Colorado faces a $1 billion budget gap due to the corporate and personal income tax cuts in President Donald Trump’s tax-and-spending law, requiring a response from the Legislature, Gov. Jared Polis’s (D) top budget officer said.
The new federal tax law, H.R. 1, makes significant changes to both the corporate and individual tax codes that immediately impact Colorado. The new law will likely cause a $1.2 billion net revenue loss in fiscal 2026, followed by losses of $679 million in 2027 and $723 million in 2028, said Mark Ferrandino, director of the Colorado Office of State Planning and Budgeting. ...