Second Regular Session
              Sixty-ninth General Assembly
                    STATE OF COLORADO
                                                 INTRODUCED
                                                           
                                                           
 LLS NO. 14-0312.01 Ed DeCecco x4216     HOUSE BILL 14-1097
                    HOUSE SPONSORSHIP
 Navarro, 
 
                   SENATE SPONSORSHIP
 Rivera, 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 House Committees
 Senate Committees
 
 
 Finance
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         A BILL FOR AN ACT
       Concerning the creation of a sales and use tax holiday
            related to firearms.
       
       
                           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.)
       
            Section 1 of the bill creates a state sales and use tax exemption for
       firearms, ammunition, and firearm accessories. The exemption applies to
       these items sold on the first Friday and Saturday in August of this year
       and the next 2 years, but it only applies to those items sold by a
       participating vendor. Any vendor may elect to be a participating vendor
       for any year of the sales and use tax holiday, but a participating vendor
       cannot selectively apply the exemption.
            Section 2 of the bill permits a town, city, or county to create an
       identical sales tax exemption.
       
       
       
       Be it enacted by the General Assembly of the State of Colorado:
            SECTION 1.  In Colorado Revised Statutes, add 39-26-727 as
       follows:
            39-26-727.  Sales and use tax holiday - firearms, ammunition,
       and accessories - definitions - legislative declaration. (1)  As required
       by section 39-21-304, the general assembly hereby declares that
       the purpose of this section is to create a sales and use tax
       holiday for firearms, ammunition, and firearm accessories.
            (2)  As used in this section, unless the context otherwise
       requires:
            (a)  "Firearm accessory" means a replacement part or
       attachment for a firearm, or any item used to carry or store a
       firearm. The term includes a firearm part, stock, scope, grip,
       magazine, case, and holster.
            (b)  "Firearm" means any handgun, automatic, revolver,
       pistol, rifle, shotgun, or other instrument or device capable or
       intended to be capable of discharging bullets, cartridges, or
       other explosive charges.
            (3) (a)  On the first Friday and Saturday of August 2014,
       2015, and 2016, the sale of all firearms, ammunition, and firearm
       accessories by a participating vendor is exempt from the tax
       levied pursuant to part 1 of this article.
            (b)  Any vendor may elect to be a participating vendor for
       any year that the exemption applies. A vendor who is not a
       participating vendor is required to collect the tax levied
       pursuant to part 1 of this article on the sale of a firearm,
       ammunition, or firearm accessory.
            (4)  The storage, use, or consumption of a firearm,
       ammunition, or firearm accessory that is exempt at the time of
       purchase from the sales tax pursuant to subsection (3) of this
       section is exempt from the use tax levied pursuant to part 2 of
       this article.
            SECTION 2.  In Colorado Revised Statutes, 29-2-105, amend (1)
       (d) (I) (K) and (1) (d) (I) (L); and add (1) (d) (I) (M) as follows:
            29-2-105.  Contents of sales tax ordinances and proposals -
       repeal. (1)  The sales tax ordinance or proposal of any incorporated town,
       city, or county adopted pursuant to this article shall be imposed on the
       sale of tangible personal property at retail or the furnishing of services,
       as provided in paragraph (d) of this subsection (1). Any countywide or
       incorporated town or city sales tax ordinance or proposal shall include the
       following provisions:
            (d) (I)  A provision that the sale of tangible personal property and
       services taxable pursuant to this article shall be the same as the sale of
       tangible personal property and services taxable pursuant to section
       39-26-104, C.R.S., except as otherwise provided in this paragraph (d).
       The sale of tangible personal property and services taxable pursuant to
       this article shall be subject to the same sales tax exemptions as those
       specified in part 7 of article 26 of title 39, C.R.S.; except that the sale of
       the following may be exempted from a town, city, or county sales tax only
       by the express inclusion of the exemption either at the time of adoption
       of the initial sales tax ordinance or resolution or by amendment thereto:
            (K)  The exemption for sales that benefit a Colorado school
       specified in section 39-26-725, C.R.S.; and
            (L)  The exemption for sales by an association or organization of
       parents and teachers of public school students that is a charitable
       organization as specified in section 39-26-718 (1) (c), C.R.S.; and
            (M)  The exemption for firearms, ammunition, and firearm
       accessories specified in section 39-26-727, C.R.S., for the same
       periods that the state exemption is available.
            SECTION 3.  Safety clause. The general assembly hereby finds,
       determines, and declares that this act is necessary for the immediate
       preservation of the public peace, health, and safety.