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DENVER – The Colorado Chamber of Commerce today announced the addition of five bills to its “Job Killers” and “Wallet Watchdog” bill lists, an initiative identifying proposals in the 2026 legislative session that threaten the state’s business climate, economic opportunity and future growth, while also worsening Colorado’s cost of living crisis.
According to Chamber analysis of each bill’s fiscal impact, the combined proposals represent $624.2 million per year in new taxes on Colorado businesses. For context, Colorado collected roughly $1.06 billion in corporate tax revenue from businesses last year, meaning these proposals amount to a more than 58% increase in taxes on business beginning next year.
“Together, these bills would increase taxes on employers by over $600 million annually, yet none of that revenue would go toward actually addressing the state’s budget shortfall,” said Senior Vice President of Government Affairs Meghan Dollar. “Instead, legislators are proposing significant new costs on job creators without solving the underlying fiscal challenges facing the state. This irresponsible approach puts Colorado’s competitiveness at risk, discouraging investment and driving up prices across the state.”
New bills added to the Chamber’s “Job Killers” list include:
- HB 1221: Raises taxes on Colorado employers by limiting existing tax credits, restricting the use of net operating loss deductions and narrowing the alternative minimum tax credit. By scaling back longstanding tax provisions that businesses rely on, the bill increases costs on job creators and weakens Colorado’s economic competitiveness.
Estimated new state taxes from fiscal note: $167.4 million in Fiscal Year 2027-28 - HB 1222: The bill limits certain tax deductions for Colorado employers by decoupling the state from recent federal tax changes, discouraging economic growth in Colorado and driving investment and jobs out of the state.
Estimated new state taxes from fiscal note: $329.2 million in Fiscal Year 2027-28
New bills added to the Chamber’s “Wallet Watchdog” list include:
- HB 1223: The bill repeals the sales and use tax exemption for downloaded software, making many software purchases subject to state sales and use tax and increasing costs for both Colorado businesses and consumers.
Estimated new state taxes from fiscal note: $90 million in Fiscal Year 2027-28 - SB 116: Authorizes municipalities to impose new lodging taxes, increasing taxes on Colorado’s tourism and hospitality industry. The measure would raise costs and place additional strain on local businesses, particularly in mountain resort communities that rely heavily on tourism.
Estimated new state taxes from fiscal note: $2.1 million in Fiscal Year 2027-28, not including new local taxes that arise from the bill - HB 1271: Imposes new fees on beer, wine and liquor companies to fund a new government-run Alcohol Impact and Recovery Enterprise. These added costs on producers and distributors will ultimately be passed on to consumers through higher prices, worsening Colorado’s high cost of living and making Colorado less competitive.
Estimated new state taxes from fiscal note: $35.5 million in Fiscal Year 2027-28
The Chamber’s opposition agenda involves advocacy against legislation by the Chamber’s lobby team, grassroots action alerts and social media engagement. The Chamber will continue to monitor legislation introduced in the 2026 session and will update the lists as bills move through the legislative process.
Visit https://cochamber.com/oppositionagenda for updates.
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The Colorado Chamber of Commerce champions free enterprise, a healthy business environment and economic prosperity for all Coloradans. It is the only business association that works to improve the business climate for all sizes of business from a statewide, multi-industry perspective. What the Colorado Chamber accomplishes is good for all businesses, and that’s good for the state’s economy. It was created in 1965 based on the merger with the Colorado Manufacturers’ Association.