Colorado Partnership / S-Corporation Pass-Through Entities Tax Booklet

Partnership / S-Corporation Pass-Through Entities Tax Booklet
2024 106 Book, Partnership and S Corporation
(12/27/24)

Booklet Includes:

Instructions | DR 0106 | Related Forms

2024

106
{
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BOOK

Partnership and S Corporation

Colorado Partnership and
S Corporation Income Tax Filing Guide
This book includes:
DR 0107 2024 Colorado Nonresident Partner or
Shareholder Agreement
DR 0158-N Automatic Filing Extension for Composite
Nonresident Income Tax Return
DR 0106 2024 Colorado Partnership and S corporation and
Composite Nonresident Income Tax Return
DR 0106K 2024 Colorado K-1
DR 0106CR 2024 Colorado Partnership and S Corporation
Credit Schedule

Tax.Colorado.gov
Mailing Address FOR FORM DR 0106 AND DR 0106CR
With
Payment

Colorado Department of Revenue
Denver, CO 80261-0006

Without
Payment

Colorado Department of Revenue
Denver, CO 80261-0005

These addresses and zip codes are exclusive to the Colorado Department of Revenue, so a street address is not required.

Mailing Address FOR FORM DR 0158-N AND DR 0108
Colorado Department of Revenue, Denver, CO 80261-0008

2

*240107==19999*

DR 0107 (05/06/24)
COLORADO DEPARTMENT OF REVENUE
Denver CO 80261-0008
Tax.Colorado.gov
Page 1 of 1

2024 Colorado Nonresident Partner or Shareholder Agreement
Taxable Year of Partner or Shareholder
Beginning MM/DD/YYYY
Ending MM/DD/YYYY

Taxable Year of Partnership or S Corporation
Beginning MM/DD/YYYY
Ending MM/DD/YYYY

Name and Address of Nonresident Partner or Shareholder
S S N or I T I N
F E I N

Name and Address of Partnership or S Corporation
Colorado Account Number
F E I N

Last Name or Business Name

Last Name or Business Name

First Name

Middle Initial

First Name

Middle Initial

Street or Mailing Address

Street or Mailing Address

City

City

State

ZIP

State

ZIP

I agree to file a Colorado income tax return and make timely payment of all taxes imposed by the state of Colorado with
respect to my share of the Colorado income of the Partnership or S Corporation named above. I also agree to be subject
to personal jurisdiction in the state of Colorado for purposes of the collection of unpaid income tax together with related
penalties and interest. I furthermore understand the Department of Revenue will consider the timely first filing of this
agreement as applicable to all future filing periods unless notified otherwise.
Taxpayer's or Authorized Agent's Signature

Date (MM/DD/YY)

Submit this agreement when filing the Colorado form DR 0106
A nonresident partner or shareholder can complete this form DR 0107 to establish that they will report the Colorado source
income and pay the Colorado tax on any income derived from a Colorado partnership or S corporation.
This form shall be delivered by the nonresident partner or shareholder to the partnership or S corporation, which shall later
be submitted by the partnership or S corporation with form DR 0106. This form need only to be filed with the Department
for the year in which the agreement is made.
See the instructions for Nonresident Partners and Shareholders in the 106 Book and the income tax guidance publications
available at Tax.Colorado.gov for more information.

Colorado Partnership and S Corporation Income Tax Return

This filing guide will assist you with completing your Colorado Partnership and S Corporation
Income Tax Return. Please read through this guide before starting your return. Once you finish
the form, file it with a computer, smartphone or tablet using our free and secure system at
Colorado.gov/RevenueOnline. You may also file using private e-File software or with a paid tax
preparer. Filing electronically significantly reduces the chance of errors. If you cannot file electronically,
mail your return as instructed.
All Colorado forms and publications referenced in this guide are available for download at
Tax.Colorado.gov — the official Taxation website.
If you are filing on paper, submitting an incomplete return will delay the processing of your return.
Please ensure you submit any supporting forms, schedules, and documentation as requested in the
instructions. All Colorado income tax forms and guidance publications are available at our official
website, Tax.Colorado.gov.
Every partnership and S corporation must file a DR 0106 for any year it is doing business in Colorado.
A partnership or S corporation is doing business in Colorado whenever it meets the criteria set forth
in Rule 39-22-301(1). Any group, organization, or business entity that is treated as a partnership for
federal income tax purposes, is treated as a partnership for Colorado income tax purposes, including
any limited liability company classified as a partnership for federal income tax purposes.
Amended Return
To report a change or correction to your return, you must complete a new DR 0106 and mark the
“Amended Return” box at the top of the form. Enter all fields even if the value has not changed from
the original return. Submit all schedules and supporting documentation, even if they were submitted
with the original return and have not changed.

What’s new this year?
Elimination of Form DR 0108

Form DR 0108 has been eliminated for tax years commencing on and after January 1, 2024. Instead,
partnerships and S corporations must file composite returns including all nonresident partners and
shareholders that have not executed a Nonresident Partner or Shareholder Agreement (form DR
0107). Nonresident partners and shareholders included in a composite return may file their own
Colorado income tax returns and claim credit for their share of the Colorado income tax paid by the
partnership or S corporation in the composite return. Additional information about composite returns
can be found later in these instructions.

Changes to Composite Filing

Every partnership and S corporation that is required to file form DR 0106 that does not make an election
under the SALT Parity Act must file a composite return (Part II of form DR 0106) and make a composite
payment of tax on behalf of all of its nonresident partners or shareholders, except for the partners and
shareholders that are excluded. In general, any partner or shareholder that is a nonresident individual,
estate, or trust must be included in the composite return and payment, but any partner that is a
corporation or partnership is not. Additionally, any nonresident partner or shareholder that timely files a
Nonresident Partner or Shareholder Agreement (form DR 0107) is excluded from the composite return.
The partnership or S corporation may claim a credit allocated to a nonresident partner or shareholder
included in a composite return, subject to various limitations. To the extent the credit exceeds the composite
payment with respect to the partner or shareholder and the excess may be carried forward or refunded, the
amount not applied to the composite payment is passed through to and may only be claimed by the partner
or shareholder. A partnership or S corporation may not carry forward or claim a refund for any credit.
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Nonresident partners and shareholders included in a composite return may file their own Colorado
income tax returns and claim credit for their share of the tax paid by the partnership or S corporation
in the composite return. Additional information about nonresident partners and shareholders and
composite returns can be found later in these instructions.
Composite Estimated Payments
For tax years beginning on or after January 1, 2024, partnerships and S corporations must remit
quarterly estimated payments if its net Colorado tax liability for the year with a composite nonresident
return exceeds $5,000. The rules for calculating a partnership’s or S corporation’s required estimated
payments are generally the same as the rules for calculating a C corporation’s estimated tax
payments. Please see Part 9 of the Colorado Corporate Income Tax Guide for additional information.
Colorado K-1s for Resident Partners
A partnership or S corporation is required to complete a Colorado K-1 (DR 0106K) for each partner
or shareholder. Partnerships and S corporations are generally no longer required to complete the
Colorado column (Column B) of any Colorado K-1 prepared for a resident partner or shareholder.

