In response to taxpayer inquiries, this publication addresses how recent retroactive federal tax provisions interact with Colorado income taxation. In particular, Public Law 116-136, the Coronavirus Aid, Relief and Economic Security Act (CARES Act) enacted in March 2020, modified numerous parts of the Internal Revenue Code, including provisions for net operating loss deductions, business interest expense limitations, excess loss limitations for taxpayers other than corporations, and cost recovery for qualified improvement property.
