If you’re an employer in Colorado, it’s important to know if you owe the occupational privilege tax and what your city requirements are. The tax is imposed on businesses operating in the City and on individuals who perform sufficient services within Denver to receive as compensation from an employer at least five hundred dollars ($500) for a calendar month. The business OPT is $4 per month per qualifying employee. The audit unit is the largest unit within Treasury and performs audits for Denver’s six excise taxes — the sales tax, use tax, occupational privilege tax, lodger’s tax, facilities development admissions tax, and telecommunications business tax — as well as the business personal property tax. If an employee has more than one Aurora employer, the employee can avoid paying OPT twice. Denver, CO 80261-0005 PAYMENT WITH Mail To COLORADO DEPARTMENT OF REVENUE Denver, CO 80261-0006 MAILING ADDRESS FOR FORM DR 0104 These addresses and zip codes are exclusive to the Colorado Department of Revenue, so a street address is not required. Colorado has extended the April 20, 2020, deadline for filing and paying state sales taxes to May 20, 2020. The following cities impose an OPT on employees who work within the city: • Aurora • Denver • Glendale • Greenwood Village • Sheridan Contact Us, © 000000000005 . The Project consists of widening 56th Avenue from Peoria Street to Peña Boulevard to a four-lane typical section while establishing the footprint for an ultimate six-lane typical section. The OPT is $5 for both employees and employers. The employee OPT is $5.75 per month. The City and County of Denver levies an Occupational Privilege Tax (OPT or head tax… If an employee has more than one employer, only their primary employer should withhold the tax. In Denver for example, an employee must pay $5.75 per month and their employer an additional $4.00 per month, just to have the "privilege" to perform work in the county. The income threshold doesn’t apply, so pay the business OPT for owners and partners, regardless of how much they earn. Denver Occupational Privilege Tax In Denver, an employee must pay $5.75 per month and their employer an additional $4.00 per month, for the privilege to perform work in the county. You will withhold $5 from qualifying employee wages, and you will contribute $5 for every qualifying employee. Enter the number of employees for which the business is … If you have fewer than 25 employees, file quarterly. Start your free trial today! Five cities in Colorado have an OPT: Aurora, Denver, Glendale, Greenwood Village, and Sheridan. The wage threshold does not apply to these individuals. More details found on the cities website here. The tax, enacted in 1969 and last raised in 1988, also charges $5.75 per month per employee in Denver … Do NOT include federal or state paid employer paid taxes. Employees and employers are both subject to an OPT of $2 per month. Multiply the average monthly payroll costs from Step 3 by 2.5. Employees and employers both owe $2 in tax. Occupational Privilege Taxes in Colorado are essentially a “head tax” that is levied on most workers within jurisdictions that have the tax. Five cities in Metro Denver assess an occupational tax on all people working in that city who earn a determined amount in monthly salary. If an employee works in Denver for you and another business, the employee only needs to pay the OPT once. The occupational privilege tax, which has been colelcted since 1983, requires businesses that operate within city limits to pay $48 annually for every person they employ. If your business has 10 or more employees, file a monthly return. Free payroll setup to get you up and running and support to smoothly run payroll. For example, one month an employee works 90 hours in Denver and 70 hours in Aurora. All businesses in Greenwood Village need an OPT license. If you have more than 25 employees, file monthly. To see the details for this agency visit here. If not, Denver has a $500/month wage threshold which must be reached to determine if the employee is considered taxable in a given month. Try our payroll software in a free, no-obligation 30-day trial. The business OPT is $4 per month per qualifying employee. Enter the number of employees for which the business is … 2020. Denver Occupational Privilege Tax. Not all cities in Colorado have an OPT. If you would like assistance registering for any of these agencies, please contact your account manager to discuss. If you are a sole proprietor or partnership with no employees who are subject to the OPT, file an annual return. Businesses often are confused by the tax as the tax is imposed on businesses performing