NRA & 2A Foundation Challenge Colorado’s New Guns/Ammo Tax
Graphic courtesy Trueshotammo.com.
Through the passage of Proposition KK last November, Colorado adopted a 6.5% state excise tax on the sale of firearms, ammunition, and certain firearm parts to Colorado consumers. Colorado’s new 6.5% guns/ammo tax took effect on April 1, 2025. The tax, codified by Colo. Rev. Stat. § 39-37-101, is levied on vendors (see below), but the amount is passed through to law-abiding Coloradans every time they purchase guns and ammo. The law also imposes burdensome registration and recordkeeping requirements on vendors and subjects them to harsh punishments for violations.
Legal experts believe this new law is unconstitutional and otherwise legally improper. Thankfully, this new Colorado gun tax is being challenged in the courts. The Second Amendment Foundation (2AF) has filed a lawsuit, Langston v. Humphreys, in Denver County District Court challenging Colorado’s Proposition KK as an unconstitutional tax on the exercise of a fundamental constitutional right. Joining SAF in Langston v. Humphreys are the National Rifle Association (NRA), Firearms Policy Coalition (FPC), Magnum Shooting Center, the Colorado State Shooting Association (CSSA), and a private citizen, Zachary Langston. Named as defendants are Heidi Humphreys, executive director of the Colorado Dept. of Revenue and Michael J. Allen, district attorney of El Paso County.
The complaint argues that Colorado’s new excise tax on guns and ammo violates the Second Amendment. Plaintifs seek a declaratory judgment that the tax is unconstitutional and plaintiffs further seek a permanent injunction forbidding the enforcement of the gun excise tax.
“Colorado’s firearms excise tax is an overt assault on the Second Amendment rights of law-abiding Coloradans and a deliberate attempt to discourage the exercise of constitutionally protected freedoms”, said John Commerford, Executive Director of the NRA Institute for Legislative Action (NRA-ILA). “Recently, anti-gun activists in Colorado have been adopting California’s radical gun control agenda to systematically erode gun rights in the state. We are pleased to join with other Second Amendment advocates in this lawsuit to protect and defend the fundamental right to keep and bear arms.”
The SAF, NRA and other plaintiffs contend that the state’s 6.5% excise tax on the retail sale of any firearm, firearm precursor part, or ammunition is unconstitutional in that it impermissibly singles out the exercise of a constitutional right for special taxation. There have been several rulings by the U.S. Supreme Court prohibiting such a tax scheme.
“Colorado’s new law impermissibly taxes an enumerated constitutional right”, said SAF Executive Director Adam Kraut. “Not only does the tax lack any basis in our nation’s history and tradition of firearms regulation, it violates Supreme Court precedent that states the exercise of constitutional rights cannot be targeted through taxation.”
“You simply cannot tax the exercise of a constitutionally-protected fundamental right” noted SAF founder and Executive V.P. Alan M. Gottlieb, who added that: “Federal legislation to prevent this sort of tax was introduced just days ago in both the House and Senate.”
New Requirements for Firearms Manufacturers, Gun Dealers, and Ammo Sellers
For the new guns/ammo tax Colorado defines a “Vendor” as a person or company doing business as an ammunition seller, firearms dealer, or firearms manufacturer. All Colorado Vendors must register with the Colorado Department of Revenue by April 1, 2025, and file annual registration renewals. After registration, Vendors are required to file monthly excise tax returns based on taxable products and submit excise tax payments to the state.
