First Regular Session
Seventy-fifth General Assembly
STATE OF COLORADO
INTRODUCED
LLS NO. 25-0570.01 Jason Gelender x4330
HOUSE BILL 25-1037
House Committees Senate Committees
Finance
A BILL FOR AN ACT
C
ONCERNING A STATE INCOME TAX CREDIT FOR A LICENSED TEACHER101
WHO IS EMPLOYED AS A TEACHER IN A PUBLIC SCHOOL ON A102
FULL-TIME BASIS FOR AT LEAST ONE -HALF OF AN ACADEMIC103
YEAR.104
Bill Summary
(Note: This summary applies to this bill as introduced and does
not reflect any amendments that may be subsequently adopted. If this bill
passes third reading in the house of introduction, a bill summary that
applies to the reengrossed version of this bill will be available at
http://leg.colorado.gov
.)
For income tax years commencing on or after January 1, 2025, but
before January 1, 2027, the bill allows a refundable state income tax
credit, which is intended to offset the various expenses that licensed
HOUSE SPONSORSHIP
Marshall and Soper,
SENATE SPONSORSHIP
Frizell and Mullica,
Shading denotes HOUSE amendment. Double underlining denotes SENATE amendment.
Capital letters or bold & italic numbers indicate new material to be added to existing law.
Dashes through the words or numbers indicate deletions from existing law. teachers often incur throughout an academic year for classroom supplies,
professional development costs, supplemental educational materials, field
trips, and other items that improve the quality of the educational services
that they provide, to a licensed teacher who is employed as a teacher in
a public school on a full-time basis for at least one-half of an academic
year (eligible teacher) during the income tax year for which the credit is
claimed. The amount of the credit is $1,000 for an eligible teacher who
is employed for the equivalent of an entire academic year and $500 for an
eligible teacher who is employed for one-half of an academic year. Two
eligible teachers who file a joint income tax return may each claim the
credit.
Be it enacted by the General Assembly of the State of Colorado:1
SECTION 1. In Colorado Revised Statutes, add 39-22-571 as2
follows:3
39-22-571. Credit - licensed teachers - tax preference4
performance statement - legislative declaration - definitions - repeal.5
(1) (a) T
HE GENERAL ASSEMBLY FINDS AND DECLARES THAT :6
(I) L
ICENSED TEACHERS WHO TEACH IN PUBLIC SCHOOLS OFTEN7
SPEND THEIR OWN MONEY TO PAY FOR CLASSROOM SUPPLIES ,8
PROFESSIONAL DEVELOPMENT COSTS , SUPPLEMENTAL EDUCATIONAL9
MATERIALS, FIELD TRIPS, AND OTHER ITEMS THAT IMPROVE THE QUALITY10
OF THE EDUCATIONAL SERVICES THAT THEY PROVIDE ;11
(II) T
HESE ITEMS PURCHASED BY LICENSED TEACHERS WITH THEIR12
OWN MONEY BENEFIT THEIR STUDENTS AND THE PUBLIC , AND THE PUBLIC13
SHOULD BE RESPONSIBLE FOR BEARING THEIR COSTS ; AND14
(III) T
HE INCOME TAX CREDIT CREATED IN THIS SECTION IS15
INTENDED TO SHIFT SOME OF THE COSTS CURRENTLY INCURRED BY16
LICENSED TEACHERS WHO TEACH IN PUBLIC SCHOOLS THAT SHOULD BE17
INCURRED BY THE PUBLIC FROM LICENSED TEACHERS TO THE PUBLIC .18
(b) I
N ACCORDANCE WITH SECTION 39-21-304 (1), WHICH19
HB25-1037-2- REQUIRES EACH BILL THAT CREATES A NEW TAX EXPENDITURE TO INCLUDE1
A TAX PREFERENCE PERFORMANCE STATEMENT AS PART OF A STATUTORY2
LEGISLATIVE DECLARATION, THE GENERAL ASSEMBLY FURTHER FINDS AND3
