A Colorado Senate panel killed a bill that would have extended
enterprise zone tax credits to rolling stock.
The Senate State, Veterans and Military Affairs Committee voted 4-3
along party lines March 22 to kill the bill. The bill – HB1091 – passed the
House early this month.
Senate President Joan Fitz-Gerald, D-Golden, gave some insight into the
bill’s demise. She said she would not support any tax credits or tax reductions
Sponsored by Rep. Buffie McFadyen, D-Pueblo West, the measure would
have made new trucks and trailer purchases eligible for the state’s 3 percent
enterprise zone investment tax credit program.
Existing Colorado law limits the tax credit to purchases of equipment
used “solely” or “exclusively” within an enterprise zone for at least one year.
The mobile use of trucks and trailers disqualifies them from the tax credit.
The bill sought to clarify that all new equipment purchases, including
truck tractors weighing more than 16,000 pounds and trailers, qualify for the 3
percent investment tax credit.
The credits would have been phased in by 1 percent a year during the
next three years. Once fully implemented, the credit would have matched the
investment tax credit offered other forms of enterprise zone equipment.