General Instructions
Due Dates

You must file this return and pay any amount owed by the fifteenth day of the fourth month after
the close of the tax year, which is April 15 for calendar year filers. For filing your return there is an
automatic extension of six months, or until October 15 for calendar year filers. However, no extension
is available for payment. To make an extension payment before filing, see form DR 0158-N in this
book. If the due date falls on a weekend or legal holiday, return will be due the next business day.
On or before the due date (including extensions), you must provide each partner or
shareholder a copy of their Colorado K-1 (DR 0106K). Copies of the Colorado K-1
must also be transmitted to the Colorado Department of Revenue when you file this
return. For more information on transmitting copies of the Colorado K-1, refer to
Tax.Colorado.gov/filing-requirement-changes-for-partnerships-and-s-corporations.

Nonresident Partners and Shareholders

Every partnership and S corporation that is required to file form DR 0106 that does not make an
election under the SALT Parity Act must file a composite return (Part II of form DR 0106) and make a
composite payment of tax on behalf of all of its nonresident partners or shareholders, except for the
following partners and shareholders:
• Any Colorado resident partner or shareholder, including partners and shareholders that are
residents of Colorado for only part of the tax year;
• Any nonresident partner that is a corporation or a partnership;
• Any nonresident partner or shareholder that is exempt from Colorado income tax under section 3922-112(1), C.R.S.; and
• Any nonresident partner or shareholder that timely files a Nonresident Partner or Shareholder
Agreement (form DR 0107).
Partnerships and S corporations that file a composite return must report on the Colorado K-1
they issue to each included nonresident partner or shareholder their share of the tax paid by the
partnership or S corporation with the composite return. Nonresident partners and shareholders
may file their own Colorado income tax returns and claim credit for their share of the tax paid by the
partnership or S corporation.
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SALT Parity Act Election

Partnerships and S corporations may elect to be subject Colorado income tax at the entity level. The
election is binding on all of the partners or shareholders, except for any partner that is a C corporation
that is unitary with the partnership. Partnerships and S corporations may make this election, by
checking box I on form DR 0106. The partnership or S corporation may also make the election by
filing form DR 1705 or by marking the SALT Parity Act election box on form DR 0106EP filed with
an estimated tax payment. Check the SALT Parity Election box on every Colorado K-1 issued to a
partner or shareholder.
If a partnership or S corporation makes a SALT Parity Act election, its tax liability must be calculated
with respect to all partners or shareholders (including both residents and nonresidents), except for
any partner that is a C corporation that is unitary with the partnership. Each partner or shareholder
must also file a return, except that a nonresident individual partner or shareholder whose only
Colorado source income is from the partnership or S corporation making the SALT Parity Act election
is not required to file a return. A partnership or S corporation that makes a SALT Parity Act election
may not also make a composite return on behalf of nonresident partners or shareholders.
Each partner or shareholder is allowed a credit against their Colorado income tax liability equal to the
share of the tax imposed upon and paid by the entity with respect to the partner’s or shareholder’s
income. All other credits are passed through to the partner or shareholder and must be claimed on
the return filed by the partner or shareholder along with the refundable SALT Parity Act credit. When
a partnership or S corporation makes the SALT Parity Act election, all partners or shareholders must
add back any deduction taken under section 199A of the Internal Revenue Code.

Estimated Tax Payments

In general, a partnership or S corporation must remit quarterly estimated payments if its net Colorado
tax liability for the year either with a composite nonresident return or as a result of a SALT Parity
Act Election exceeds $5,000. The rules for calculating a partnership’s or S corporation’s required
estimated payments are generally the same as the rules for calculating a C corporation’s estimated
tax payments. Please see Part 9 of the Colorado Corporate Income Tax Guide.
Use form DR 0233 to calculate the estimated tax penalty, if any. If an estimated tax penalty is due,
enter the penalty on line 30 of form DR 0106 and submit a copy of form DR 0233 with the return.
Partnerships and S corporations making estimated payments must remit payment with form DR 0106EP.

Colorado K-1 (DR 0106K)

Partnerships and S corporations must complete a Colorado K-1 (DR 0106K) for each of their partners
and shareholders for each tax year. Completed Colorado K-1s must be filed with the Department,
as described later in these instructions. On or before the date the Colorado K-1s are filed with the
Department, the partnership or S corporation must furnish each partner or shareholder with a copy of
the Colorado K-1 reporting their income, deductions, modifications, and credits.
Partnerships and S corporations must also advise partners and shareholders of their share of any
taxes paid by the entity to another state so they can compute the credit for tax paid to other state(s),
and the related state income tax addback. Refer to Rules 39-22-104(3)(d) and 39-22-108 for more
information. Detailed instructions regarding modifications and credits are provided with the Colorado
K-1 (DR 0106K).

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Apportionment and Sourcing of Income

Partnerships and S corporations doing business in more than one state must apportion or source
the income of their nonresident partners and shareholders as described below. See the Corporate
Income Tax Guide for details regarding the following apportionment methods.
The partnership must compute each nonresident partner’s or shareholder’s share of income and
other items that is attributable to Colorado and show the amount attributable to Colorado on the
Colorado K-1 (DR 0106K).

Partnerships

The Colorado-source income resulting from partnership activity is generally determined pursuant
to section 39-22-109, C.R.S. (Direct Sourcing), or, at the partnership's election, apportioned and
allocated pursuant to section 39-22-303.6, C.R.S. (Receipts-Factor Apportionment). The ordinary
income of a partnership will generally be sourced using receipts-factor apportionment even if the
partnership does not elect to apportion and allocate all income using this method.

S Corporations

Section 39-22-321(1) and (2), C.R.S., requires S corporations to apportion and allocate income
pursuant to section 39-22-303.6, C.R.S. (Receipts-Factor Apportionment).
Direct Sourcing
Each item of income, gain, loss, is sourced separately to determine whether it is derived from sources
within Colorado. In general, items are considered to be derived from sources within Colorado when
they are attributable to:
•	 The ownership of any interest in real or tangible personal property in Colorado (see Rule
39-22-109(3)(a));
•	 A business, trade, profession, or occupation carried on in Colorado (see Rule 39-22-109(3)(b)); or
•	 Intangible property, including annuities, dividends, interest, and gains from the disposition of
intangible property, to the extent such income is from property employed in a business, trade,
profession, or occupation carried on in Colorado (see Rule 39-22-109(3)(e).
Please see section 39-22-109, C.R.S., and Rule 39-22-109 for additional guidance in determining
Colorado-source income.
Receipts-Factor Apportionment
Under formulary apportionment, income from business activity that is taxable both within and outside
Colorado is apportioned and allocated in the same manner as the income of a C corporation.
Apportionable income must be apportioned using the receipts factor. Nonapportionable income
may either be directly allocated to the appropriate state or treated as apportionable income, subject
to receipts-factor apportionment. Complete and include Part V with your return if you are sourcing
income using receipts-factor apportionment. For more information on apportionment and allocation,
refer to Part 6 of the Colorado Corporate Income Tax Guide.
Not Apportioning Income
If a partnership or S corporation has no income from business activity outside Colorado, then the
partnership or S corporation will source 100% of its income to Colorado.

