William Lindstedt
- Democratic
- Representative
- District 33
Primary
Under the law, a qualified business is allowed a tax credit in the amount of 50% of the costs to convert the qualified business to a form of employee ownership. The tax credit has been capped at $25,000 for converting a qualified business to a worker-owned cooperative or employee ownership trust and $100,000 for converting a qualified business to an employee stock ownership plan. The act: Increases the caps for converting a qualified business to a worker-owned cooperative or employee ownership trust from $25,000 to $40,000, and for converting a qualified business to an employee stock ownership plan from $100,000 to $150,000; Expands the tax credit to include 50% of the costs of a qualified employee-owned business expanding its employee ownership by at least 20%, not to exceed $25,000; Expands the tax credit to include 50% of the costs of a qualified business converting to or expanding an alternate equity structure, not to exceed $25,000. An alternate equity structure is a mechanism under which an employer grants to employees a form of employee ownership, including an employee stock ownership plan, LLC membership, phantom stock, profit interest, restricted stock, stock appreciation right, stock option, or synthetic equity. Establishes certain minimum requirements for an alternate equity structure and requires the Colorado office of economic development in the office of the governor to develop guidelines for the types of employee ownership grants that qualify as an alternate equity structure; and Specifies that a qualified business or qualified employee-owned business may apply for and claim only one credit for the conversion or expansion costs per tax year. APPROVED by Governor May 23, 2023 EFFECTIVE August 7, 2023 NOTE: This act was passed without a safety clause and takes effect 90 days after sine die. (Note: This summary applies to this bill as enacted.)
Governor Signed
Sent to the Governor
Signed by the President of the Senate
Signed by the Speaker of the House
Senate Third Reading Passed - No Amendments
Senate Second Reading Special Order - Passed - No Amendments
Senate Committee on Appropriations Refer Unamended to Senate Committee of the Whole
Senate Committee on Finance Refer Unamended to Appropriations
House Third Reading Passed - No Amendments
House Third Reading Laid Over Daily - No Amendments
House Second Reading Special Order - Passed with Amendments - Committee, Floor
House Committee on Appropriations Refer Unamended to House Committee of the Whole
House Committee on Finance Refer Amended to Appropriations
| Bill Text Versions | Format |
|---|---|
| Signed Act (05/23/2023) | |
| Final Act (05/12/2023) | |
| Rerevised (05/05/2023) | |
| Revised (05/04/2023) | |
| Reengrossed (04/21/2023) | |
| Engrossed (04/19/2023) | |
| Introduced (01/19/2023) | |
| PA1 (02/03/2023) | |
| Committee Amendment |
| Document | Format |
|---|---|
| Fiscal Note SA1 (04/14/2023) | |
| Fiscal Note SA2 (05/03/2023) | |
| Fiscal Note FN1 (01/31/2023) | |
| Fiscal Note FN2 (08/24/2023) |
Data on Open States is updated periodically throughout the day from the official website of the Colorado General Assembly.
If you notice any inconsistencies with these official sources, feel free to file an issue.