COtax_creditpct_of_investment

Enterprise Zone Vacant Commercial Building Rehabilitation Tax Credit

CO-EZ-REHAB · Colorado

Summary

Tax credit equal to 25% of qualified rehabilitation expenditures for the renovation of a vacant commercial building located in a Colorado Enterprise Zone, capped at $50,000 of credit per building. Building must have been vacant for at least 2 consecutive years prior to the start of rehabilitation and must be used for income-producing activity afterward. Qualified expenditures include exterior, structural, mechanical, and electrical improvements, demolition, carpentry, sheetrock, plaster, painting, ceilings, fixtures, doors, windows, sprinkler systems, roofing, flashing, tuckpointing, and cleaning. Excluded: appraisals, architectural/engineering/interior-design fees, legal/accounting/realtor fees, loan/sales/marketing/closing costs, building permits, inspections, bids, insurance, project signage, copying, rent loss during construction, acquisition costs, interior furnishings, new additions (except code-required), total demolition followed by new construction, excavation, grading, paving, landscaping, and repairs to outbuildings.

Benefit

Percentage
25% of investment
Flat
Duration
Max annual
(taxpayer)
Max total
$50,000 (taxpayer)
Carryforward

Program metadata

Distribution
taxpayer_earned
Claimant subject
business
Refund/transfer election
none
Program family
Effective
Sunset
Application deadline
Transfer discount

Hard requirements (2)

  • local_approval_requiredEZ administrator (one of 16 OEDIT-designated administrators) must pre-certify the qualifying activity (vehicle purchase / machinery purchase / building rehabilitation) before the credit or exemption is realizable. Pre-certification is location-based and renews annually.
  • industry_keywordMarijuana / cannabis businesses do not qualify (federal-illegality bar). The OEDIT program page for each EZ credit explicitly enumerates this exclusion ("businesses in the marijuana industry do not qualify for this tax credit"). This is a source-grounded exclusion, not a modeling decomposition.

Preference / tiering rules (0)

None.

NAICS industries (0)

Any.

Geo zones (1)

  • enterprise_zone · Colorado Enterprise Zones (16 zones, OEDIT-designated)

Tags (5)

  • reported_on_form: DR_1366
  • refund_certificate_form: DR_1370
  • pte_distribution_form: DR_0078A
  • min_pre_rehab_vacancy_years: 2
  • per_building_credit_cap_usd: 50000

Source

https://oedit.colorado.gov/enterprise-zone-vacant-commercial-building-rehabilitation-tax-credit
§ 39-30-105.6, C.R.S.
Last verified: 2026-04-30
Per-building $50,000 cap on the credit (NOT the rehabilitation expenditure). Building defined as a single structure or a group of related structures valued as one unit for property tax purposes; subdivided structures (e.g., office condominiums) count as one building unless subdivided more than 20 years ago. Mixed-use buildings: only commercial-portion costs qualify. Pre-certify with the local EZ administrator BEFORE work starts.