Current Sales Tax Rates
On January 1, 2020, the City of Montrose began collecting the 0.58% Public Safety Sales Tax that was approved by voters in November 2019.
The sales and use tax rates for retail sales in the city are:
- 3.88% - City and MRD (3.58 City and .3 MRD)
- 1.75% - Montrose County
- 2.9% - State
- 8.53% - Total
The total sales tax rate for restaurants is 9.33% and 9.43% for hotel/lodging establishments.
Use the Colorado Tax Rate Lookup Tool to find rate information for any address in Colorado.
Online Licensing and Reporting System
The City of Montrose uses MUNIRevs, an online sales and use tax licensing and reporting system, to provide a secure, online tool for businesses to apply for sales tax licenses, file tax returns, and submit payments. Visit the MUNIRevs website to register and begin remitting. Be sure to review the instructions and MUNIRevs FAQs or contact MUNIRevs directly if additional assistance is needed. Unlimited phone and online support is available Monday through Friday from 9 a.m. to 5 p.m. by contacting MUNIRevs at email@example.com or 888-751-1911.
Background on City Tax Revenue
The City of Montrose derives more than 80% of its general fund revenues from city sales and use tax. The city does not collect any property taxes.
The sales tax collected by the City of Montrose funds essential operations such as law enforcement, streets, and parks. Leading up to the 0.58% Public Safety Sales Tax that was approved by Montrose voters on November 5, 2019, the city's portion of sales tax collected within the city limits had not changed since 1986 when city residents voted to increase the rate from 2% to 3%.
Since 1986 and prior to the Public Safety Sales Tax increase, there have been four city ballot measures to temporarily increase the local sales tax rate for outside organizations: Montrose County School District (1% in 1991 and .5% in 2002), Montrose Library District (1% in 1994), and Montrose Recreation District (MRD) (0.3% in 2014). The MRD measure will remain in effect until June 1, 2039, and is designated for "Recreation District facilities."
The Finance Department collects all city sales, use, and excise taxes. Montrose is a home-rule city and therefore collects its own sales tax under the policies and business regulations found in Title V of the Municipal Code.
State and county tax is remitted to the Colorado Department of Revenue.
Sales Tax Forms
Sales and Use Tax Revenue Reports
Sales and use tax returns for a given month are due on the 20th day of the following month. After all returns are posted, a revenue report is prepared and presented at the next regular meeting of the City Council.
Past and current sales and use tax reports can be viewed by using the links shown above. The "Year-to-Date" report reflects the most current tax revenue performance information and is updated monthly.
Register to receive an automated email notification or text message each time an updated report is posted with the Notify Me service.