Whether Colorado will issue a TABOR refund in 2026 depends on the state's revenue surplus in fiscal year 2025, which won't be known until mid-2026

Colorado's Taxpayer Bill of Rights (TABOR) requires the state to refund money to taxpayers when revenue exceeds a specific growth limit. The state calculates whether a refund is owed based on actual revenue collected during a fiscal year (July 1 to June 30). For a 2026 refund to happen, the state would need to collect more revenue than the TABOR limit allows during fiscal year 2025. That information is made in late spring 2026, after the fiscal year closes.

The Colorado Department of Revenue and the state legislature won't know the final revenue numbers until June 2026. If a surplus exists, the state typically issues refunds in the fall of that year—usually October or November. If revenue falls short of the limit or matches it exactly, no refund occurs.

Key Takeaways

  • A 2026 TABOR refund depends on whether Colorado's revenue in fiscal year 2025 (July 2024 through June 2025) exceeds the state's TABOR limit.
  • The state will not know if a refund is owed until June 2026, when final revenue numbers are calculated.
  • If a refund is approved, the Colorado Department of Revenue typically issues it in October or November of that year.
  • Refund amounts vary widely based on total state revenue and the number of taxpayers claiming the refund.
  • You do not need to take any action to receive a refund; the state processes it automatically for may be able to access taxpayers.

How Colorado's TABOR limit is calculated

TABOR sets a ceiling on how much revenue the state can keep. The limit is based on the prior year's revenue, adjusted for inflation and population growth. If actual revenue exceeds this limit, the excess must be refunded to taxpayers. The state legislature can vote to keep the money instead, but only if voters approve a TABOR waiver in advance.

For fiscal year 2025, the TABOR limit was set based on fiscal year 2024 revenue plus adjustments for inflation and population. The Colorado Department of Revenue tracks revenue throughout the year, but the final tally doesn't happen until after June 30, 2025. Economic conditions, tax collections, and unexpected revenue sources all affect whether the state ends up above or below the limit.

What happened with recent TABOR refunds

Colorado issued TABOR refunds in 2022 and 2023, when the state collected significantly more revenue than the limit allowed. In 2022, refunds ranged from roughly $750 to $1,500 per household, depending on tax filing status. In 2023, refunds were smaller—around $120 to $240 per household. The variation reflects how much surplus the state collected in each year.

In 2024, no refund was issued because revenue did not exceed the TABOR limit. This shows that refunds are not may provide every year. Whether 2026 brings a refund depends entirely on whether fiscal year 2025 revenue surpasses the limit—something no one can predict with certainty until the books close.

Timeline for a potential 2026 refund

The refund process follows a fixed schedule once the fiscal year ends. Fiscal year 2025 closes on June 30, 2025, and the Colorado Department of Revenue spends the next few weeks finalizing revenue numbers. By late June or early July 2026, the state will know whether a surplus exists.

If a surplus is confirmed, the legislature and governor must approve the refund—a process that typically takes July through September 2026. Once approved, the Colorado Department of Revenue distributes the refund in October or November 2026. The exact timing can shift depending on how quickly the state completes its revenue audit and how the legislature schedules votes. Refunds are typically issued as credits to state income tax returns or as direct payments, depending on how you filed.

Who receives a TABOR refund

Not everyone in Colorado receives a TABOR refund. You must have filed a Colorado state income tax return for the year in question to be may be able to access. If you didn't file a return—because your income was below the filing threshold or you didn't live in Colorado—you won't receive a refund.

The refund amount depends on your tax filing status (single, married filing jointly, head of household, etc.). Married couples filing jointly typically receive larger refunds than single filers, because the refund is calculated as a percentage of tax liability. If you owe taxes, the refund is applied to what you owe first. If you're owed a refund, the TABOR refund is added to it.

What you need to do to get a refund

You don't need to do anything. The Colorado Department of Revenue automatically processes TABOR refunds for everyone who filed a state income tax return. You will not receive a notice asking you to claim the refund or fill out a form. The state handles it on its own.

If you filed your 2025 tax return and are may be able to access, the refund will be issued in the same way your regular refund is processed—either as a direct deposit to your bank account or as a check mailed to your address on file. If you move before the refund is issued, update your address with the Colorado Department of Revenue so the check reaches you.

Factors that could affect whether a 2026 refund happens

Several things influence whether Colorado will have a surplus in fiscal year 2025. Strong job growth and wage increases mean more income tax revenue. A downturn in the economy could reduce collections. Changes in federal tax policy, business profitability, and even weather (which affects agriculture and tourism) all play a role.

The state legislature can also vote to waive TABOR if voters approve it in advance. This happened in 2022 and 2023, when Colorado voters approved temporary waivers to keep surplus revenue for schools and transportation. If voters approve another waiver for fiscal year 2025, the state could keep the money instead of issuing a refund, even if a surplus exists. You would know about any waiver proposal well before the fiscal year ends, as it requires a ballot measure.

Frequently Asked Questions

Can I check if I'm may be able to access for a TABOR refund before 2026?

You can confirm that you filed a Colorado state income tax return, which is the main requirement. The Colorado Department of Revenue won't calculate refund amounts or confirm may be able to access until after June 2026, when final revenue numbers are available. At that point, the state will publish information about the refund amount and timeline.

What if I moved out of Colorado after filing my 2025 return?

You can still receive a TABOR refund if you filed a Colorado state income tax return for that year. Update your address with the Colorado Department of Revenue before the refund is issued so the payment reaches you. If you don't update your address and the check is returned, the state holds the money and you can claim it later.

How much will the 2026 TABOR refund be?

The refund amount cannot be predicted now. It depends on how much surplus the state collects in fiscal year 2025 and how many taxpayers are may be able to access. Recent refunds have ranged from $120 to $1,500 per household. The state will announce the exact amount in mid-2026, after revenue is finalized.

What if Colorado voters approve a TABOR waiver for 2026?

If voters approve a waiver before the fiscal year ends, the state can keep the surplus instead of issuing a refund. Any waiver proposal would appear on a ballot well in advance, so you would know about it before June 2025. Without a waiver, a surplus automatically triggers a refund.

Do I need to file a tax return to get a TABOR refund?

Yes. You must have filed a Colorado state income tax return for the year in question. If your income was below the filing threshold or you didn't live in Colorado during the year, you won't receive a refund. The state processes refunds automatically for those who filed.