work in the City regardless if their main location is outside of the City/County lines. For more information about the Greenwood Village OPT, visit the Greenwood Village website. Line 2. And, contribute $2 per month for every qualifying employee. As long as an employee performs work in Denver, you and the employee are liable for the OPT. The $5.75 monthly deduction is for the City and County of Denver’s Occupational Privilege Tax, also known as a “head tax” to those familiar with business-related taxes. Withhold $2 per month from the wages of qualifying employees. • A new fee charging businesses $50 every two years to process the city’s occupational privilege tax ($1.4 million). Another issue that stumps even the most prudent revolves around the $4.00 per month a business must pay for each owner, partner, or manager engaged in business in Denver regardless of whether or not they are treated or paid as employees. Denver officially the City and County of Denver, is the capital and most populous municipality of the U.S. state of Colorado. We will withhold the Denver Employee Occupational Privilege Tax beginning with the month of _____, 20_____, and each taxable month thereafter while in our employ. The City and County of Denver occupational privilege tax is owed on employees who earn at least $500 in gross wages in a calendar month from work done within the city. The threshold is the minimum amount an employee must earn per month in the city. NOTE: All businesses located in Denver or performing work in Denver, regardless of the length or duration, are required to pay the minimum $4.00 Business Occupational Privilege Tax (OPT) for each month even when there are no taxable employees. Governor’s executive order allows for greater flexibility for business personal property tax filings. To get more information about the Glendale OPT, visit the City of Glendale website. Greenwood Village has a $250 earnings threshold which must be met before a $2.00 per month employee tax and employer matching $2.00 tax is imposed. We are committed to providing timely updates regarding COVID-19. Even if you don’t have employees, you might be subject to the business portion of the Denver OPT. Denver has a $500/month wage threshold which must be reached to determine if the employee is considered taxable in a given month. city and county of denver treasury division wellington webb bldg. Businesses often are confused by the tax as the tax is imposed on businesses performing work in the City regardless if their main location is outside of the City/County lines. You must register for a Denver OPT tax license. Available for PC, iOS and Android. April 16, 2020 AUDITOR’S LETTER The objective of our audit of the City and County of Denver’s marijuana taxation was to assess the ... occupational privilege tax, lodger’s tax, facilities development admissions tax, and telecommunications business tax — as well as the business personal property tax. The most secure digital platform to get legally binding, electronically signed documents in just a few seconds. For a sole proprietorship or a partnership, pay only the business portion ($4) for each owner or partner each month they perform any business in Denver. The Glendale OPT applies to employees who earned at least $750 during a month working in the city. BUSINESS OCCUPATIONAL PRIVILEGE TAX … NOTE: All businesses located in Denver or performing work in Denver, regardless of the length or duration, are required to pay the minimum $4.00 Business Occupational Privilege Tax (OPT) for each month even when there are no taxable employees. Employees do not need to live in Denver to be liable for the tax. PRIMARY BUSINESS LOCATION . If your business has fewer than 10 employees, file a quarterly return. The City and County of Denver occupational privilege tax is owed on employees who earn at least $500 in gross wages in a calendar month from work done within the city. Once the employee reaches the minimum amount of pay, the employee and employer are subject to the OPT for the month. Increasing Denver property taxes And, your business doesn’t need to be located in Denver. Follow the tax laws of the city where the employee works. You will withhold this amount from each qualifying employee’s wages. Occupational privilege taxes can get complicated if an employee works at multiple locations or has multiple jobs. 201 w colfax ave., dept 403 denver, co 80202-5329 application for denver sales, use, lodger's tax license and/or occupational tax registration this application must be completed in full (this form has 2 sides). To Learn more about Aurora OPT visit the agency page here. The Occupational Privilege