DR 0106 Instructions
Taxpayer Information
Enter the following information for the partnership or S corporation:
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•	 Fiscal year beginning and ending dates if the tax year is not a calendar year. You must use the
same tax year for Colorado as for federal tax purposes;
•	 Mark if this is an amended return;
•	 Legal name and, if applicable, “doing business as” or trade name;
•	 Colorado Account Number (C A N), which is 8 digits and is also used on sales tax and wage
withholding forms;
•	 Federal Employer Identification Number (F E I N); and
•	 Mailing address, for the Department to send letters regarding your income tax account.
Listed or Reportable Transaction
Mark if you are required to report a federal listed or reportable transaction, or a Colorado listed
transaction. You must also attach I R S form 8886 or Colorado form DR 1831, as applicable. Refer to
sections 39-22-651 through 659, C.R.S., and the related rules, for further information.
Box A Legal Form
Mark the box that represents the true legal form of the partnership or S corporation filing this return.
Boxes B and C Depreciable Assets
Enter the beginning and ending depreciable assets from the federal return net of any accumulated
depreciation. Refer to line 10b (columns (b) and (d)) of Schedule L of I R S form 1120-S or line 9b
(columns (b) and (d)) of Schedule L of I R S form 1065), as applicable.
Box D Principal Business Activity
Enter a short description of the partnership’s or S corporation’s principal business activity or
profession including the principal product or service.
Box E Commencement Date
Enter the date the partnership was organized or the S corporation was incorporated, as applicable.
Box F Final Return
If this is the partnership’s or S corporation’s final Colorado income tax return, mark box F.
Box G Federal Changes
Mark this box G if, for any of the previous four tax years:
•	 The I R S made any adjustments to the partnership’s or S corporation’s federal income tax return,
including any adjustments resulting from a waiver of restrictions on assessment and collection of
deficiency, acceptance of overassessment, acceptance of an examining officer’s findings, notice of
final partnership adjustments, or otherwise; or
•	 The partnership or S corporation filed an amended federal return, a federal claim for refund, or a
federal administrative adjustment request.
Provide the date of the adjustment and explain the nature of the adjustment in the space
under this Box G.
Box H Number of Partners or Shareholders
Enter the number of partners or shareholders as of the end of the tax year.
Box I SALT Parity Act Election
Mark this box I to elect to be subject to tax at the entity level under the SALT Parity Act (section 3922-343, C.R.S.). Mark this box I if the partnership or S corporation previously filed an election on form
9

DR 1705 or DR 0106EP. This election is binding for this tax year on all partners and shareholders,
regardless of whether the partner or shareholder is an individual, corporation, partnership, or other
legal entity, and regardless of whether the partner or shareholder is a resident or nonresident,
except that the election does not apply to any partner that is a C corporation that is unitary with the
partnership. Complete Part III of this return. Do not complete Part II of this return. Mark the SALT
Parity Election box on all Colorado K-1 forms (DR 0106K) and complete the forms accordingly.

Part I: Income and Modifications
Line 1 Ordinary Income or (Loss)
Enter the ordinary income or (loss) from line 1 of federal Schedule K (I R S form 1065). Enter income and
gains as positive numbers; enter losses and deductions as negative numbers. For paper returns, put
negative amounts in parentheses, for example, ($1,234).
Line 2 Other Income or (Loss)
Enter the total of all other income listed on federal Schedule K. For partnerships, this is the total of the
amounts entered on lines 2, 3c, 4c, 5, 6a, 7, 8, 9a, 10 and 11 of federal Schedule K (I R S form 1065).
For S corporations, this is the total of the amounts entered on lines 2, 3c, 4, 5a, 6, 7, 8a, 9 and 10 of
federal Schedule K (I R S form 1120-S). Also include any gain or loss on the sale, exchange, or other
disposition of property reported on a statement attached for line 20c of Schedule K (I R S Form 1065) or
line 17d of Schedule K (I R S Form 1120-S) for which a section 179 deduction has been passed through
to partners or shareholders. Enter income and gains as positive numbers; enter losses and deductions
as negative numbers. For paper returns, put negative amounts in parentheses, for example, ($1,234).
Line 3 Business meals addition
Enter the Business meals deducted pursuant to section 274(k) of the Internal Revenue Code reported
in Column A on line 10 of the Colorado K-1s (DR 0106K) prepared by the partnership or S corporation
for its partners or shareholders.
Line 4 Other modifications increasing federal income
Enter the total additions reported in Column A on lines 9 and 11 of the Colorado K-1s (DR 0106K)
prepared by the partnership or S corporation for its partners or shareholders.
Line 5 Subtotal
Sum of lines 1 through 4.
Line 6 Federal Deductions
Enter the total federal deductions reported on line 12 of the Colorado K-1s (DR 0106K) prepared by
the partnership or S corporation for its partners or shareholders.
Line 7 Colorado Marijuana and Natural Medicine Business Deduction
For Colorado-licensed marijuana and natural medicine businesses, enter the amount of any
expenditure that is eligible to be claimed as a federal income tax deduction but is disallowed by
section 280E of the Internal Revenue Code because marijuana and natural medicine are controlled
substances under federal law.
To calculate this subtraction, you must prepare a pro forma I R S Form 1065 or 1120-S (and
associated schedules) without regard to section 280E. The Colorado deduction is the difference
between the ordinary business income (loss) calculated on the actual I R S Form 1065 or 1120-S and
the pro forma I R S Form 1065 or 1120-S. You must submit the pro forma federal forms and schedules,
the actual federal forms and schedules, and your license number from the Colorado Marijuana
Enforcement Division (M E D) or Natural Medicine Division (N M D) with your Colorado return. Enter the
subtraction on this line 7 as a positive number.
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Line 8 Other Modifications Decreasing Federal Income
Enter the total subtractions reported on line 13 of the Colorado K-1s (DR 0106K) prepared by the
partnership or S corporation for its partners or shareholders, excluding any Colorado marijuana and
natural medicine business subtraction reported on line 7 of form DR 0106.
Line 9
Enter the sum of lines 6 through 8.
Line 10 Modified Federal Taxable Income
Subtract line 9 from line 5.
Line 11 Apportionment and allocation method
Partnerships
• If the partnership has no income from business activity outside of Colorado, mark the box
indicating that all income is Colorado income.
• For a partnership with income from sources within and outside of Colorado, refer to the general
instructions for Apportionment and Sourcing of Income to determine the proper sourcing method.
• If the partnership is making an election under section 39-22-203(1)(a), C.R.S., to apportion or
allocate income pursuant to section 39-22-303.6, C.R.S., mark the Part V box and complete Part
V of this form.
• If the partnership is using direct sourcing, mark the Other box.
S Corporations
• If the S corporation has no income from business activity outside of Colorado, mark the box
indicating that all income is Colorado income.
• For an S corporation with income from sources within and outside Colorado, mark the Part V box
and complete Part V of this form.

