Sales/Use Tax and Business Licensing

Finance

Sales/Use Tax and Business Licensing

General Information

All businesses in the City of Castle Pines, including home-based businesses, are required to register with the City of Castle Pines and acquire a Business or Contractor License.  If applicable, businesses and contractors will also need to register to collect the City’s sales and use tax.

Business and Contractor Licenses are renewed on an annual basis. New businesses are required to submit an application prior to opening.

City Tax Rate

The City Sales and Use Tax rate is 2.75%. The total rate of 6.75% is broken down as follows:

State of Colorado: 2.90%
Scientific & Cultural Facilities District (SCFD): 0.10%
Douglas County: 1.00%
City of Castle Pines: 2.75%
Total: 6.75%

Sales Tax

A “transaction tax” that is imposed upon the sale, purchase, and lease of tangible personal property and/or taxable services by persons engaged in business in the City. The state of Colorado collects and administers all Sales Tax for the City of Castle Pines. Access state Sales Tax Licensing information from the Department of Revenue website.

Beginning January 1, 2020, the City will begin collecting sales tax directly as part of the City’s new Home Rule status voted on by residents in May 2019.

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Castle Valley houses in subdivision

Use Tax

Imposed on the use and consumption of all building and construction materials and supplies used on projects within Castle Pines.