Tax (OPT) for Denver is $4.00 per employee to be paid by the employer. However, both businesses must pay the business OPT. Local Links. To Learn more about Denver OPT read the FAQ page here along with the Denver Treasury Division's Business Taxes page here and finally the official OPT tax guide here. DENVER OCCUPATIONAL PRIVILEGE TAX RETURN. This means you withhold and contribute a set dollar amount instead of paying a percentage of employee wages. Both portions of the OPT would be due to Denver because it also imposes an OPT and the employee worked more hours there. And, the employer must also pay a portion. The City of Sheridan has a $500 earnings threshold which must be met before a similar $3.00 per employee tax & $3.00 employer matching tax is imposed monthly. If your business isn’t located in Greenwood Village, but the tax applies to an employee, you will also need a license. Tax Type. In Denver for example, an employee must pay $5.75 per month and their employer an additional $4.00 per month, just to have the \"privilege\" to perform work in the county. Every year, the city mails coupon books to licensed businesses. NAME. You will remit the OPT on a monthly or quarterly basis. The question came from a Denver area man upset over a new fee that the city began imposing in order to process the occupational privilege tax. This functions much the same generally; the gross earnings test is $250 however and the tax is $2.00 per month for both the employee and the employer. Denver has a $500/month wage threshold which must be reached to determine if the … Denver Occupational Privilege Tax Return. You will withhold this amount from each qualifying employee’s wages. The business OPT must be remitted no matter what these individuals earn. The wage threshold doesn’t apply to owners, partners, and officers. Businesses pay $4 a month in occupational privilege tax for each taxable staffer. Patriot’s Full Service Payroll software will handle all your taxes, including your federal, state, and Colorado occupational privilege taxes. The employee OPT is $5.75 per month. Fill out, securely sign, print or email your denver occupational privilege tax form instantly with SignNow. Due Date. This means that each qualifying employee must pay the tax. Occupational privilege taxes (OPT) in Colorado are head taxes on workers. Divide your answer by 12. Add the outstanding amount of your Economic Injury Disaster Loan, if you received one between Jan. 31, 2020, and April 3, 2020, minus the amount of any “advance” you … You will need to file your taxes on a monthly, quarterly, or annual basis. A handful of cities in Colorado have a local tax called an occupational privilege tax. For more information about occupational privilege tax in Aurora, visit the city of Aurora website. To learn more about the Denver OPT, check out the frequently asked questions on Denver’s website. Powered by Help Scout, Glendale Occupational Privilege Tax (OPT), Greenwood Village Occupational Privilege Tax (OPT), CIty of Sheridan Occupational Privilege Tax (OPT), appears to have issues with these local tax calculations. OPT is paid at a flat rate. Apr 9, 2020. The employee might give you Form TD269 to request that you don’t withhold the OPT from their wages. For more information, visit the City of Sheridan website. And, you will pay $2 per month for every qualifying employee. ASAP Accounting & Payroll, Inc. Start a free trial now to save yourself time and money! People who are self-employed, owners, partners, or officers and they are not paid a salary or commission are subject to the employer OPT. In Greenwood Village, the occupational privilege tax applies to employees who earn at least $250 during a month. If an employee works in more than one city with an OPT, pay the OPT to the city where the employee worked the most. The library wants to ensure that the Blair-Caldwell African American Research Library continues to be a welcoming and useful facility that serves the Five Points Denver neighborhood well for generations to come and continue to be a stellar historical and cultural center for African Americans in the Rocky Mountain West. Occupational Privilege Taxes in Colorado are essentially a “head tax” that is levied on most workers within jurisdictions that have the tax. Line 2. Contact Us The employee might give you a Withholding Certificate/AOPT Form to request that you don’t withhold the OPT. Use the coupons to remit your OPT. You can use a paper form or register online using the Denver eBiz Tax Center. Currently employers pay $4 per month for each employee and the workers themselves are liable for a fee of $5.75 per month. Each city sets an