City of Boulder and Boulder County sales/use taxes are collected on:
- building and right-of-way permits;
- utility taps and meters; and
- publications and photocopies.
Sales/Use tax on permits is based on the cost of the construction materials used for the project, which the city estimates as follows:
- building permits: 50 percent of the total project valuation; and
- right-of-way and grading permits: 30 percent of the total project valuation.
Don't Pay the Sales/Use Tax Twice!
Construction material is any material that becomes an integral and inseparable part of a completed structure or project. Appliances, including but not limited to, stoves, refrigerators, washers and dryers are not considered construction material. For a complete listing of qualifying and non-qualifying materials, contact the city's Tax and Licensing Division.
Construction materials purchased after a permit is issued are exempt from city and county sales/use taxes at vendors throughout Colorado (3-2-9 (c) BRC). Present the permit number and project address to vendors when requesting this exemption (3-2-7 (c) (2) BRC).
Planning & Development Services does not refund sales/use tax after the time of permit application. However, a licensed contractor may request an audit at the completion of their project if they believe they overpaid tax on the actual material value of the project. Contact the city's Tax and Licensing Division for further information.