Aurora to cease practice of collecting sales tax on government fees

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AURORA | The fraction of purchases reflecting government fees — like Colorado’s 27-cent fee on retail deliveries and the state’s fee on new tires — will no longer be taxed by the City of Aurora, starting Nov. 1.

City Council members voted unanimously to end the practice of imposing the city’s 3.75% sales tax on government fees at its Monday meeting, in a move that is projected to leave $220,000 a year with taxpayers.

The proposal was sponsored by Councilmember Dustin Zvonek, who earlier this year convened a group to scrutinize “red tape” and unnecessary regulations imposed by the city on businesses and other organizations.

Zvonek’s proposal received the unanimous support of the council, which voted on it as part of a package with an ordinance to vacate part of the public right-of-way on ​​Gun Club Road.

Staffers wrote in the council’s agenda packet that the exemption is unique because it will apply to any fees enacted in the future as well, such as the state’s 10-cent fee on the bags given out by retail stores, which will take effect Jan. 1.

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