Governor Calls IRS’ New TABOR Refund Tax ‘Absurd’

The Internal Revenue Service published new guidelines that would tax TABOR refunds. Under the new rules, TABOR refunds will be seen as taxable income beginning in the 2023 tax year.

The TABOR Amendment requires tax revenues in excess of the revenue cap be refunded to taxpayers. Those refunds have never been taxed by the IRS.

Governor Jared Polis called the IRS’ decision absurd. Polis said that he has talked with the White House and he is going to talk to the higher ups at the IRS. Polis told Denver 7 News, “I will always defend Coloradans and the federal government coming after $300 of $400 from Coloradans just because we have a strong budget and a surplus, that makes no sense.”