CO| Revised Bulletin B-2.10 explains the Colorado Division of Insurances position on how surplus lines brokers and independently procuring insureds must report and pay non?admitted insurance premium tax, clarifying that all filings and payments for policies effective on or after January 1, 2025 must be made through the Florida Surplus Lines Service Offices SLIP+ for States platform, that Colorado as the insureds home state taxes 100% of net premium (including fees, less return premium) at 3%, and that failure to timely file annual statements or remit tax triggers a statutory per?day penalty.
Key Point:
- All non?admitted tax filings and payments required under section 10-5-111, C.R.S., must be submitted via the Divisions designated secure web system, currently the Florida Surplus Lines SLIP+ for States platform, on a quarterly basis that rolls up into the annual statement period.
- For insureds whose home state is Colorado, premium tax is imposed at 3% on 100% of total net premium for the policy, regardless of where exposures are located, consistent with NRRA home?state rules and section 10-5-111.5, C.R.S.
- Surplus lines brokers who fail to file the annual statement or remit tax by April 1 are subject to a fine of 25 dollars per day of delinquency, with notice of the penalty and due date issued after the Division receives the premium payment.