First Regular Session
Sixty-first General Assembly
LLS NO. 970203.01 MKD
HOUSE BILL 971033
STATE OF COLORADO
BY REPRESENTATIVES S. Johnson and Pfiffner;
also SENATOR Tebedo.
A BILL FOR AN ACT
CONCERNING THE APPLICABILITY OF SALES AND USE TAX
TO FRATERNAL BENEFIT SOCIETIES.
(Note: This summary applies to this bill as introduced
and does not necessarily reflect any amendments which may be subsequently
Includes fraternal benefit societies under the definition
of "charitable organization" to clarify that sales to
fraternal benefit societies are not subject to the imposition
of sales and use tax.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. 3926102 (2.5), Colorado Revised Statutes, 1994 Repl. Vol., is amended to read:
3926102. Definitions repeal. As used in this article, unless the context otherwise requires:
(2.5) "Charitable organization" means any entity:
(a) Organized and operated:
(I) Exclusively for religious, charitable,
scientific, testing for public safety, literary, or educational
(II) To foster national or international
amateur sports competition (but only if no part of its activities
involve the provision of athletic facilities or equipment);
(III) For the prevention of cruelty to children or animals; OR
(IV) AS A FRATERNAL BENEFIT SOCIETY PURSUANT TO THE PROVISIONS OF SECTION 1014102, C.R.S., OR A CORPORATION THAT SATISFIES THE REQUIREMENTS UNDER 1014102, C.R.S., BUT IS ORGANIZED UNDER THE LAWS OF ANOTHER STATE; AND
(b) No part of the net earnings of which inures to the benefit of any private shareholder or individual; AND
(c) No substantial part of the activities of which is carrying on propaganda, or otherwise attempting, to influence legislation; and
(d) Which does not participate in, or intervene in (including the publishing or distributing of statements), any political campaign on behalf of any candidate for public office.
SECTION 2. No appropriation. The general assembly has determined that this act can be implemented within existing appropriations, and therefore no separate appropriation of state moneys is necessary to carry out the purposes of this act.
SECTION 3. Effective date. This act shall take effect July 1, 1997.
SECTION 4. 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.