Colorado § 39-22-5504 Recapture

Colorado Statutes

§ 39-22-5504 — Recapture

Colorado·Title 39 Taxation·Art. Income Tax

(1)As of the last day of any taxable year during the compliance period, if the amount of the qualified basis of a qualified development with respect to a taxpayer is less than the amount of the qualified basis as of the last day of the prior taxable year, then the amount of the taxpayer's state income tax liability for that taxable year must be increased by the credit recapture amount.

(2)For purposes of subsection (1) of this section, the credit recapture amount is an amount equal to the aggregate decrease in the credit allowed to the taxpayer pursuant to this part 55 for all prior taxable years that would have resulted if the accelerated portion of the credit allowable by reason of this part 55 were not allowed for all prior taxable years with respect to the reduced amount of

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(1) As of the last day of any taxable year during
the compliance period, if the amount of the qualified basis of a qualified
development with respect to a taxpayer is less than the amount of the qualified
basis as of the last day of the prior taxable year, then the amount of the taxpayer's
state income tax liability for that taxable year must be increased by the credit
recapture amount.

(2) For purposes of subsection (1) of this section, the credit recapture amount
is an amount equal to the aggregate decrease in the credit allowed to the taxpayer
pursuant to this part 55 for all prior taxable years that would have resulted if the
accelerated portion of the credit allowable by reason of this part 55 were not
allowed for all prior taxable years with respect to the reduced amount of qualified
basis described in subsection (1) of this section.

(3) For purposes of subsection (2) of this section, the accelerated portion of
the credit for the prior taxable years with respect to any amount of qualified basis
is the difference between:

(a) The aggregate amount of the credit allowed pursuant to this part 55,
notwithstanding this subsection (3), for the years with respect to such qualified
basis; and

(b) The aggregate amount of the credit that would be allowed pursuant to
this part 55 for such years with respect to the qualified basis if the aggregate
credit that would have been allowable, but for this subsection (3), for the entire
compliance period were allowable ratably over fifteen years.

(4) In the event that recapture of any credit is required in any tax year, the
return submitted for that tax year to the department shall include the proportion of
credit required to be recaptured, the identity of each taxpayer subject to the
recapture, and the amount of credit previously allocated to such taxpayer.

(5) Notwithstanding subsection (1) of this section, credits issued pursuant to
this part 55 must not be recaptured if a qualified development, after the initial
award of credits, ceases being located in a transit-oriented center within a certified
transit-oriented community or in a neighborhood center within a metropolitan
planning organization.

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