2016 CO 104CR

Out of Scope by [line number]:
  • (6) Business Personal Property Credit
  • (7) Refundable Renewable Energy Tax Credit (DR 1366)
  • Credits due to pass-through entities
  • All Part III credits other than:
    • (24) Child care contribution credit
    • (25) Long-term care credit
Useful documents:

Required Documentation: For many credits, documentation must be submitted to claim the credit.


  • If the client does not have the documentation with them, they will have to send it in. This can be done with a Form DR 1778 . Print it for the client to send in with the documentation.
  • But, if the client owes no CO tax (before credits or withholding), DO NOT CLAIM THE NON-REFUNDABLE CREDIT!
  • Also, only claim the amount of non-refundable credit that would reduce the CO tax (before credits or withholding) to $0.
    ⚠ CAUTION : The software does not check the Colorado tax amount or the limits for any of the credits on this form even though the total is limited when carried to the CO104 form! If these are exceeded, the Colorado e-filed return will be rejected and the taxpayer will be denied the credit!
104CR Part I

[1] Colorado Child Care Expenses Credit (FYI Income 33):

  • This part of the 104CR should fill in automatically based on the Federal Form 2441.
  • A percentage of the federal child care credit only for children under age 13 based on federal adjusted gross income (AGI):
$0 – $25,000 50% See Low-Income Child Care Expenses Credit below
$25,001 – $35,000 30% (N/A)
$35,001 – $60,000 10% (N/A)
  • Note that this deduction does not apply to federal credits for disabled persons over the age of 12.
  • Excess over the amount of Colorado state taxes owed is refundable to the taxpayer.
  • Cannot be carried forward to next year.

Low-Income Child Care Expenses Credit (DR0347 – suspended for tax year 2017)

  • If the federal tax is $0 and has income is $25,000 or less, and not filing MFS, the taxpayer may qualify for this refundable credit.
  • Form DR 0347 will be created by TaxSlayer, but only if the Federal Form 2441 has been completed. Always fill out this form, even if the credit is not used in the Federal return.

[2-4] Earned Income Tax Credit (new in 2015)

10% of Federal EITC.

104CR Part II

Credit for Tax Paid to Another State (FYI Income 17):

A credit for income earned in other states to which income taxes were required

  • Not applicable to nonresidents
  • A 104CR must be created for each state where taxes were paid.
  • Cannot be carried forward to next year.
  • A copy of the other state’s return must be scanned or sent in.
104CR Part III

Other Credits

Data Entry Note: On the 104CR, column (a) contains the credit generated from this year’s calculations plus any carryover from the previous year. Column (b) is the amount allowed this year. If (a) is greater than (b), the difference can be carried over to next year if so noted below. To add this form choose “CO CR Pg3”.

[24] Child care contribution credit (FYI Income 35):

  • Limited to a percentage of amount carried forward from previous years, depending on the year.
  • See the FYI for details.
  • May carry forward up to five years.

[25] Long-term care deduction (FYI Income 37):

  • Federal taxable income must be less than $50,000 ($100,000 joint with seperate policies). If greater, do not claim the credit.
  • 25% of the cost of each policy is deductible, up to a maximum of $150.
  • Thus, a joint policy is good up to $150, separate policies $300 ($150 each).
  • The numbers do not carry across from the Itemized Deduction Worksheet.
  • Cannot be carried forward to next year.
  • The columns on the 104CR worksheet are not Taxpayer/Spouse columns. The total goes in both columns.
  • A copy of the year-end statement showing the amount paid must be scanned or sent in