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Why incorporate in Colorado?

Business Information & Rankings

  • Colorado ranked 2nd on the State Science & Technology Index. (Milken Institute, 2004)
  • Colorado ranked 8th on the State Business Tax Climate Index. (Tax Foundation, 2004)
  • Colorado ranked 4th on the Most Preferred State to Live In. (Harris Poll, 2004)
  • Government Technology magazine ranked six Colorado cities in the top 10 among Digital Cities.

Cost of Living Index

For Denver, CO (2005):Index Score
Misc. Goods & Services:100.8

Crime Rate

Colorado is ranked 30th in crime. (FBI, 2004)

Fees & Taxes

Business Inventory Tax
Colorado does not tax business inventory.

Corporate Income Tax
Rate: 4.63%.
Qualified taxpayers may pay an alternative tax of 0.5% of gross receipts from sales in or into Colorado.

Personal Income Tax
A flat rate of 4.63% of federally adjusted taxable income is levied.

Personal Property Tax
Industrial and commercial property is assessed for property tax purposes at 29% of market value.

State Sales and Use Tax
Base Rate: 2.9 %
Machinery Rate: None

Exemptions provided for purchases of machinery or machine tools in excess of $500 to be used directly in manufacturing tangible personal property.

Unemployment Insurance
Colorado charges new employers 3.12% for 2 years.