Voters in Colorado will decide on a ballot measure related to the state's income tax rates on Nov. 3, 2026.
Initiative 232
The measure — known as Initiative 232 — would cap individual and corporate income tax rates at 4.4% of a taxpayer's federal taxable income.
As of 2026, Colorado has a flat income tax rate — set at 4.4% — that applies to all taxpayers at the same rate, regardless of income. While the initiative would not lower rates, the Colorado Taxpayer's Bill of Rights (TABOR) would still require voter approval to raise them, even if the initiative is approved. Because Initiative 232 is an initiated state statute, the legislature could amend or repeal the 4.4% cap. However, doing so would not authorize an income tax rate increase, which would still require voter approval under TABOR.
The Colorado secretary of state's office certified Initiative 232 for the ballot on Aug. 20, 2026, announcing that its proponents submitted more than the required minimum 124,238 valid signatures after reviewing a 5% random sample and determining that the number of valid signatures was greater than 110% of the total number of signatures required.
Initiative 232 is supported by Advance Colorado, an organization that describes its mission as "[pushing] back on the progressive policies that have put our state on the wrong track."
Opposing Initiative 232, the organization Protect Colorado's Future gathered and submitted signatures for a separate measure — known as Initiative 195 — to establish a graduated income tax, which would require individuals and businesses to be taxed based on their income. Additionally, the initiative would remove TABOR's uniform tax rate requirement. Signatures for Initiative 195 were submitted on Aug. 3, 2026, and the secretary of state's office has until Sept. 2, 2026, to review them.
Speaking in support of Initiative 195, Kathy White, the executive director of the Colorado Fiscal Institute, said, "[working families] shouldn’t have to pick up the tab so the wealthiest get a $71,000-a-year gift from Congress — especially when TABOR has already tied our hands for decades.”
Since Initiative 232 and Initiative 195 conflict with one another — with the former prohibiting individual and corporate income tax rates above 4.4%, and the latter establishing rates above 4.4% for certain income brackets — if both measures qualify for the ballot and are approved, the conflicting provisions of whichever measure receives more votes would take effect. According to the Colorado Revised Statutes, "In the case of adoption of conflicting provisions, the one that receives the greatest number of affirmative votes prevails in all particulars as to which there is a conflict." Michael Fields, the executive director of Advance Colorado, said, "This is a clear counter to the far left’s attempt to hike taxes in Colorado, price people out of the state we love, and drive business out. We’ll always fight to protect TABOR and keep our taxes low," and said that, if both passed, the measure receiving more affirmative votes would govern.
Additionally, because Initiative 195 amends both the state constitution and state statutes, the provision removing the constitutional requirement for a uniform tax rate could still possibly take effect if both initiatives are approved by voters. This would mean that, while the 4.4% rate cap would be implemented, there would no longer be a constitutional requirement for a flat tax rate.
The last time voters decided on a statewide ballot measure related to income tax rates in Colorado was in 2018. On Nov. 6, 2018, voters considered Amendment 73, which would have established an income tax bracket system rather than a flat income tax rate, raised taxes for individuals earning more than $150,000 per year, raised the corporate income tax rate, and created the Quality Public Education Fund. Voters defeated Amendment 73, with 53.57% of the vote against it.
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