON THE INCOME OF THE QUALIFIED21
	236	+	TAXPAYER FOR THE TAXABLE YEAR , THE EXCESS CREDIT MAY NOT BE22
	237	+	CARRIED FORWARD AND MUST BE REF UNDED TO THE QUALIFIED23
	238	+	TAXPAYER.24 (8) THE COMMISSIONER OF THE DEPARTMENT OF AGRICULTURE25
	239	+	MAY ISSUE RULES TO ADMINISTER THIS SECTION, INCLUDING SPECIFYING26
	240	+	REQUIREMENTS FOR IMPLEMENTING AND DEMONSTRATING QUALIFIED27
	241	+	1249
	242	+	-7- STEWARDSHIP PRACTICES, AND MAY ISSUE TAX CREDIT CERTIFICATES1
	243	+	PURSUANT TO THIS SECTION. BEFORE PROMULGATING ANY RULES, THE2
	244	+	COMMISSIONER SHALL INITIATE A PUBLIC STAKEHOLDER PROCESS TO3
	245	+	ADVISE THE COMMISSIONER ABOUT THE REQUIREMENTS FOR4
	246	+	IMPLEMENTING AND DEMONSTRATING QUALIFIED STEWARDSHIP5
	247	+	PRACTICES.6
	248	+	(9) THIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2034.7
	249	+	SECTION 2. Appropriation. For the 2024-25 state fiscal year,8
	250	+	$17,117 is appropriated to the department of agriculture for use by the9
	251	+	agricultural services division. This appropriation is from the general fund10
	252	+	and is based on an assumption that the division will require an additional11
	253	+	0.1 FTE. To implement this act, the division may use this appropriation12
	254	+	for the conservation services division.13
	255	+	SECTION 3. Act subject to petition - effective date. This act14
	256	+	takes effect at 12:01 a.m. on the day following the expiration of the15
	257	+	ninety-day period after final adjournment of the general assembly; except16
	258	+	that, if a referendum petition is filed pursuant to section 1 (3) of article V17
	259	+	of the state constitution against this act or an item, section, or part of this18
	260	+	act within such period, then the act, item, section, or part will not take19
	261	+	effect unless approved by the people at the general election to be held in20
	262	+	November 2024 and, in such case, will take effect on the date of the21
	263	+	official declaration of the vote thereon by the governor.22
	264	+	1249
	265	+	-8-