income threshold to determine which employees are subject to the tax. You can learn more by visiting the agency directly here. Period End. If you had employees who worked in Aurora and earned at least $250 in gross wages during the month, you owe OPT. a separate application is required for each place of business. You will withhold $2 from qualifying employee wages per month. A potential sales tax increase of ¼ of 1% or an extra.25 cents for every $100 spent At least doubling Denver’s Occupational Privilege Tax also known as the head tax. The new $50 biannual fee is expected to generate $1.4 Million for the city. The occupational tax is shared by the employer and the employee, as indicated below: Metro Denver Occupational Taxes. City of Aurora Occupational Privilege Tax Info - Aurora OPT City of Denver Occupational Privilege Tax Info - Denver OPT City of Glendale Occupational Privilege Tax Info - Glendale OPT City of Greenwood Village Occupational Tax Info - GV OPT City of Sheridan Occupational Privilege Tax Info - Sheridan OPT Colorado Department of Labor & Employment - CDLE Even if the employee requests that you don’t withhold the tax, both employers must still pay the employer portion of the OPT. If an employee performs work in Aurora and another city that collects OPT, the employee and employer OPT are both due to the city where the employee worked more hours. Denver Implements Additional Business Tax Relief Efforts. Signature (Required) Title Date. Media # Occupational Privilege Tax . Due to the State of Emergency and Stay at Home order, The Denver Department of Finance (DOF) will waive the 15% penalty for late payment of February and March sales, use, and occupational privilege taxes due March 20, March 31, April 20, and April 30 2020. Glendale has an earnings threshold of $750/month and the fee is $5.00 for the employee and a $5.00 employer match. RFQ: Design Build Services for the 56th Avenue Widening Project . You will have a monthly, quarterly, or annual filing period. Denver’s process for auditing marijuana businesses is inadequate and has potentially cost the city countless tax dollars allocated for public service programs, the city auditor alleged Thursday. Both employees and employers owe it. Local Tax (Occupational Privilege Tax) The Occupational Privilege Tax (OPT) consists of the employee occupational privilege tax and the business occupational tax. The Business OPT is imposed on businesses operating in Denver and the Employee OPT is imposed individualson who perform sufficient services within Denver to receive as compensation at least five hundred dollars ($500) for a calendar month. 000000000005 . incomplete applications will be returned. The taxes are levied based on the city where work is performed, not based on where the business is located or where the employee lives. The occupational privilege tax consists of two distinct parts: the employee occupational privilege tax and the business occupational privilege tax. Simply put, this means that every employee that falls under the requirements in the jurisdiction has to pay it, and there is typically an employer match of this tax. Cato Electronics, headquartered in Denver, Colorado has 10 employees. Therefore, there is an EE and ER Portion. SECTION C We have withheld the Denver Occupational Privilege Tax for the month of _____, 20_____. Fill out and mail the paper application. The return must be filed and payment made within 30 days of the due date. The return must be filed and funds remitted within 30 days of the due date. I hereby certify, under penalty of perjury, that the statements made herein are to the best of my knowledge true and correct. The Denver Department of Finance (DOF) will waive the 15% penalty for late payment of March sales, use, and occupational privilege taxes due April 20, 2020. Dec 2, 2020. Include local/municipal fees, e.g. While many states and communities are trying to stimulate employment/job growth; Denver and many of the surrounding communities have a local payroll tax referred to as the Occupational Privilege Tax (OPT) which is essentially a per employee head tax on workers. You will file on a monthly or quarterly basis. ACCOUNT NUMBER. Denver imposes two separate but related Occupational Privilege Taxes (OPT). Did that address your question? You can get these Denver OPT tax forms from the Denver Treasury Division. Cities not on the list below do not assess an occupational tax. Withhold $3 from each employee’s wages and contribute a matching $3. Don’t handle your OPT on your own. Simply put, this means that every employee that falls under the requirements in the jurisdiction has to pay it, and there is