Colorado voters weigh six-bracket graduated income tax to fund services

Colorado voters will decide on Initiative 195 to amend the state constitution and adopt a six-bracket graduated income tax that would raise rates on earnings above set thresholds (3.7% up to $25,000; 4.2% to $100,000; 4.4% to $500,000; 7.4% to $750,000; 7.9% to $1,000,000; 8.4% above $1,000,000), aiming to generate billions for education, healthcare and early childhood programs. Median households would see a small reduction to about 4.07% effective rate, while a $1.2 million earner could pay roughly $24,000 more annually. A competing measure, Initiative 232, would cap the rate at 4.4%; if both pass, the interaction may require court intervention. The ballot also features 12 other measures for November.