Part II: Composite Return
Complete lines 12 through 16 of this form only if a composite return is being filed for
nonresident partners or shareholders. If the partnership or S corporation is making a SALT
Parity Act Election (see Box I), then do not complete Part II, but go to Part III.
Refer to the general instructions for nonresident partners and shareholders for more information
about composite returns and other options.
Line 12 Colorado-source income
Enter the Colorado-source income of the nonresident partners or shareholders who are included in this
composite return. This amount should equal the sum of the amounts on lines 1 through 3 and lines 5
through 13 in column B of the Colorado K-1 (DR 0106K) for all nonresident partners or shareholders
included in this composite return. Do not include guaranteed payments from line 4 of the Colorado K-1.
Nonresident partners with Colorado-source guaranteed payments must file their own Colorado income
tax return to report guaranteed payments and pay any applicable Colorado income tax.
In computing this amount do not include any of the following partners or shareholders:
• Partners that are corporations or partnership;
• Resident partners or shareholders; or
• Partners or shareholders whose net Colorado-source income is negative (sum of the amounts on
lines 1 through 3 and lines 5 through 13 in column B of the Colorado K-1 (DR 0106K)).
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Line 13 Colorado Tax
Multiply the amount on line 12 by 4.25% (0.0425). If a composite return is filed, the amount reported
on line 13 of form DR 0106 must equal the sum of the amounts reported on line 16 of the Colorado
K-1s (DR 0106K) of all nonresident partners or shareholders included in the composite return.
Line 14 Credits from the DR 0106CR
Enter the nonrefundable tax credits from the Colorado Partnership and S Corporation Credit Schedule
(DR 0106CR) line 40, Column C that are allocated to the nonresident partners or shareholders
included in the composite return and applied toward tax on the composite return. The partnership or
S corporation may claim a credit allocated to a nonresident partner or shareholder only to the extent
that the nonresident partner or shareholder could have, under any applicable restrictions, claimed the
credit on a return they filed. To the extent the credit exceeds the composite payment with respect to the
partner or shareholder, the amount not applied to the composite payment is passed through to and may
only be claimed by the partner or shareholder. Do not include any amounts from Column B on this line.
Every partnership and S corporation must submit a completed form DR 0106CR with its return.
Line 15 Gross Conservation Easement Credit
Enter the gross conservation easement credit allocated to the nonresident partners or shareholders
included in the composite return and applied toward tax on the composite return. This amount must
match form DR 1305G line 33, and you must submit DR 1305G with your return.
Line 16 Net Tax
Add lines 14 and 15, then subtract that sum from line 13. The sum of lines 14 and 15 may not exceed
the amount on line 13.
If you completed lines 12-16, then skip Part III and go to Part IV.

Part III: SALT Parity Act Income Tax Return
Complete lines 17 through 20 only if the partnership or S corporation is making a SALT
Parity Act election for this tax year. Refer to the general instructions regarding SALT Parity
Act elections, and the instructions for Box I, for more information. If the partnership or S
corporation is making a SALT Parity Act election, do not complete Part II of this form.
Line 17 Resident Income
Enter the total of all resident partners' or shareholders' income, excluding any resident partner whose
net income from the partnership is negative. This amount should equal the sum of the amounts on
lines 1 through 3 and lines 5 through 13 in column A of the Colorado K-1 for all resident partners or
shareholders, except for any resident partner whose net income from the partnership is negative.
Line 18 Nonresident Income
Enter the total of all nonresident partners' or shareholders' Colorado-source income, excluding any
nonresident partner whose net income from the partnership is negative. This amount should equal the
sum of the amounts on lines 1 through 3 and lines 5 through 13 in column B of the Colorado K-1 for
all nonresident partners or shareholders, except for any nonresident partner whose net income from
the partnership is negative.
Line 19 Colorado Taxable Income
Enter the sum of lines 17 and 18.
Line 20 Colorado Tax
Multiply line 19 by 4.25% (0.0425).
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Part IV: Computation of Amount Owed or Overpayment
Line 21 Colorado Tax
Enter the amount from either line 16 (Part II) or line 20 (Part III) of this form. Part II and Part III should
not both be completed, as a partnership or S corporation may file a composite return (by completing
Part II) or make a SALT Parity Act election (and complete Part III), but it may not do both.
Line 22. In-Lieu-Of Amount
If a partnership's 2024 federal return was audited by the I R S and the partnership has made an
election pursuant to section 39-22-601.5(3)(d), C.R.S., to pay an amount in lieu of taxes owed by its
direct and indirect partners, the partnership must file an amended 2024 Colorado return and enter on
line 22 the in-lieu-of amount determined under section 39-22-601.5(3)(e), C.R.S.
Line 24 Estimated Tax, Extension Payments, and Credits
Enter the total credit for prepayments. Carefully review your payment records and
include the following:
• Estimated tax payments for 2024 (verify at Colorado.gov/RevenueOnline);
• Any overpayment from 2023 that was carried forward to 2024;
• Extension payments remitted with the DR 0158-N; and
• Payments remitted with the DR 1079 to satisfy withholding requirements for the sale of Colorado
real estate that closed during the tax year for which you are filing this return. You must submit the
DR 1079 with your return.
Line 25 Withholding from Lottery or Gambling Winnings
Enter the total of any Colorado withholding reported on Form W-2G from lottery or gambling winnings.
This will not apply to most taxpayers. You must submit the W-2G(s) with your return.
Line 26 Additional Credit from form DR 0619
Enter the additional credit from form DR 0619, line 3 or 10.
Line 27
Enter the sum of lines 24, 25, and 26.
Line 28 Delinquent Payment Penalty
If 90% of the tax is not paid by the original due date (without extension), you must add a delinquent
payment penalty. The penalty is the greater of $5 or 5% of the additional tax due for the first month
of delinquency and 0.5% for each additional month up to a maximum of 12%. A delinquent payment
penalty will also apply if the remaining tax due is not paid by the extension due date.
Line 29 Interest
Interest is due on any unpaid tax balance paid after the original due date (without extension).
For information about calculating interest, see Department guidance publication Tax Topics:
Penalties and Interest.
Line 30 Estimated Tax Penalty
Enter the amount from DR 0233 line 22, and submit the DR 0233 with the return. This
penalty is due if:
• The partnership or S corporation is filing a composite return or making a SALT Parity Act election;
• The net tax liability is greater than or equal to $5,000; and
• Any of the required quarterly estimated tax payments were not remitted.
If the amount paid exceeds the Department's calculations, any overpayment will be refunded to you.
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Line 31 Amount Owed
If line 23 is greater than line 27, subtract line 27 from line 23 and add any penalty or interest due from
lines 28, 29, and 30.
Line 32 Overpayment
If line 27 is greater than line 23, subtract line 23 from line 27.
Line 33 Estimated Tax Credit
Enter the amount from line 32 that you want to credit to next year's estimated tax.
Line 34 Refund Amount
Subtract line 33 from line 32.
Direct Deposit: You have the option of authorizing the Department to directly deposit these funds into your
bank account. Otherwise, a refund check will be mailed to the address you have designated on this return.
Enter the routing number, account number, and account type. The routing number is 9 digits. Account
numbers can be up to 17 characters with numbers and letters. Include hyphens, but do not enter
spaces or special symbols. Contact your financial institution to ensure you are using the correct
information and they will honor a direct deposit.
Intercepted Refunds: The Department will intercept your refund if you owe taxes or other debts to
the State of Colorado or the I R S.

