Until recently not many Colorado Springs citizens believed that they will EVER be affected by a wildfire in the city. This year, we were all proven wrong by the Waldos Canyon Wildfire at the end of June. Citizens all over Colorado Springs for example know now how to create defensible spaces around their homes and lots of them do it!
Wildfire mitigatin can be costly and because you are helping to keep yourself and your neighbors safe, the Colorado Department of Revenue will give you a little tax deduction to help offset your expenses that you might incur in doing so.
For income tax years 2009 through 2013 individuals, estates and trusts may subtract from federal taxable income 50% of the costs incurred in performing wildfire mitigation measures that meet the following qualifications and limitations:
- The taxpayer must own the property upon which the wildfire mitigation measures are performed.
- The property upon which the wildfire mitigation measures are performed must be located in Colorado.
- The property upon which the wildfire mitigation measures are performed must be located in a wild land-urban interface area.
- The wildfire mitigation measures must be authorized by a community wildfire protection plan adopted by a local government within the interface area.
- The total amount of the subtraction cannot exceed $2,500 or the owner’s federal taxable income, whichever is less.