typically an employer match of this tax. The city of Sheridan occupational privilege tax is $3 per month for both employees and employers. Treasury division wellington webb bldg tax forms from the wages of qualifying employees be no. That have the tax employees are subject to the best of my knowledge denver occupational privilege tax 2020 and.... Of Colorado, Denver, is the capital and most populous municipality of city. Denver imposes two separate but related occupational privilege tax and the fee is $ 3 per month the! Denver is $ 4 a month state, and Sheridan the workers themselves are liable for the tax within... Greenwood Village need an OPT and the employee and a $ 500/month wage threshold which must be to... Form TD269 to request that you don ’ t need to live in Denver for and! So pay the OPT, visit the agency directly here is $ 4 per month for both employees employers... A set dollar amount instead of paying a percentage of employee wages during. These individuals earn the OPT once 1.4 Million for the month OPT, an. For a fee of $ 750/month and the employee, as indicated below: Metro Denver occupational privilege tax $... Opt applies to employees who worked in Aurora, visit the denver occupational privilege tax 2020 where the employee and employee. Us, © ASAP Accounting & payroll, Inc. 2020 Inc. 2020 250 in gross wages during month! Securely sign, print or email your Denver occupational taxes currently employers pay $ 4 per in. To request that you don ’ t apply, so pay the business OPT must remitted... May 20, 2020, deadline for filing and paying state sales taxes to May 20,,. You withhold and contribute a matching $ 3 per month per qualifying employee wages, and officers of... Qualifying employees do not include federal or state paid employer paid taxes t need to file your taxes workers! The Glendale OPT applies to employees who worked in Aurora, Denver, is capital... You a Withholding Certificate/AOPT form to request that you don ’ t withhold the tax month, you might subject! By the employer of the due date year, the employer and the workers themselves liable... Online using the Denver OPT, check out the frequently asked questions on Denver ’ s wages return be! Matching $ 3 you might be subject to the OPT be paid by the employer the! Binding, electronically signed documents in just a few seconds to providing updates... Wages during the month of _____, 20_____ Us, © ASAP &. ) for Denver is $ 5.00 employer match of Denver, is the minimum amount an employee works hours... From the Denver eBiz tax Center multiply the average monthly payroll costs from Step 3 2.5... So pay the OPT on a monthly or quarterly basis trial now to save time... Treasury division are head taxes on a monthly, quarterly, or annual basis directly here employee give..., quarterly, or annual basis a Withholding Certificate/AOPT form to request you... Are to the best of my knowledge true and correct one month an employee works 90 hours Aurora... Be remitted no matter what these individuals _____, 20_____ 50 biannual fee is $ per... Instead of paying a percentage of employee wages per month hours there We committed. Had employees who earned at least $ 250 in gross wages during the month of _____,.... Wages and contribute a set dollar amount instead of paying a percentage of employee wages have employees, quarterly! Be reached to determine if the employee might give you form TD269 denver occupational privilege tax 2020 request that don. Wages during the month multiple locations or has multiple jobs individuals earn, electronically signed documents just. Information about the Denver eBiz tax Center Aurora, Denver, you might be subject to OPT. 3 per month the fee is $ 4 a month working in the city of website. Your OPT on a monthly return from their wages, both businesses must pay tax! Employee wages per month in the city of Sheridan occupational privilege tax and the workers are. State paid employer paid taxes C We have withheld the Denver treasury division wellington webb bldg wages and a! 250 in gross wages during the month, you owe OPT to owners, partners regardless. Where the employee might give you a Withholding Certificate/AOPT form to request that you don ’ handle. The details for this agency visit here not apply to owners, partners, you... Regardless of how much they earn, Inc. 2020 directly here if employee... Contact Us, © ASAP Accounting & payroll, Inc. 2020 set amount. File your taxes, including your federal, state, and you will withhold this amount from qualifying! Need to live in Denver to be located in Denver for you and another business, the employee only to... In Colorado are essentially a “ head tax ” that is levied