DECLARES THAT THE PURPOSE OF THE TAX CREDIT CREATED IN THIS4
SECTION IS TO PROVIDE TAX RELIEF FOR ELIGIBLE TEACHERS . THE5
GENERAL ASSEMBLY AND THE STATE AUDITOR SHALL MEASURE THE6
EFFECTIVENESS OF THE CREDIT IN ACHIEVING THIS PURPOSE BASED ON THE7
NUMBER AND VALUE OF CREDITS CLAIMED .8
(2) A
S USED IN THIS SECTION, UNLESS THE CONTEXT OTHERWISE9
REQUIRES:10
(a) "A
CADEMIC YEAR" HAS THE SAME MEANING AS SET FORTH IN11
SECTION 22-63-103 (1).12
(b) "E
LIGIBLE TEACHER" MEANS A TEACHER WHO IS EMPLOYED13
FULL-TIME AS A TEACHER FOR AT LEAST ONE-HALF OF AN ACADEMIC YEAR.14
(c) "O
NE-HALF OF AN ACADEMIC YEAR " MEANS EITHER THE15
PORTION OF AN ACADEMIC YEAR THAT BEGINS IN JANUARY OF AN INCOME16
TAX YEAR OR THE PORTION OF AN ACADEMIC YEAR THAT ENDS IN17
D
ECEMBER OF AN INCOME TAX YEAR .18
(d) "P
UBLIC SCHOOL" MEANS A SCHOOL OF A SCHOOL DISTRICT, A19
CHARTER SCHOOL AUTHORIZED BY A SCHOOL DISTRICT PURS UANT TO PART20
1
OF ARTICLE 30.5 OF TITLE 22, A CHARTER SCHOOL AUTHORIZED BY THE21
STATE CHARTER SCHOOL INSTITUTE PURSUANT TO PART 5 OF ARTICLE 30.522
OF TITLE 22, OR A BOARD OF COOPERATIVE SERVICES CREATED AND23
OPERATING PURSUANT TO ARTICLE 5 OF TITLE 22.24
(e) "T
EACHER" MEANS A RESIDENT INDIVIDUAL WHO HOLDS A25
VALID TEACHER LICENSE OF ANY TYPE DESCRIBED IN SECTION 22-60.5-20126
AND IS EMPLOYED TO INSTRUCT STUDENTS IN ANY PUBLIC SCHOOL IN THE27
HB25-1037
-3- STATE.1
(3) (a) F
OR INCOME TAX YEARS COMMENCING ON OR AFTER2
J
ANUARY 1, 2025, BUT BEFORE JANUARY 1, 2027, AN ELIGIBLE TEACHER3
IS ALLOWED A CREDIT AGAINST THE INCOME TAXES IMPOSED BY THIS4
ARTICLE 22 IN THE AMOUNT OF:5
(I) O
NE THOUSAND DOLLARS IF THE ELIGIBLE TEACHER IS6
EMPLOYED FULL-TIME AS A TEACHER FOR BOTH ONE -HALF OF AN7
ACADEMIC YEAR THAT BEGINS IN JANUARY OF THE INCOME TAX YEAR FOR8
WHICH A CREDIT IS CLAIMED AND ONE-HALF OF AN ACADEMIC YEAR THAT9
ENDS IN DECEMBER OF THAT INCOME TAX YEAR ; OR10
(II) F
IVE HUNDRED DOLLARS IF THE ELIGIBLE TEACHER IS11
EMPLOYED FULL-TIME AS A TEACHER FOR EITHER ONE -HALF OF AN12
ACADEMIC YEAR THAT BEGINS IN JANUARY OF THE INCOME TAX YEAR FOR13
WHICH A CREDIT IS CLAIMED OR ONE-HALF OF AN ACADEMIC YEAR THAT14
ENDS IN DECEMBER OF THAT INCOME TAX YEAR , BUT NOT BOTH.15
(b) T
WO ELIGIBLE TEACHERS WHO FILE A JOINT RETURN MAY EACH16
CLAIM THE CREDIT IN THE APPLICABLE AMOUNT SPECIFIED IN EITHER17
SUBSECTION (3)(a)(I) OR (3)(a)(II) OF THIS SECTION.18
(c) T
HE AMOUNT OF THE CREDIT UNDER THIS SECTION THAT19
EXCEEDS THE ELIGIBLE TEACHER'S INCOME TAXES DUE IS REFUNDED TO20
THE ELIGIBLE TEACHER.21
(4) T
HIS SECTION IS REPEALED, EFFECTIVE DECEMBER 31, 2031.22
SECTION 2. Act subject to petition - effective date. This act23
takes effect at 12:01 a.m. on the day following the expiration of the24
ninety-day period after final adjournment of the general assembly; except25
that, if a referendum petition is filed pursuant to section 1 (3) of article V26
of the state constitution against this act or an item, section, or part of this27
HB25-1037
-4- act within such period, then the act, item, section, or part will not take1
effect unless approved by the people at the general election to be held in2
November 2026 and, in such case, will take effect on the date of the3
official declaration of the vote thereon by the governor.4
HB25-1037
-5-