The 2025 legislative session is already in full swing at Colorado’s State Capitol. In the 120-day session—which is set to adjourn on May 7—legislators will face challenges including a significant budget deficit, artificial intelligence regulations, environmental protections and reporting, revisions to labor laws, new tax policy proposals, and numerous other issues that will impact Coloradans across the state. 

Laws passed this year could impact Colorado CPAs and the organizations and individuals they serve for years to come, which is why the COCPA’s advocacy work is essential to continue to uplift, protect, and support the accounting profession here in Colorado.  We continue to be a voice for the profession and help you activate your voice in legislative and regulatory affairs. 

The COCPA’s legislative agenda has included the following areas of strategic focus – some that have been long-term initiatives and others that have risen more recently as emergent themes: 

• Sales & Use Tax Simplification
• Workforce Development
• Occupational Licensure
• Income Tax Administration Simplification
• Artificial Intelligence 
• Environmental Reporting Requirements

Proposed Colorado Legislation for CPAs to Watch in 2025

Already in the 2025 Legislative Session, bills are being introduced in the areas of our strategic monitoring.  

Sales & Use Tax Simplification

For the 2025 Legislative Session, the Advocacy team is closely monitoring two sales & use tax bills that could positively impact CPAs supporting businesses with tax compliance throughout the state. These bills are the result of ongoing efforts by the Sales and Use Tax Simplification Task Force, where COCPA has maintained a long-standing role. We extend our sincere thanks to volunteers Pam Feeley of Feeley Consulting, LLC and Lexie Torres of Moss Adams for their dedicated representation of COCPA on this crucial task force.

Already this session, SB 25-018: Online Search of Sales & Use Tax has been introduced, which would authorize and direct the department of revenue to allow searches of sales and use tax licenses by name and identification number.  SB25-018 passed its first hearing in the Senate Finance Committee on Tuesday, January 28 and was referred to the appropriations committee. 

Moving quickly through the legislative process is the second sales & use tax focused bill SB 25-046: Local Government Tax Audit Confidentiality Standards. Having passed in the Senate with no amendments and introduced in the House on February 3, 2025, this bill seeks to establish uniform confidentiality standards for safeguarding taxpayer information collected during sales and use tax audits. By doing so, it aims to protect businesses from overly burdensome and excessive investigations across multiple jurisdictions.

Workforce Development & Occupational Licensure

As a carryover from 2024, Workforce development continues to be a top priority in 2025.  We look forward to working with our elected officials in the Capitol to build Colorado’s skilled workforce and meet the ever-evolving needs of a highly skilled workforce as we continue to grow.  In addition, we are tracking other states that have proposed legislation for changes to CPA licensure requirements.  We remain focused on working with Colorado state regulators on preserving and protecting mobility as an essential part of the profession’s flexibility in attracting new CPAs to Colorado.  We also are beginning discussions with legislators and aligning with current legislative priorities to determine how changes in other states’ occupational licensure may shape future potential legislation in Colorado.

Artificial Intelligence

The continued regulation of artificial intelligence (AI) is top of mind for the advocacy team at COCPA. In 2024, Governor Polis signed SB24-205: Consumer Protections for Artificial Intelligence. This bill is the first large-scale AI regulation in the county, making Colorado a leading state in this emerging technology. While the bill is intended to protect consumers from discrimination in the use of AI systems, some members of the business community have expressed concerns about unintended consequences that may come with the legislation. 

In an effort to mitigate undesirable outcomes with SB24-205, the Governor has formed an Artificial Intelligence Impact Task Force to address these concerns. The task force is currently examining key issues and is expected to report their recommendations to the Governor’s office by February 1, 2025. As a result of this work, we can expect to see legislation this year to improve and update the law before it takes effect in February 2026. 

At first glance, this bill may not appear to affect CPAs directly. However, many accounting firms are actively developing and deploying AI technologies as part of their client services. Additionally, firms providing assurance on technology systems are positioning themselves as trusted advisors in promoting the responsible use of AI. The definitions, liability provisions, and any assurance on reporting requirements outlined in these regulations could either create new opportunities or present challenges for CPAs seeking to play a key role in the evolving AI landscape.

To stay informed about the bills monitored by the COCPA during the legislative session, visit the COCPA’s Bill Tracker on the COCPA advocacy page.  

Building Relationships at the Capitol and Getting Involved

With a new session also comes new leadership at the party and committee levels. As always, COCPA remains a bipartisan organization working with both sides of the aisle to advocate for accounting professionals. COCPA works closely with our lobbying team to develop relationships with legislative leaders who can influence policy that has the potential to impact the everyday experience of working in the accounting profession. Building relationships with legislative and regulatory leaders is essential to our advocacy work and allows the CPA voice to be heard loud and clear in important conversations at the Capitol. 

As we move into 2025 and begin to work with the 75^th General Assembly, COCPA is excited to continue its collaboration with its members across Colorado on issues that impact the profession. 

If you have a relationship with a legislator, please email the COCPA at info@cocpa.org so that we can add you to our Key Contacts Program to support the ongoing COCPA advocacy initiatives. 

If you have insight into proposed legislation or have a particular issue of importance to you, please let us know via our online “Which Issues Matter to You” form on the COCPA Advocacy Website.

Support the COCPA’s efforts to build productive legislative relationships and promote a collaborative advocacy landscape by donating to the CPA-Political Action Committee.