Updated May 10, 2026
Capital Gains: 4.4% (flat rate)Income Tax: 4.4% (flat rate)Tax Summary
Colorado follows federal guidelines treating cryptocurrency as property. Capital gains and crypto income are taxed at the flat state income tax rate of 4.4%. No special crypto exemptions apply.
Quick facts for Colorado, United States
Capital Gains Tax
4.4% (flat rate)Income Tax Rate
4.4% (flat rate)Capital Gains Tax
4.4% (flat rate)• Crypto capital gains are classified as ordinary income in Colorado.
• Taxed at 4.4% flat rate on net gains included in federal taxable income.
• Follows federal rules for calculation; no state-specific exemptions or thresholds.
• Short-term and long-term gains both taxed as ordinary income at state level.
• Taxed at 4.4% flat rate on net gains included in federal taxable income.
• Follows federal rules for calculation; no state-specific exemptions or thresholds.
• Short-term and long-term gains both taxed as ordinary income at state level.
Income Tax
4.4% (flat rate)• Mining income taxed as ordinary income at 4.4% upon receipt.
• Staking rewards taxed as ordinary income at 4.4% when received.
• Follows federal treatment; included in Colorado taxable income.
• No state-specific rules differing from federal.
• Staking rewards taxed as ordinary income at 4.4% when received.
• Follows federal treatment; included in Colorado taxable income.
• No state-specific rules differing from federal.
Reporting Requirements
• Report crypto transactions on federal Form 1040; flows to state via federal AGI.
• File Colorado DR 0104 Individual Income Tax Return if CO AGI meets thresholds.
• Key deadline: April 15 (or next business day).
• No crypto-specific state forms required.
• File Colorado DR 0104 Individual Income Tax Return if CO AGI meets thresholds.
• Key deadline: April 15 (or next business day).
• No crypto-specific state forms required.
Special Notes
• Colorado accepts cryptocurrency payments for state taxes since 2022.
• Flat tax simplifies compliance; no preferential capital gains rate.
• Monitor TABOR refunds, which may adjust effective rate.
• Conforms to federal IRC with minimal additions.
• Flat tax simplifies compliance; no preferential capital gains rate.
• Monitor TABOR refunds, which may adjust effective rate.
• Conforms to federal IRC with minimal additions.
Other US States
Compare state-level crypto tax differences across the United States.
Alabama
CG: 2-5%Income: 2-5%
Alaska
CG: 0%Income: 0%
Arizona
CG: 2.5%Income: 2.5%
Arkansas
CG: 0-3.7% (50% deduction on long-term gains)Income: 0-3.7%
California
CG: 1%-13.3%Income: 1%-13.3%
Connecticut
CG: 2-6.99%Income: 2-6.99%
Delaware
CG: 2.2%-6.6%Income: 2.2%-6.6%
District of Columbia
CG: 4-10.75% (taxed as ordinary income)Income: 4-10.75%
Florida
CG: 0%Income: 0%
Georgia
CG: 5.19%Income: 5.19%
Hawaii
CG: Varies: short-term 1.4-11%, net long-term up to 7.25%Income: 1.4-11%
Idaho
CG: 0-5.3%Income: 0-5.3%
Illinois
CG: 4.95% (flat rate)Income: 4.95% (flat rate)
Indiana
CG: 2.95% state + 0.5%-3% local county (varies)Income: 2.95% state + 0.5%-3% local county (varies)
Iowa
CG: 3.8%Income: 3.8%
Kansas
CG: 5.2%-5.58%Income: 5.2%-5.58%
Kentucky
CG: 3.5%Income: 3.5%
Louisiana
CG: 3%Income: 3%
Maine
CG: 5.8%-9.15% (taxed as ordinary income)Income: 5.8%-9.15%
Maryland
CG: 2%-6.5% state + 2.25%-3.2% local; +2% surtax on net gains if FAGI >$350,000Income: 2%-6.5% state + 2.25%-3.2% local (varies by county)
Massachusetts
CG: 5% (LTCG), 8.5% (STCG) + 4% surtax >$1,083,150Income: 5% + 4% surtax >$1,083,150
Michigan
CG: 4.25%Income: 4.25%
Minnesota
CG: 5.35%-9.85% (+1% NIIT on net investment income > $1M)Income: 5.35%-9.85%
Mississippi
CG: 0% on first $10,000; 4.4% thereafterIncome: 0% on first $10,000; 4.4% thereafter
Missouri
CG: 0%Income: 2%-4.7%
Montana
CG: Long-term: 3.0%-4.1%; Short-term: 4.7%-5.65%Income: 4.7%-5.65%
Nebraska
CG: 2.46%-4.55% (taxed as ordinary income)Income: 2.46%-4.55%
Nevada
CG: 0%Income: 0%
New Hampshire
CG: 0%Income: 0%
New Jersey
CG: 1.4%-10.75% (as ordinary income)Income: 1.4%-10.75%
New Mexico
CG: 1.5% - 5.9%Income: 1.5% - 5.9%
New York
CG: 4-10.9% (state) + 3.078-3.876% (NYC)Income: 4-10.9% (state) + 3.078-3.876% (NYC)
North Carolina
CG: 3.99% (taxed as ordinary income)Income: 3.99%
North Dakota
CG: Short-term: 0%-2.5%; Long-term: effective 0%-1.5% after 40% exclusionIncome: 0%-2.5%
Ohio
CG: 2.75% (flat on income > $26,050)Income: 2.75% (flat on income > $26,050)
Oklahoma
CG: 0%-4.5%Income: 0%-4.5%
Oregon
CG: 4.75%-9.9%Income: 4.75%-9.9%
Pennsylvania
CG: 3.07% (flat rate)Income: 3.07% (flat rate)
Rhode Island
CG: 3.75%-5.99%Income: 3.75%-5.99%
South Carolina
CG: 1.99%-5.21% (44% deduction for net long-term capital gains)Income: 1.99%-5.21%
South Dakota
CG: 0%Income: 0%
Tennessee
CG: 0%Income: 0%
Texas
CG: 0%Income: 0%
Utah
CG: 4.5%Income: 4.5%
Vermont
CG: 3.35%-8.75%Income: 3.35%-8.75%
Virginia
CG: 2-5.75%Income: 2-5.75%
Washington
CG: 7% on long-term gains exceeding $278,000 (2025 threshold, inflation-adjusted)Income: 0% (no state income tax)
West Virginia
CG: 2.11% - 4.58% (taxed as ordinary income)Income: 2.11% - 4.58%
Wisconsin
CG: 3.5%-7.65% (30% subtraction for long-term)Income: 3.5%-7.65%
Wyoming
CG: 0%Income: 0%
Colorado Crypto Tax FAQ
Is cryptocurrency taxed in Colorado?
Colorado follows federal guidelines treating cryptocurrency as property. Capital gains and crypto income are taxed at the flat state income tax rate of 4.4%. No special crypto exemptions apply.
What is the crypto capital gains tax rate in Colorado?
The state-level capital gains treatment in Colorado is currently listed as 4.4% (flat rate).
How do I report crypto taxes in Colorado?
• Report crypto transactions on federal Form 1040; flows to state via federal AGI.
Compare With Other Countries
Disclaimer: This information is AI-generated and for educational purposes only. Tax laws are complex and subject to change. Always consult with a qualified tax professional for advice specific to your situation.