Concerns have been expressed that stores outside of the Reservation but located in Colorado are sometimes charging state taxes where goods purchased are delivered to tribal members or the Tribe on the Reservation.  This is particularly true of Home Depot in Durango, Colo. which has been constantly reminded of this obligation not to charge tribal members taxes for these deliveries. 

The law on this is clear. Tribal members are exempt from local and state taxes on goods delivered to them on the Reservation by Colorado businesses. This was recognized by the Colorado legislature in 2014 when HB-14-1080 was signed into law and codified at C.R.S. § 39-26-727.  

Under that statute, “all sales of tangible personal property or services to the Southern Ute Indian Tribe, Ute Mountain Ute Tribe, or an enrolled member of either tribe, are exempt from taxation … if the vendor is located … outside of a reservation but the property or service is delivered by the vendor and received by the Tribe or the tribal member on a reservation.” C.R.S. § 39-26-727.  Therefore, when tribal members, for example, go to Home Depot and purchase goods and services to be delivered to them on the Reservation, the tribal members are exempt from state and local sales and use taxes on those purchases. 

If you are experiencing problems with Home Depot or any other business taxing you with respect to deliveries on the Reservation, please call 970-563-0100 and ask for a member of Tribal Council, the Executive Office, or the Legal Department so it can be addressed.