Colorado Sales Tax Calculator
Disclaimer: All rates and figures on this page are estimates for general informational purposes only and are not financial, tax, or legal advice. Sales tax rates change and vary by city, county, and the type of item purchased. Verify current rates with the Colorado Department of Revenue before relying on these figures, and consult a qualified tax professional for specific guidance.
Calculate sales tax on any purchase in Colorado. The state sales tax rate is 2.9%, and when combined with the average local rate of 4.99%, the total average in Colorado comes to 7.89%. Actual rates vary by city and county.
Colorado Sales Tax Rates
- State Rate
- 2.9%
- Avg Local Rate
- 4.99%
- Combined Average
- 7.89%
Quick Reference
Colorado uses a flat income tax and issues TABOR refunds when revenue exceeds limits.
State income tax: 4.4% top rate
How Colorado's Sales Tax Stacks Up
At 7.89% combined (state plus average local), Colorado's sales tax ranks 16th-highest nationally — above the national median of 7%.
Local governments drive the bill in Colorado: cities and counties add an average of 4.99% on top of the 2.9% state rate, so where you shop matters more than the state rate itself.
Combined state-plus-local averages nearby: Kansas (8.71%); Nebraska (6.98%); New Mexico (7.675%); Oklahoma (9.06%); Utah (7.42%). Nebraska has the lowest nearby rate at 6.98%.
Colorado Sales Tax Table
Quick reference for common purchase amounts at the 7.89% combined average rate:
| Purchase Price | Sales Tax | Total |
| $10 | $0.79 | $10.79 |
| $25 | $1.97 | $26.97 |
| $50 | $3.94 | $53.95 |
| $100 | $7.89 | $107.89 |
| $250 | $19.73 | $269.73 |
| $500 | $39.45 | $539.45 |
| $1,000 | $78.90 | $1078.90 |
| $2,500 | $197.25 | $2697.25 |
| $5,000 | $394.50 | $5394.50 |
Understanding Colorado Sales Tax
Sales tax in Colorado is collected at the point of sale on most tangible goods and some services. The state portion of 2.9% is uniform statewide, while local jurisdictions may add their own rates, averaging 4.99% across the state. Certain items like groceries and prescription medications may be exempt or taxed at reduced rates.
When budgeting in Colorado, remember that sales tax affects your purchasing power. With a median home value of $539,100 and a property tax rate of 0.51%, understanding all taxes helps you make informed financial decisions.
What Is and Is Not Taxed in Colorado
Unprepared groceries are exempt from Colorado state sales tax — exempt at the state level; home-rule cities may still tax food.
Prescription medicines are exempt in Colorado, as they are in every state that levies a sales tax; over-the-counter drugs and most medical supplies are treated separately and are frequently taxable.
Colorado is a home-rule state: dozens of cities administer and audit their own sales taxes separately from the Department of Revenue, so both the rate and the taxable base can change between neighbouring towns.
Out-of-state sellers must register and collect Colorado tax once they cross the state's economic nexus threshold, a rule that follows from the 2018 Supreme Court decision in South Dakota v. Wayfair. Below that threshold, the buyer technically owes use tax instead.
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Frequently Asked Questions
What is the sales tax rate in Colorado? + −
The Colorado state sales tax rate is 2.9%. With the average local sales tax of 4.99%, the combined rate is approximately 7.89%. Actual rates vary by city and county — some localities charge higher or lower local rates.
How do I calculate Colorado sales tax on a purchase? + −
Multiply the pre-tax price by the applicable tax rate as a decimal. For example, on a $100 purchase at the combined 7.89% rate: $100 x 0.0789 = $7.89 in tax, for a total of $107.89. Our calculator handles this automatically for any amount.
Are groceries taxed in Colorado? + −
Unprepared groceries are exempt from Colorado state sales tax — exempt at the state level; home-rule cities may still tax food. Prepared meals, restaurant food and hot deli items are treated as taxable sales rather than groceries and carry the full 7.89% combined rate wherever they are bought.
Does Colorado charge sales tax on online purchases? + −
Yes. Since the 2018 Supreme Court ruling in South Dakota v. Wayfair, Colorado requires out-of-state online retailers that meet economic nexus thresholds to collect and remit Colorado sales tax. This means most online purchases are subject to the same 2.9% state rate plus applicable local taxes.
What items are exempt from Colorado sales tax? + −
Prescription medicines are exempt. Unprepared groceries are exempt from Colorado state sales tax — exempt at the state level; home-rule cities may still tax food. Clothing is taxable in Colorado, unlike in the handful of states that exempt apparel. Sales to exempt organisations, most services, and resale purchases made with a valid Colorado resale certificate are also outside the tax. The Colorado Department of Revenue publishes the authoritative exemption list.
Why does the sales tax rate vary so much within Colorado? + −
Because local governments levy their own sales taxes — an average of 4.99%, which exceeds the 2.9% state rate itself. Depending on the city or county, your checkout rate can differ noticeably from the 7.89% statewide average.
Is Colorado a high sales tax state? + −
Colorado's 7.89% combined average ranks 16th-highest nationally, above the national median of 7%. For the full picture, the state also taxes wages at a flat 4.4%.
Who sets and administers local sales tax in Colorado? + −
Colorado is a home-rule state: dozens of cities administer and audit their own sales taxes separately from the Department of Revenue, so both the rate and the taxable base can change between neighbouring towns. In practice that means you should source the rate to the exact delivery address rather than assuming one statewide figure, and a business can face more than one filing obligation for a single sale.
How does Colorado sales tax compare with neighboring states? + −
Rates change the moment you cross a border. Combined state-plus-local averages for nearby states: Kansas (8.71%); Nebraska (6.98%); New Mexico (7.675%); Oklahoma (9.06%); Utah (7.42%) — versus 7.89% in Colorado. Nebraska is the cheapest nearby option at 6.98%.
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