Paid Preparer Authorization

Mark the "Yes" box to appoint the paid preparer entered on the return as the designee to receive and
inspect confidential tax information related to this tax return. If a firm or organization is listed, this tax
information authorization will apply to any of its employees. A designee may:
• Call for information about the return, including processing time and refund status;
• Request copies of notices, bills or transcripts related to the return; and
• Respond to inquiries regarding calculations and supporting documentation for the return.
However, a designee cannot sign any form or protest, request any other change to the account, receive any
refund, or otherwise represent or act on behalf of the taxpayer with the Colorado Department of Revenue.
This authorization expires four years after the date the return is signed. A taxpayer may change or revoke
it, or an appointee may withdraw from it. For more information, see the instructions for form DR 0145.

Signature and Preparer

The law requires the return to be signed under penalty of perjury. The return must be signed by a
partner duly authorized to act on behalf of the partnership or an officer of the S corporation that is duly
authorized to act on its behalf.
If the return was prepared by a paid preparer, enter the preparer’s name and phone number.
File and Pay
You may file this return and pay any amount due using our free and secure system at
Colorado.gov/RevenueOnline.
If you are mailing this return with a check or payment, send it to:
Colorado Department of Revenue
Denver CO, 80261-0006
If you are mailing this return without a check or payment, send it to:
Colorado Department of Revenue
Denver CO, 80261-0005
14

*240158-N19999*

(0049)

DR 0158-N (06/26/24)
COLORADO DEPARTMENT OF REVENUE
Denver CO 80261-0008
Tax.Colorado.gov
Page 1 of 1

2024 Automatic Filing Extension for
Partnerships and S Corporations Income Tax Return
Filing extensions are granted automatically.
Return this form only if you need to make an additional payment of tax.
Colorado income tax returns for partnerships and S corporations are due the fifteenth day of the
fourth month after the end of your tax year, or by April 15 for traditional calendar year filers. If you
are unable to file by your prescribed due date, you may file under extension. This will allow you an
additional six months to file your return, or until October 15 for traditional calendar year filers. If the
due date falls on a weekend or legal holiday, payment will be due the next business day. While there
is an extension to file, there is not an extension to the payment due date. Penalty and interest are
assessed if certain payment criteria are not met. Please review Tax Topics: Penalties and Interest for
more information on penalty and interest.
Pay Online
Visit Colorado.gov/RevenueOnline to pay online. Online payments reduce errors and provide instant
payment confirmation. Revenue Online also allows users to submit various forms and to monitor
their tax account. The DR 0158-N is not required to be sent if an online payment is made. Please be
advised that a small processing fee may apply to e-check or credit card payments.
Required Payment
Partnerships and S corporations are generally required to make payments when filing a composite
return or a return making an election under the SALT Parity Act. This extension payment, along with
any estimated payments, will be applied to the composite or SALT Parity Act liability.
DR 0158-N

Fiscal Year Beginning (MM/DD/24)

For the calendar year 2024 or the fiscal year

Fiscal Year Ending (MM/DD/YY)

Return this form with check or money order payable to the "Colorado Department of Revenue". Mail payments to
Colorado Department of Revenue, Denver, Colorado 80261-0008. This address and ZIP code is exclusive to the Colorado
Department of Revenue, so a street address is not required. Write your Colorado Account Number or Federal Employer
Identification Number and “2024 DR 0158-N” on your check or money order. Do not send cash. Enclose, but do not staple
or attach, your payment with this form.
FEIN
 

Colorado Account Number

   

Business Name

Address

City

State

ZIP

Amount of Payment
The State may convert your check to a one-time electronic banking transaction. Your bank account may be debited as early as the same
day received by the State. If converted, your check will not be returned. If your check is rejected due to insufficient or uncollected funds,
the Department of Revenue may collect the payment amount directly from your bank account electronically.

$

DO NOT CUT – Return Full Page. IF NO PAYMENT IS DUE, DO NOT FILE THIS FORM.

DR 0106 (10/14/24)
COLORADO DEPARTMENT OF REVENUE
Tax.Colorado.gov
Page 1 of 5

*240106==19999*

2024 Colorado Partnership and S Corporation Income Tax Return
Fiscal Year Beginning (MM/DD/24) Fiscal Year Ending (MM/DD/YY)

(0043)

Mark for Amended Return
Name of Organization

Colorado Account Number (C A N)

Doing Business As

Federal Employer ID Number (F E I N)

Address

City

State

ZIP

If you are including a statement disclosing a listed or reportable transaction, mark this box
A. This return is being filed for (mark one):
Partnership

S Corporation

LLC

LP

LLP

LLLP

Association

B. Beginning depreciable assets from federal return

C. Ending depreciable assets from federal return

D. Business or profession

E. Date of organization or incorporation (MM/DD/YY)

Non-Profit

F. If this is a final return, mark this box

G. If the I R S has made any adjustments to your federal return or you have
filed amended federal returns during the last four years, mark this box:

H. Number of partners or shareholders as of year end

Explain:

I. If this partnership or S corporation is electing to be subject to tax at the entity level under the SALT
Parity Act (section 39-22-343, C.R.S.) for this income tax year, mark this box.
Round to the
nearest dollar

Part I: Income and Modifications
1. Ordinary income from federal Schedule K

1

00

2. Sum of all other income

2

00

3. Business meals deducted pursuant to section 274(k) of the Internal Revenue Code

3

00

4. Other modifications increasing federal income

4

00

5. Sum of lines 1 through 4

5

00

6. Allowable deductions from federal Schedule K

6

00

7. Colorado Marijuana and Natural Medicine Business Deduction

7

00

8. Other modifications decreasing federal income

8

00

9. Sum of lines 6 through 8

9

00

*240106==29999*
Name of Organization (match page 1)

C A N or F E I N (match page 1)

10. Modified federal taxable income, subtract line 9 from line 5
11. Apportionment and allocation method:
Part V

Form 106

DR 0106 (10/14/24)
COLORADO DEPARTMENT OF REVENUE
Tax.Colorado.gov
Page 2 of 5

Other (include explanation)

10

00

Income is all Colorado Income
11

Part II: Composite Nonresident Income Tax Return

Do not complete lines 12-16 unless you are filing a composite nonresident return.
12. Colorado-source income of nonresident partners or shareholders electing
to be included in this composite filing.

