Taxation and Regulatory Compliance

When Will Colorado State Taxes Be Accepted After E-Filing?

Learn when Colorado state tax returns are accepted after e-filing, typical processing times, potential delays, and how to check your submission status.

Filing state taxes electronically allows Colorado residents to submit their returns quickly and securely. After e-filing, many taxpayers wonder how long it will take for the state to accept their submission and begin processing refunds or payments.

Colorado’s E-Filing Steps

Colorado taxpayers can file electronically through the Revenue Online portal, third-party tax software, or a professional tax preparer. Each method securely transmits returns to the Colorado Department of Revenue.

Before submission, the system checks for common errors like incorrect Social Security numbers, mismatched income figures, or missing forms. If discrepancies arise, filers must correct them before proceeding. This validation process helps prevent delays.

Once submitted, the return enters the state’s processing system, where it is verified against employer-reported W-2s, 1099s, and other tax documents. If deductions or credits—such as the Colorado Child Care Tax Credit or the Earned Income Tax Credit—are claimed, additional verification may be required.

Expected Timeframes for the Process

After transmission, the Colorado Department of Revenue typically acknowledges receipt within 24 to 48 hours, confirming the return has entered the system.

Processing times vary based on filing volume and complexity. During off-peak months, returns may be processed in a few days. However, between late January and mid-April, processing can take two weeks or longer, especially for returns with multiple income sources, itemized deductions, or refundable credits.

Refunds are generally issued within 21 days of acceptance if no issues arise. Direct deposit refunds are faster, while paper checks take longer due to mailing times. Taxpayers who owe a balance should ensure payments are scheduled correctly to avoid penalties and interest.

Possible Delays or Rejections

Errors in banking details can cause delays. Incorrect account or routing numbers may result in misrouted direct deposits, requiring manual intervention. Taxpayers should double-check banking information before submitting their return.

Identity verification issues may also slow processing. Colorado’s fraud prevention measures can flag returns if personal details do not match state records. This is common for individuals who have changed their name due to marriage or divorce but have not updated their Social Security records. Additional documentation may be required in such cases.

Self-employed individuals or those with freelance income may experience delays if reported earnings do not match 1099 forms submitted by clients. The state cross-references tax documents, and discrepancies can trigger a review. Underreporting income, even unintentionally, can lead to further examination, processing delays, and potential penalties.

How to Verify Acceptance

Taxpayers can check their return status through the Revenue Online portal, which provides updates on acceptance, review status, or required actions.

Third-party tax software may also offer status updates, but these should be verified through Revenue Online, as some platforms only confirm transmission, not acceptance.

If a return does not show as accepted after several days, taxpayers should check their email, including spam or junk folders, for messages from the Colorado Department of Revenue requesting additional information.

Actions if There’s a Delay

If a return remains unaccepted or processing takes longer than expected, taxpayers should check Revenue Online for updates. System backlogs can cause minor delays, but more complex issues may require direct action.

Contacting the Colorado Department of Revenue can help determine the cause of a delay. Taxpayers can call customer service or submit an inquiry through Revenue Online. Having details such as the Social Security number, filing confirmation number, and submission date ready can speed up assistance. If identity verification is the issue, the department may request a government-issued ID or a prior-year tax return.

For refund delays, taxpayers should check for outstanding state debts, such as unpaid taxes or child support, which may offset refunds. The department typically notifies individuals when an offset occurs, but reviewing account balances through Revenue Online can provide clarity. If no debts exist and the delay persists, submitting a Refund Inquiry Form (DR 0137) may prompt a review.

Previous

What Does a CP05 Letter From the IRS Mean and What Should You Do?

Back to Taxation and Regulatory Compliance
Next

Can the IRS Check the Status of Your Tax Return?