Second Regular Session
              Sixty-ninth General Assembly
                    STATE OF COLORADO
                                                 INTRODUCED
                                                           
                                                           
 LLS NO. 14-0763.01 Ed DeCecco x4216     SENATE BILL 14-122
                   SENATE SPONSORSHIP
 Hill, 
 
                    HOUSE SPONSORSHIP
 (None),
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Senate Committees
 House Committees
 
 
 Health & Human Services
 
 
 
 Finance
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         A BILL FOR AN ACT
       Concerning the creation of a credit for tobacco products
            that a distributor sells to an out-of-state consumer.
       
       
                           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://www.leg.state.co.us/billsummaries.)
       
            The bill permits a distributor to claim a credit for taxes paid on
       tobacco products that are shipped or transported by the distributor to a
       consumer outside of the state.
       
       
       
       Be it enacted by the General Assembly of the State of Colorado:
            SECTION 1.  Legislative declaration. The general assembly
       finds and declares that the goal of the tax expenditure in this act is to
       update our laws for the twenty-first century and level the playing field
       between large retailers and small businesses by equalizing tax credits
       currently available only to large retailers.
            SECTION 2.  In Colorado Revised Statutes, 39-28.5-107, amend
       (1) as follows:
            39-28.5-107.  When credit may be obtained for tax paid.
       (1)  Where tobacco products, upon which the tax imposed by this article
       has been reported and paid, are shipped or transported by the distributor
       to retailers without the state to be sold by those retailers or are returned
       to the manufacturer by the distributor or destroyed by the distributor,
       credit of such tax may be made to the distributor in accordance with
       regulations prescribed by the department if the products are:
            (a)  Shipped or transported by the distributor to a
       consumer outside of the state;
            (b)  Shipped or transported by the distributor to retailers
       outside of the state to be sold by those retailers;
            (c)  Returned to the manufacturer by the distributor; or
            (d)  Destroyed by the distributor.
            SECTION 3.  Act subject to petition - effective date -
       applicability. (1)  This act takes effect at 12:01 a.m. on the day following
       the expiration of the ninety-day period after final adjournment of the
       general assembly (August 6, 2014, if adjournment sine die is on May 7,
       2014); except that, if a referendum petition is filed pursuant to section 1
       (3) of article V of the state constitution against this act or an item, section,
       or part of this act within such period, then the act, item, section, or part
       will not take effect unless approved by the people at the general election
       to be held in November 2014 and, in such case, will take effect on the
       date of the official declaration of the vote thereon by the governor.
            (2)  This act applies to sales of tobacco products on or after the
       applicable effective date of this act.