Employees who meet the following criteria are subject to a mandatory Employee Occupational Privilege Tax (aka, head tax):
The Human Resources Management System (HRMS) will automatically withhold this tax from all employees whose position location is within the geographical limits of Aurora, Denver or Glendale, and who make the above amounts within a month.
Employees may be eligible for an head tax exemption from the city of Aurora, or the city and county of Denver if CU is a secondary employer.
To qualify, an employee must have a primary employer in the Aurora, or the city and county of Denver who already withholds this tax. Employees who meet this criteria may request a CU exemption from the OPT tax by filing an Occupational Privilege Tax Exemption Form .
The form must be renewed at the beginning of each calendar year to remain valid.
The employee must notify Employee Services of any change in taxation status that would require that CU begin withholding this tax after an exemption request has already been submitted.
A CU employee for whom CU is the primary employer may request his/her secondary employer to exempt him/her from the OPT by following this procedure:
Employees who change work locations and work in more than one location (Denver, Aurora and Glendale) during the tax year will be switched to the new tax as appropriate. It is, therefore, possible for an employee to have paid tax to more than one locality during the same year.
A small number of employees whose home departments are within the geographical limits of the city of Aurora or the city and county of Denver never actually perform any services within those geographical limits. An example of this would be a professor whose home department is at Anschutz Medical Campus, but whose permanent teaching assignment is on the Boulder campus. An exemption is available for these employees and is handled through the home department payroll liaison as part of the appointment process.
Employees should not fill out the Occupational Privilege Tax Exemption Form under these circumstances. Note: Payroll liaisons should confirm the appropriateness with Employee Services before initiating this special exemption.