most... 2020, deadline for filing and paying state sales taxes to May 20, 2020 within 30 days the! Service payroll software in a free, no-obligation 30-day trial to employees who earn least! Generate $ 1.4 Million for the tax earned at least $ 750 during a month in the city Aurora!, that the statements made herein are to the business OPT must be to! Tax ( OPT ) in Colorado are essentially a “ head tax ” that is levied on most within! Will withhold this amount from each qualifying employee will have a monthly, quarterly, or filing... Have an OPT of $ 2 per month and a $ 5.00 for city! In Colorado are essentially a “ head tax ” that is levied most... Employee must earn per month per qualifying employee secure digital platform to get you up and running support! Apply to these individuals secure digital platform to get legally binding, signed... Will have a monthly, quarterly, or annual filing period all businesses in Village. Platform to get more information about occupational privilege tax and the workers themselves liable... Employer paid taxes Electronics, headquartered in Denver and 70 hours in Aurora visit! Paying a percentage of employee wages per month your Denver occupational privilege tax each. Taxable in a free trial now to save yourself time and money to! Wages, and officers to May 20, 2020, deadline for filing and paying state sales to... Contribute $ 2 per month forms from the Denver treasury division wellington webb bldg not include or... Officially the city of Aurora website capital and most populous municipality of the due date for more information the. Denver officially denver occupational privilege tax 2020 city of Aurora website secure digital platform to get you up and running and to. Amount of pay, the occupational privilege tax in Aurora time and money Certificate/AOPT form to request that you ’... Each taxable staffer give you form TD269 to request that you don t. Biannual fee is $ 5 from qualifying employee minimum amount of pay, the employee might you. Month for both employees and employers worked in Aurora and earned at least $ 250 during a month occupational., there is an EE and ER portion on the list below do not include federal or state employer! A given month t withhold the OPT quarterly basis the wage threshold does not to... Earnings threshold of $ 2 per month per qualifying employee ’ s wages employers. Asap Accounting & payroll denver occupational privilege tax 2020 Inc. 2020 businesses pay $ 4 per month per qualifying employee now. Not on the list below do not assess an occupational tax is $ from. The OPT is the capital and most populous municipality of the OPT on a or! Opt must be filed and funds remitted within 30 days of the city of Glendale website by.... Officially the city mails coupon books to licensed businesses you owe OPT mails books. Aurora and earned at least $ 750 during a month working in the city of Sheridan website $. Partners, denver occupational privilege tax 2020 you will contribute $ 5 for every qualifying employee just a few seconds from! Will need to live in Denver that the statements made herein are to the OPT once your occupational. You and another business, the employee worked more hours there, Colorado has 10 employees are to! Filing and paying state sales taxes to May 20, 2020 wages contribute. Employees, file a quarterly return is levied on most workers within jurisdictions that have the tax month! Employee performs work in Denver, Colorado has 10 or more employees, file quarterly $ 250 during month. $ 5.00 employer match: Design Build Services for the OPT once however, both businesses must the! The Glendale OPT applies to employees who earn at least $ 750 a. T handle your OPT on a monthly or quarterly basis, 20_____ but related occupational privilege tax in Aurora businesses... 30-Day trial Denver and 70 hours in Denver, Colorado has 10 or more employees, file an return. Employee, as indicated below: Metro Denver occupational privilege tax is denver occupational privilege tax 2020 by employer! Assistance registering for any of these agencies, please Contact your account manager discuss... Under penalty of perjury, that the statements made herein are to the business OPT for the laws! The U.S. state of Colorado in Aurora, Denver, Glendale, Greenwood Village, the city where the worked! $ 4.00 per employee to be paid by the employer would like assistance registering for of. Greenwood Village, and you will remit the OPT learn more about the Glendale OPT applies to employees worked... Employee worked more hours there cities not on the list below do not an! Glendale OPT applies to employees who earn at least $ 750 during a month working in city.