12

00

13. Tax; 4.25% of the amount on line 12
13
14. Credits from the DR 0106CR line 40 column C, you must include the
DR 0106CR with your return.
14
15. Gross Conservation Easement credit allocated to these partners or shareholders
from the DR 1305G line 33. You must submit the DR 1305G with your return.
15
16. Net tax, sum of lines 14 and 15, then subtract this sum from line 13. The sum
of lines 14 and 15 may not exceed the amount on line 13.
16

00

Part III: SALT Parity Act Income Tax Return

00
00
00

Do not complete lines 17-20 unless you are filing a return for a partnership or S corporation making the election under
the SALT Parity Act.
17. Resident partners' or shareholders' total share of income

17

00

18. Colorado-source income of nonresident partners or shareholders
19. Colorado taxable income of partnership or S corporation,
sum of lines 17 and 18

18

00

19

00

20. Net Tax; 4.25% of the amount on line 19

20

00

Part IV: Computation of Amount Owed and Overpayment
21. Enter the amount from line 16 or line 20, whichever applies
22. In-lieu-of amount determined under section 39-22-601.5(3)(e), C.R.S., for
partnership audit adjustment

21

00

22

00

23. Subtotal; sum of lines 21 and 22

23

00

24. Estimated tax, extension payments, and credits

24

00

25. Withholding from lottery or gambling winnings
26. Additional credit from form DR 0619, line 3 and 10, you must submit
the DR 0619 with your return.

25

00

26

00

27. Subtotal; sum of lines 24, 25, and 26

27

00

28. Penalty (include on line 31)

28

00

29. Interest (include on line 31)

29

00

30. Estimated Tax Penalty (include on line 31)

30

00

*240106==39999*

Form 106

DR 0106 (10/14/24)
COLORADO DEPARTMENT OF REVENUE
Tax.Colorado.gov
Page 3 of 5

Name of Organization (match page 1)

C A N or F E I N (match page 1)

31. If line 23 is greater than line 27, enter amount owed

31

32. Overpayment, subtract line 23 from line 27

32

00

33. Overpayment to be credited to 2025 estimated tax

33

00

34. Overpayment to be refunded

34

00

I declare this return to be true, correct and complete under penalty of perjury in the second degree.
Declaration of preparer is based on all information of which preparer has any knowledge.

Direct
Deposit

Routing Number

Type:

Checking

Savings

Account Number

Do you want to allow the paid preparer entered below to discuss this return and any related
information with the Colorado Department of Revenue? See the instructions.

Yes

Signature of partner or signature and title of officer

Date (MM/DD/YY)

Person or firm preparing return (name and phone number)

Date (MM/DD/YY)

No

The State may convert your check to a one-time electronic banking transaction. Your bank account may be debited as early as the same day received by the State. If converted, your check will not be returned. If
your check is rejected due to insufficient or uncollected funds, the Department of Revenue may collect the payment amount directly from your bank account electronically.

File and pay at: Colorado.gov/RevenueOnline
If you are filing this return with a check or payment, If you are filing this return without a check or payment,
please mail the return to:
please mail the return to:
COLORADO DEPARTMENT OF REVENUE
Denver, CO 80261-0006

COLORADO DEPARTMENT OF REVENUE
Denver, CO 80261-0005

These addresses and ZIP codes are exclusive to the Colorado Department of Revenue,
so a street address is not required.

*240106==49999*

DR 0106 (10/14/24)
COLORADO DEPARTMENT OF REVENUE
Tax.Colorado.gov
Page 4 of 5

Name of Organization (match page 1)

Form 106
Part V

C A N or F E I N (match page 1)

Part V: Apportionable Income Apportioned to Colorado by use of the Receipts Factor

Do not send federal return forms or schedules with this return. Complete this form in accordance with section
39-22-303.6 C.R.S., and the regulations thereunder.
1. Total modified federal taxable income from the DR 0106, Part I, line 10
Apportionable Income Apportioned to Colorado by use of the Receipts Factor
Do Not Include Foreign-source income modified out on the DR 0106, Part I, Line 8
Colorado
Everywhere
2. Gross receipts from the sale of
00
tangible personal property
2
3. Gross receipts from the sale of
00
3
services
4. Gross receipts from the sale, rental,
00
lease, or license of real property
4
5. Gross receipts from the rental, lease, or
00
license of tangible personal property 5
6. Gross receipts from the sale, rental, lease,
00
or license of intangible property
6
7. Distributive share of partnership
00
factors
7
8. Total receipts (total of lines 2
00
through 7 in each column)
8
9. Line 8 (Colorado) divided by line 8 (Everywhere)
9
Complete lines 10 and 13 only if nonapportionable income is being directly allocated.
If all income is being treated as apportionable income, enter 0 (zero) on lines 10 and 13.

1

00

00
00
00
00
00
00
00
%

10. Less income directly allocable to any state, including Colorado:
(a) Net rents and royalties from real or tangible property

00

(b) Capital gains and losses

00

(c) Interest and dividends

00

(d) Patents and copyright royalties

00

(e) Other nonapportionable income

00
10

00

11. Modified federal taxable income subject to apportionment, subtract line 10(f) from line 1

11

00

12. Income apportioned to Colorado, line 9 multiplied by line 11

12

00

(f) Total income directly allocable [add lines (a) through (e)]

*240106==59999*

DR 0106 (10/14/24)
COLORADO DEPARTMENT OF REVENUE
Tax.Colorado.gov
Page 5 of 5

Name of Organization (match page 1)

Form 106
Part V

C A N or F E I N (match page 1)

13. Add income directly allocable to Colorado:
(a) Net rents and royalties from real or tangible property

00

(b) Capital gains and losses

00

(c) Interest and dividends

00

(d) Patents and copyright royalties

00

(e) Other nonapportionable income

00

(f) Total income directly allocable [add lines (a) through (e)]

13

00

14

00

14. Total income apportioned and allocated to Colorado, sum of lines 12 and 13(f).
15.

Pursuant to §39-22-303.6(8) C.R.S., taxpayer elects to treat all income as apportionable income for the tax
year covered by this return.

Partnership Instructions for Colorado K-1 (DR 0106K)

Partnerships must complete a Colorado K-1 (DR 0106K) for each of its partners for each tax year.
Completed Colorado K-1s must be filed with the Department, as described below. On or before the
date the Colorado K-1s are filed with the Department, the partnership must furnish each partner with
a copy of the Colorado K-1 reporting their income, deductions, modifications, and credits.

Due Dates

Colorado K-1s are due to be filed the fifteenth day of the fourth month after the close of the tax year, or after
the automatic six-month extension, if applicable. Colorado K-1s for calendar year 2024 are due on April 15,
2025. If the due date falls on a weekend or legal holiday, the Colorado K-1s will be due the next business day.

Filing Colorado K-1s with the Department

Partnerships must submit a copy of each partner’s Colorado K-1 to the Department. These copies may
be submitted in spreadsheet or XML form at Colorado.gov/RevenueOnline. Partnerships may also enter
the data manually at Colorado.gov/RevenueOnline. Partnerships who file through MeF can submit each
partner's Colorado K-1 as part of their partnership return. Finally, paper copies may be submitted with
the Annual Transmittal of DR 0106K – Colorado K-1 Forms cover sheet (form DR 1706) by mail to:
Colorado Department of Revenue
Denver, CO 80261-0006
Do not submit the copies of the Colorado K-1s issued to partners (or the DR 1706 transmittal form) as
an attachment to any paper form DR 0106 filed by the partnership.

