Sales and Use Tax

Sales and Use Tax – Most citizens are aware that the Town of Columbine Valley has a 3% sales tax assessed on all taxable purchases in the Town.  Generally these purchases occur at Columbine Country Club since there are no other significant commercial retail operations within the Town at this time.  You should also be aware that this same 3% sales tax is assessed on new and used vehicle purchases for all motor vehicles registered in the Town even though purchased at a dealership in another taxing jurisdiction.  We also have a ‘Use Tax’ in the same amount of 3%.  It is identical to the Sales Tax except that it is assessed on taxable purchases made in other jurisdictions where the ‘taxable merchandise’ is ‘Used’ in Columbine Valley.  The most common incidence of this tax being levied and collected is when a homeowner builds or makes improvements to his/her home.  The ‘Use Tax’ is assessed when the homeowner obtains a Building Permit for his project, and is based on the estimated taxable materials to be used in the building project.  Evidence of payment of this tax is confirmed in the Building Permit which can be presented to a vendor (e.g. Home Depot) to eliminate a duplicate city sales tax being assessed on purchases of materials to be used in a building project in Columbine Valley.