Guides / Denver rules
Denver sales tax for restaurants
Restaurants in Denver collect a combined 9.15% sales tax: 2.9% Colorado, 5.15% City and County of Denver, 1% RTD and 0.1% Scientific and Cultural Facilities District. Denver collects its own tax, so you file the city portion with Denver and the rest with the Colorado Department of Revenue.
- Combined rate in Denver: 9.15%.
- Denver's city rate is 5.15% after voters approved measure 2Q.
- File the Denver portion with Denver, and state, RTD and SCFD with Colorado.
- Voluntary tips are generally not taxed. Mandatory service charges may be.
- Rates change. Check before each year.
What is the sales tax rate for Denver restaurants?
| Tax | Rate | Filed with |
|---|---|---|
| Colorado state | 2.9% | Colorado Department of Revenue |
| City and County of Denver | 5.15% | Denver Department of Finance |
| RTD (transit district) | 1.0% | Colorado Department of Revenue |
| SCFD (cultural district) | 0.1% | Colorado Department of Revenue |
| Total | 9.15% |
Denver's rate rose by 0.34 points after voters approved ballot measure 2Q in November 2024 to fund Denver Health. If your point of sale still uses an older rate, update it.
Why do I file with Denver separately?
Denver is a home-rule city that collects its own sales tax. You need a Denver sales tax license and file the city portion with Denver, separately from your Colorado sales tax license and return.
Example: a $28.50 order
| Line | Amount |
|---|---|
| Food | $28.50 |
| Sales tax at 9.15% | $2.61 |
| Food plus tax | $31.11 |
What is taxable?
- Food and drink sold to guests: taxable.
- Voluntary tips: generally not taxable when they go to employees.
- Mandatory service charges and automatic gratuities: may be taxable. Check Denver Tax Guide Topic 32 and the state's guidance.
- Delivery charges: rules depend on how they are billed. Check before you add one.
Restaurants outside Denver
Aurora, Lakewood, Boulder and other cities set their own rates, and many also collect their own tax. Look up the rate for your exact address, not just the county.
Questions owners ask
What is the sales tax at a Denver restaurant?
9.15% combined in 2026.
Did Denver's sales tax go up?
Yes. Measure 2Q raised the city rate from 4.81% to 5.15%.
Do I need two sales tax licenses in Denver?
Yes. One from Denver for the city tax, and one from Colorado for state, RTD and SCFD taxes.
Are tips taxed?
Voluntary tips paid to employees are generally not. Mandatory service charges may be.
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