Tax & Licensing Overview

Print
Press Enter to show all options, press Tab go to next option

City of Louisville Tax Overview

The City of Louisville, Colorado became a home-rule municipality January 1, 2002 and began self-collection of sales tax July 1, 2002.  Effective January 1, 2011 the City increased the use tax to 3.5% and expanded the tax base to include consumer goods. The City sales tax rate remains 3.5%.
 
To administer tax policies and collections, the City created a Sales Tax and Licensing Division. The Division is responsible for sales/use tax licensing, sales/use tax collection, lodging tax collection, telephone utility tax collection, tax collection on non-industrial utility usage, auditing, processing sales/use tax refund requests and various revenue reporting.
 
All businesses with a physical location in Louisville are required to have a sales/use tax license for their business, regardless of whether or not goods and services are sold.
 
Additionally, all persons engaged in the operation, conduct, or carrying on of any trade, profession, business, or occupation within the City, whereby the collection and remittance of sales or use tax is obligatory, is to purchase a City sales and use tax license. This includes rentals, leases, deliveries or shipments into the City.

City Sales/Use Tax License

It is unlawful for any person to engage in business in the city without first having licensed their business. 
 
It is unlawful for any person to engage or be engaged in the operation, conduct, or carrying on of any trade, profession, business, occupation within the City, when taxable goods and services are sold without first having obtained a sales/use tax license from the City. 
 
Engaged in business in the city includes but is not limited to delivery into the City. It shall be the duty of each licensee, on or before January 1 of each year, to obtain a renewal of the licensee’s license if the licensee continues to conduct business in the City or is liable to account for the tax provided for in the Louisville Sales/Use Tax Code. No license is transferable, and any business transacted at one or more separate premises by one person shall obtain a separate license for each place of business. The annual license fee is $25. (Sales and Use Tax Application)
 
Once you have purchased a City of Louisville, Colorado sales/use tax license, you will receive a tax packet which contains:
  • City of Louisville sales/use tax return forms for the current calendar year;
    (each return is pre-printed with your city account number, vendor name, address, filing period, and due date.)
  •  Mailing labels
  •  Detailed instructions for completing the return
  •  Tax rate chart with breakdown
  •  Louisville Sales/Use Tax License

Filing Frequency

A taxpayer whose monthly sales or use tax due is one hundred dollars ($100.00) or more, shall file returns and pay tax monthly.

A taxpayer whose monthly sales or use tax due is less than one hundred dollars ($100.00) may pay tax quarterly.

A taxpayer whose annual sales or use tax due is between $25-$50 to file a return and pay tax semi-annually,

And, a taxpayer whose annual sales or use tax due is less than $25 to file a return and pay tax annually. 

  • A sales tax return is due and must be filed whether or not sales tax is due.
  • Zero returns may be filed on-line through the City’s web site (call 303.335.4514 to receive a temporary password to use this feature)
Service-based businesses that do not collect sales tax are still required to remit a sales/use tax return even if there is no use tax liability. If there is a use tax liability, please contact the Sales Tax and Licensing Division to receive the proper form to remit with your payment or download a form.
 

If a monthly filer drops to less than $100 per month for an entire calendar year, the annual filing status will change to quarterly for the subsequent calendar year. If a quarterly filer exceeds $300 per quarter for an entire calendar year, the status will change to monthly in the subsequent calendar year.

The reporting period for a final return shall end on the date of the transfer of ownership of the business and the return shall be due within 30 days.

Vendor Fee

There is no vendor/service fee deduction in the City of Louisville.

Due Dates
 

Every licensed business shall file a sales/use tax return, whether or not sales or use tax is due, and remit such return or any tax due to the city, on or before the twentieth (20th) day of the month following the reporting period. 

Zero returns may be filed on-line using the Find Services, “Manage My Business/Tax Account” feature on the City’s web site. Please call us to receive a temporary password to use the account manager system 303.335.4514.

Timely payment shall be evidenced by the postmark date if mailed; otherwise, timely payment shall be evidenced by the date on the receipt issued by the city cashier. Any due date which falls on a Saturday, Sunday or legal holiday recognized by either the Federal government or State of Colorado shall be extended to the first business day following such weekend or holiday.

Electronic Form

The City of Louisville has an electronic self-calculating form as an alternative for taxpayers. This form will calculate the amount of city tax owed based on the amounts you enter including any penalty or interest due. It is available for you on our web site under I Want To, “Manage My Business/Tax Account.” You must call our office to receive a temporary password to use the account manager 303.335.4514.

Once you have completed the form, print a copy to remit with your payment and retain a copy for your records.

Blank tax forms that you may print out are also available

Louisville Taxable and Exempt Transactions

A comprehensive listing of sales and use taxable and exempt transactions are contained in Title 3, Chapter 3.20 of the Louisville Municipal Code.

In addition, a detailed Tax Guide with the most frequently needed information and listed alphabetically is now available.

Sales Tax – Purchase of Existing Business

City of Louisville sales tax must be paid on the tangible personal property included in the purchase of an existing business within Louisville. All tangible personal property such as furniture, fixtures, equipment and supplies for use in your business is subject to City sales tax. Please note that local sales tax is not the same as the personal property tax you pay to the County. You must submit a copy of your sales contract or purchase agreement that shows the cost of the tangible personal property and the purchase date.

These documents must be remitted with your sales tax payment. Payment is due within 30 days of sale/purchase.

Use Tax

The City of Louisville imposed a voter approved consumer use tax of 3.5% effective January 1, 2011. Use tax is due for all items taxed by the City on which a lawful local sales tax was not paid. To calculate the amount of use tax owed, you may use our self-calculating form.

The City of Louisville also collects a 3.5% use tax on building materials used for residential and commercial construction, and on motor vehicles. 

Use tax on building materials is collected by the City on permits at the time a building permit is issued. The City is also the collection agent for Boulder County use tax on residential and commercial permits. For more information on building material use tax and related permit fees visit the Building Safety Division.

Motor vehicle use tax is collected at the time of registration by Boulder County. The County also collects City of Louisville use tax on our behalf. For more information on use taxes and fees for motor vehicle registration, including leased vehicles, visit the Boulder County Clerk and Recorder's Office.

Sales Tax & Licensing Division

For more information, please email the Sales Tax and Licensing Division at SalesTax@LouisvilleCO.gov

Free viewers are required for some of the attached documents.
They can be downloaded by clicking on the icons below.

Acrobat Reader Flash Player QuickTime Windows Media Player Microsoft Silverlight Word Viewer Excel Viewer PowerPoint Viewer