(1) (a) (I) Individuals having resided within this state for the entire taxable year who are sixty-five years of age or older during the taxable year shall be eligible for a grant to be determined with respect to the income taxes imposed by article 22 of this title to aid in the payment by such persons of heat or fuel expenses for residences occupied by such persons, subject to the additional qualification requirements of this section.
(II) For persons otherwise qualified who paid heat or fuel expenses indirectly as part of their rental payments, it shall be presumed that ten percent of the actual rent paid during the taxable year was for heat or fuel expenses. For rental payments to qualify under this subsection (1)(a)(II), they must have been paid as a part of a bona fide tenancy or lease agreement. Rental payments made to institutions or facilities commonly known as nursing homes shall not qualify, but rental payments for the use of a mobile home shall qualify if paid as a part of a bona fide tenancy or lease agreement.
(b) (I) Spouses are treated as jointly qualifying for the grant under paragraph (a) of this subsection (1) if either spouse meets the age requirement and they jointly meet all the limitations of subsection (3) of this section. In all cases, spouses must file one joint claim.
(II) A surviving spouse fifty-eight years of age or older shall be treated as qualifying for the grant under paragraph (a) of this subsection (1) if such surviving spouse meets all the limitations imposed by subsection (3) of this section.
(c) (I) The grant authorized by this section shall also be allowed to individuals having resided in this state for the entire taxable year and coming within the limitations imposed by subsection (3) of this section who, regardless of age, have a disability during the entire taxable year to a degree sufficient to qualify for the payment to them of full benefits from any bona fide public or private plan or source based solely upon such disability.
(II) An individual has a disability for the purposes of subparagraph (I) of this paragraph (c) if such individual is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or that has lasted for a continuous period of not less than twelve months.
Eligibility under more than one provision of this subsection (1) shall not operate toincrease the amount of any grant available to an individual or spouses under subsection (2) of this section.
The grant provided by this section shall apply to income tax years commencing on orafter January 1, 1987.
(2) The amount of the grant is:
(a) Repealed.
(I) and (II) (Deleted by amendment, L. 2014.) (III) Repealed.
(a.5) (I) Except as set forth in subsection (2.3) of this section, for grants claimed for years commencing on or after January 1, 2014, but before January 1, 2019, in the case of an individual whose income is less than or equal to twelve thousand seven hundred twenty dollars, one hundred ninety-two dollars reduced by three and two-tenths percent of the amount by which the individual's income exceeds six thousand six hundred thirty-nine dollars or seventy-three dollars, whichever amount is greater.
(II) This subsection (2)(a.5) is repealed, effective July 1, 2021.
(b) Repealed.
(I) and (II) (Deleted by amendment, L. 2014.) (III) Repealed.
(c) (I) Except as set forth in subsection (2.3) of this section, for grants claimed for years commencing on or after January 1, 2014, but before January 1, 2019, in the case of spouses whose income is less than or equal to seventeen thousand one hundred forty-six dollars, one hundred ninety-two dollars reduced by three and two-tenths percent of their income over ten thousand seven hundred thirty-one dollars or seventy-three dollars, whichever amount is greater.
(II) This subsection (2)(c) is repealed, effective July 1, 2021.
(d) For a grant claimed for the 2019 calendar year, either two hundred two dollars reduced by ten percent of the claimant's income over the phase-out amount or the flat grant amount, whichever amount is greater. For a grant claimed for years commencing on or after January 1, 2020, either the maximum grant amount allowed under this subsection (2)(d) for the prior year, adjusted for inflation and reduced by ten percent of the claimant's income over the phase-out amount, or the flat grant amount, whichever amount is greater.
(2.3) (I) For grants claimed for years commencing on or after January 1, 2015, but prior to January 1, 2019, the income thresholds used to determine the eligibility for and amount of a grant pursuant to subsection (2) of this section are equal to the income thresholds for the prior year adjusted for inflation.
(II) This subsection (2.3) is repealed, effective July 1, 2021.
(2.5) In 2000 and in every even-numbered year thereafter, the finance committees of the senate and the house of representatives shall examine the grant amounts and reduction percentages set forth in subsection (2) of this section, considering the level of federal poverty index and such other information as is available to the committees, and shall determine whether said amounts and percentages should be modified.
(3) Such grant is allowed to such persons as described in subsection (1) of this section who meet the following requirements:
Are not claimed as an exemption for purposes of Colorado income tax by any otherperson for the taxable year;
Have income from all sources for the taxable year of less than the maximum eligibleincome amount, which includes, but is not limited to, for this purpose, alimony, cash public assistance and relief, pension or annuity benefits, federal social security benefits, veterans' benefits, nontaxable interest, workers' compensation, and unemployment compensation benefits. For the purposes of this subsection (3)(b), the following are not considered income:
Outright gifts;
Medicaid payments specifically provided for the payment of medicare premiums;
(II.5) Payments from or income received by a special needs trust; and
(III) Those specific veterans' benefits that are service-connected disability compensation payments. For the purposes of this subparagraph (III), "service-connected disability compensation payments", as used in this paragraph (b), means those payments made for permanent disability, which disability shall be limited to loss of or loss of use of both lower extremities so as to preclude locomotion without the aid of braces, crutches, canes, or a wheelchair; loss of use of both hands; blindness in both eyes, including such blindness with only light perception; or loss of one lower extremity together with residuals or organic disease or injury that so affects the functions of balance or propulsion as to preclude locomotion without the use of a wheelchair.
(4) As used in this section:
"Flat grant amount" means an amount equal to seventy-seven dollars for the 2019 calendar year, and for each year thereafter the amount for the prior year adjusted for inflation.
"Inflation" means the annual percentage change in the United States department oflabor, bureau of labor statistics, consumer price index for Denver-Aurora-Lakewood for all items and all urban consumers, or its successor index.
"Maximum eligible income amount" has the same meaning as set forth in section 3931-101 (5)(c).
"Phase-out amount" has the same meaning as set forth in section 39-31-101 (5)(d).
Source: L. 87: Entire article added, p. 1455, § 30, effective June 22. L. 88: (1)(a)(II) amended, p. 1317, § 16, effective May 29. L. 90: (3)(b) amended, p. 574, § 74, effective July 1. L. 98: (2)(a), (2)(b), and (3)(b) amended and (2.5) added, p. 514, § 2, effective August 5. L. 2000: (3)(b) amended, p. 1111, § 2, effective May 26. L. 2007: (2) and IP(3)(b) amended and (4) added, p. 1389, § 2, effective August 3. L. 2014: (1)(b)(I), (1)(c), (1)(d), (2), IP(3)(b), and (3)(b)(II) amended and (2.3) and (3)(b)(II.5) added, (SB 14-014), ch. 249, p. 969, § 5, effective July 1. L. 2019: (1)(a)(II), IP(2), (2)(a.5), (2)(c), (2.3), IP(3), IP(3)(b), and (4) amended, IP(2)(a), (2)(a)(III), IP(2)(b), and (2)(b)(III) repealed, and (2)(d) added, (HB 19-1085), ch. 228, p. 2302, § 3, effective August 2.
Cross references: For the legislative declaration in SB 14-014, see section 1 of chapter 249, Session Laws of Colorado 2014.