Completing the Colorado K-1

Fiscal Year Filers
If the partnership’s tax year is a fiscal year, enter the dates the partnership’s fiscal year begins and ends.
Information About the Partner
Enter the partner’s name and address.
Enter the partner’s applicable tax identification number. If the partner is an individual, enter the
individual’s social security number (S S N) or individual taxpayer identification number (I T I N). If the
partner is an estate, trust, corporation, partnership, or other legal entity, enter the partner’s federal
employer identification number (F E I N).
Check the applicable box to indicate whether the partner is a Colorado resident or nonresident. Check
the applicable box to indicate the partner is a resident if they were a Colorado resident for the entire
tax year or for any part of the tax year.
• An individual is a Colorado resident if they are domiciled in Colorado or if they maintain a
permanent place of abode in Colorado and spend in the aggregate more than six months of the
taxable year in Colorado. See Part 1 of the Colorado Individual Income Tax Guide for additional
assistance in determining Colorado residency for individuals.
• An estate is a Colorado resident if it is the estate of a deceased person that is administered in
Colorado in a proceeding other than an ancillary proceeding.
• A trust is a Colorado resident if it is administered in Colorado.
A C corporation that is a partner in a partnership is a Colorado resident partner if it is organized
under Colorado law.
A partnership that is a partner in another partnership is a Colorado resident partner if it is organized
under Colorado law. A limited liability company (LLC) that is treated as a partnership for federal
income tax purposes is treated as a partnership for Colorado income tax purposes.
23

Part-Year Resident Partners
If a partner was a resident for only part of the tax year, check the box to indicate that they were a
resident and complete the Colorado K-1 for the partner following the instructions for resident partners.
SALT Parity Act Election
If the partnership has made an election for the tax year pursuant to section 39-22-343, C.R.S., to be
subject to tax at the entity level, check the applicable box to indicate the SALT Parity Act election. A
SALT Parity Act election made by a partnership is binding on all of its partners, regardless of whether
the partner is an individual, corporation, or other legal entity, and regardless of whether the partner
is a resident or nonresident. The election does not apply to any partner that is a C corporation that is
unitary with the partnership. Check the box to indicate that they are an excluded nonresident.
Nonresident Partners
If the partner is a nonresident of Colorado and an individual, estate, or trust, check the applicable
box to indicate whether the partnership is filing a composite return that includes the partner, the
partnership has filed or is filing a DR 0107 for the partner, or the partnership is making a SALT Parity
Act election. If the partner is a nonresident of Colorado and is a corporation or partnership, check the
box to indicate that they are an excluded nonresident.
A form DR 0107 filed with the Department for a nonresident partner remains in effect for future tax years.
The partnership does not need to submit a new form DR 0107 for the same nonresident partner each year.
Information About the Partnership
Enter the partnership’s name, address, and either Colorado account number or federal employer
identification number (F E I N).
Partner’s or Shareholder’s Share of Income and Other items
On each Colorado K-1, the partnership must report in Column A (Partner’s or Shareholder’s Share of
Income and Other Items) the partner’s distributive share of each item listed. In Column B (Partner’s
or Shareholder’s Share of Income and Other Items Attributable to Colorado), the partnership must
report for each nonresident partner the portion of each listed item derived from sources in Colorado
or otherwise attributable to Colorado. In each column, enter income and gains as positive numbers;
enter losses and deductions as negative numbers. For paper returns, put negative amounts in
parentheses, for example, ($1,234). The following instructions provide guidance for determining the
amounts to enter in each column.
Federal Income and Deductions
Enter on lines 1 through 8 and line 12 in Column A the income and deduction information from the
partner’s federal Schedule K-1. Enter income and gains as positive numbers. Enter any losses on lines
1, 2, 3, or 8, and any federal deductions on line 12, as negative amounts.
Colorado K-1 (Form DR 0106K)

Partner’s Schedule K-1 (I R S Form 1065)

1. Ordinary business income (loss)

Box 1

2. Net rental real estate income (loss)

Box 2

3. Other net rental income (loss)

Box 3

4. Total guaranteed payments

Box 4c

5. Interest and dividends

Sum of Boxes 5 and 6a

6. Royalties

Box 7

7. Net capital gain

Sum of Boxes 8, 9a, and 10

8. Other income (loss)

Box 11

12. Federal deductions

Sum of Boxes 12 and 13
24

Complete lines 1 through 13 in Column B for each nonresident partner that is an individual, estate,
or trust. Leave these lines in Column B blank for all resident partners and for all partners that are
corporations or partnerships.
Enter on line 4 in Column B (Partner’s or Shareholder’s Share of Income and Other Items Attributable
to Colorado) the portion of the nonresident partner’s guaranteed payments from Column A that
is derived from sources within Colorado as determined pursuant to 1 C C R 201-2, Rule 39-22109(3)(b)(xii).
Enter on lines 1 through 3, lines 5 through 8, and line 12 in Column B the portions of the nonresident
partner’s distributive shares of income and deduction from Column A that are derived from sources
within Colorado as determined pursuant to section 39-22-203(1)(a), C.R.S. Amounts derived from
sources within Colorado are either determined in accordance with the provisions of section 3922-109, C.R.S., and Rule 39-22-109 or, at the partnership’s election, apportioned or allocated to
Colorado pursuant to section 39-22-303.6, C.R.S., and the related rules. See Part V of form DR 0106
and General Information Letter 22-003.
Line 9 State income tax addback
Partner’s or Shareholder’s Share of Income and Other Items (Column A)
For all partners that are not C corporations, enter on line 9 in Column A the partner’s distributive
share of any state income tax that was either:
• deducted by the partnership on line 14 of I R S Form 1065 for the tax year, or
• reported on line 9 of a Colorado K-1 issued to the partnership by a lower-tier partnership in which
the partnership was a partner.
Report on line 9 the partner’s distributive share of all deducted state income taxes, regardless of the
state to which the income tax was paid or accrued.
For all partners that are C corporations, enter on line 9 in Column A the partner’s distributive share of
any Colorado income tax that was either:
• deducted by the partnership on line 14 of I R S Form 1065 for the tax year, or
• reported on line 9 of a Colorado K-1 issued to the partnership by a lower-tier partnership in which
the partnership was a partner.
The partner’s distributive share of the deduction is determined with the same ratio used to determine the
partner's distributive share of partnership taxable income or loss generally for federal income tax purposes.
Partner’s or Shareholder’s Share of Income and Other Items Attributable to Colorado (Column B)
Enter on line 9 in Column B the partner’s distributive share of any Colorado income tax deducted by
the partnership on line 14 of I R S Form 1065 for the tax year. The partner’s distributive share of the
deduction claimed by the partnership must be determined in accordance with the partner's distributive
share, for federal income tax purposes, of partnership taxable income or loss generally.
Line 10 Business meals addition
Partner’s or Shareholder’s Share of Income and Other Items (Column A)
Enter the partner’s distributive share of any federal business deduction claimed by the S corporation
for the income tax year for business meals under section 274(k) of the Internal Revenue Code.
The partner’s distributive share of any addition is determined with the same ratio used to determine
the partner's distributive share of partnership taxable income or loss generally for federal
income tax purposes.
25

