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CO

Manufacturing Sales and Use Tax Exemption

Colorado exemption from state sales and use tax on qualifying purchases of manufacturing machinery, machine tools, and parts.

About this program

Visit the program website for full details.

Eligibility

Manufacturers may claim the exemption for qualifying machinery, machine tools, and parts used directly and predominantly in manufacturing tangible personal property for sale or profit.

Requirements

  • Purchase eligible machinery, machine tools, or parts for qualifying manufacturing use
  • Complete required exemption documentation such as Colorado forms or vendor certificates
  • Retain records showing the purchase meets manufacturing exemption rules