Colorado’s Competitive Edge Fades Under High Taxes and Regulation
By: Nash Herman | Complete Colorado
The non-partisan Tax Foundation just published its 2026 edition of the State Tax Competitiveness Index.
Colorado — already in the bottom half of states for tax competitiveness — continues to slide in the rankings, and the current political trajectory will only exacerbate the situation.
Colorado losing its edge
In last year’s index, Colorado placed 32nd in overall tax competitiveness, worse than all of the state’s immediate neighbors.
According to its subcategories, Colorado ranked 10th in corporate taxes, 18th in individual income taxes, 37th in sales taxes, 36th in property taxes, and 39th in unemployment insurance taxes.
This year, Colorado’s rank dropped to 33rd ...


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