Partner’s or Shareholder’s Share of Income and Other Items Attributable to Colorado (Column B)
Include on line 10 in Column B the amount of the business meals addback from Column A to the
extent that the business meal expenses were in Colorado.
Line 11 Other Colorado additions
Partner’s or Shareholder’s Share of Income and Other Items (Column A)
Enter on line 11 in Column A the partner’s distributive share of any required Colorado additions not
reported on lines 9 or 10.
Report on line 11 the partner’s distributive share of any addition required for non-Colorado state or
local bond interest, including any non-Colorado state or local bond interest reported on line 11 of a
Colorado K-1 issued to the partnership by a lower-tier partnership in which the partnership was a
partner. The required addition does not include any amortization of the bond premium and is reduced
by the amount of the deductions required by the Internal Revenue Code to be allocated to the
interest income.
Report on line 11 the partner’s distributive share of following additions, including any of the following
additions reported on line 11 of a Colorado K-1 issued to the partnership by a lower-tier partnership
in which the partnership was a partner. The partner’s distributive share of any addition is determined
with the same ratio used to determine the partner's distributive share of partnership taxable income or
loss generally for federal income tax purposes.
• Business expenses deducted by the partnership in the calculation of federal taxable income
for wages or remuneration paid to an unauthorized alien for the physical performance of
services in Colorado;
• Expenses deducted by the partnership in the calculation of federal taxable income that were incurred
with respect to expenditures made at, or payments made to, any club that is licensed pursuant
to section 44-3-418, C.R.S., that has a policy to restrict membership on the basis of sex, sexual
orientation, gender identity, gender expression, marital status, race, creed, religion, color, ancestry, or
national origin.
Partner’s or Shareholder’s Share of Income and Other Items Attributable to Colorado (Column B)
Enter on line 11 in Column B the portions of the partner’s distributive shares of the additions from
Column A that are attributable to Colorado.
Include on line 11 in Column B the full amount of any of the following additions entered in Column A:
• Business expenses deducted by the partnership in the calculation of federal taxable income for
wages or remuneration paid to an unauthorized alien for the physical performance of services
in Colorado; and
• Expenses deducted by the partnership in the calculation of federal taxable income that were incurred
with respect to expenditures made at, or payments made to, any club that is licensed pursuant to section
44-3-418, C.R.S., that has a policy to restrict membership on the basis of sex, sexual orientation, gender
identity, gender expression, marital status, race, creed, religion, color, ancestry, or national origin.
See sections 39-22-104, 39-22-202, and 39-22-203, C.R.S., and 1 C C R 201-2, Rules 39-22-109 and
39-22-110 for additional information regarding Colorado additions.
Line 13 Colorado subtractions
Partner’s or Shareholder’s Share of Income and Other Items (Column A)
Enter on line 13 in Column A the partner’s distributive share of any allowable Colorado subtractions.
Enter subtractions on line 13 as a negative amount.
26

Report on line 13 the partner’s distributive share of any interest income on obligations of the United
States and its possessions, including any U.S. Government interest reported on line 13 of a Colorado
K-1 issued to the partnership by a lower-tier partnership in which the partnership was a partner.
Report on line 13 the partner’s distributive share of following subtractions, including any of the following
subtractions reported on line 13 of a Colorado K-1 issued to the partnership by a lower-tier partnership in
which the partnership was a partner. The partner’s distributive share of any subtraction is determined with the
same ratio used to determine the partner's distributive share of partnership taxable income or loss generally
for federal income tax purposes.
• If the partnership is licensed under the “Colorado Marijuana Code,” any expenditure that is eligible
to be claimed as a federal income tax deduction but is disallowed by section 280E of the Internal
Revenue Code because marijuana is a controlled substance under federal law;
• If the partnership is licensed under the “Colorado Natural Medicine Code,” any expenditure that is
eligible to be claimed as a federal income tax deduction but is disallowed by section 280E of the
Internal Revenue Code because natural medicine is a controlled substance under federal law;
• If the partnership is an “export taxpayer” as defined in section 39-22-206, C.R.S., any partnership
income or gain that constitutes foreign source income for federal income tax purposes;
• For all partners that are not C corporations, the amount of any refund or credit for overpayment
of income taxes imposed by Colorado or any other taxing jurisdiction to the extent included in
the partnership’s gross income for federal income tax purposes but not previously allowed as a
deduction for Colorado income tax purposes; and
• For all partners that are C corporations, the amount of any refund or credit for overpayment of income
taxes imposed by Colorado to the extent included in the partnership’s gross income for federal
income tax purposes but not previously allowed as a deduction for Colorado income tax purposes.
Partner’s or Shareholder’s Share of Income and Other Items Attributable to Colorado (Column B)
Enter on line 13 in Column B the portions of the partner’s distributive shares of the subtractions from
Column A that are attributable to Colorado.
Include on line 13 in Column B the full amount of any of the following subtraction entered in Column A:
• If the partnership is licensed under the “Colorado Marijuana Code,” any expenditure that is eligible
to be claimed as a federal income tax deduction but is disallowed by section 280E of the Internal
Revenue Code because marijuana is a controlled substance under federal law; and
• If the partnership is licensed under the “Colorado Natural Medicine Code,” any expenditure that is
eligible to be claimed as a federal income tax deduction but is disallowed by section 280E of the
Internal Revenue Code because natural medicine is a controlled substance under federal law.
Include on line 13 in Column B the amount of the following subtraction entered in Column A to the
extent the underlying or related income is included on lines 1 through 8 in Column A:
• The amount of any refund or credit for overpayment of income taxes imposed by Colorado or any
other taxing jurisdiction to the extent included in the partnership’s gross income for federal income
tax purposes but not previously allowed as a deduction for Colorado income tax purposes.
See sections 39-22-104, 39-22-202, and 39-22-203, C.R.S., and 1 C C R 201-2, Rules 39-22-109 and
39-22-110 for additional information regarding Colorado subtractions.
Lines 14 and 15 Partner’s Share of Total Receipts and Non-Apportionable Income
Lines 14 and 15 of the Colorado K-1 must be completed for any partner that is a C corporation or that is treated
as a C corporation for Colorado income tax purposes, but is not required for any other partner, unless the
partner needs the information reportable on these lines for the preparation of their Colorado income tax return.
27

Enter on line 14 in Column A the partner’s distributive share of the total receipts from line 8 in the “Everywhere”
column of the partnership’s form DR 0106, part V. Enter on line 14 in Column B the partner’s distributive share
of the total receipts from line 8 in the “Colorado” column of the partnership’s form DR 0106, part V. The partner’s
distributive shares of receipts entered in both columns are determined with the same ratio used to determine
the partner's distributive share of partnership taxable income or loss generally for federal income tax purposes.
Enter on line 15 in Column A the partner’s distributive share of the total income directly allocable
to any state from line 10 of the partnership’s form DR 0106, part V. Enter on line 15 in Column B
the partner’s distributive share of the total income directly allocable to Colorado from line 13 of the
partnership’s form DR 0106, part V. The partner’s distributive shares of directl