Westminster Taxes

Starting January 1, 2023, stores must charge customers a 10-cent fee per recycled paper carryout bag or a single-use plastic carryout bag at the point of sale.

Stores include retail establishments which carryout bags are traditionally provided to customers, including but not limited to grocery store, supermarket, convenience store, liquor store, dry cleaner, pharmacy, drug store, clothing store, farmers market, roadside market or stand, festival, or other temporary vendor or event that includes temporary vendors.

Forty percent (40%) of the bag fee shall be retained by the store and sixty percent (60%) of the fee shall be remitted quarterly to the City. Fees can be remitted through eTaxWestminster, the same site as the Sales and Use Tax Return, starting April 1, 2023.

Beginning January 1, 2024, stores and retail food establishments are prohibited from providing single-use plastic carryout bags to customers.  Any single-use plastic bags remaining in inventory can be provided, through June 1, 2024.

On and after January 1, 2024, stores can provide a recycled paper carryout bag to customers with a 10-cent fee per bag.

State-Imposed Styrofoam Ban

On and after January 1, 2024, a retail food establishment shall not distribute an expanded polystyrene “Styrofoam” product for use as a container for ready-to-eat food. Remaining inventory may be distributed until the inventory is depleted.

Exclusions to Collecting a Carryout Bag Fee:

• "Small Stores," a store that operates solely in Colorado, has three or less locations in the state and is not part of a franchise, corporation, or partnership that has physical locations outside of Colorado.
• Bags used to contain or wrap frozen foods, meat, fish, flowers, potted plants, and other items where dampness may be a problem.
• Bags used to contain loose bulk items such as fruit, vegetables, nuts, chocolate, nails, screws, etc.
• Bags used to contain unwrapped prepared foods and bakery goods.
• Bags used to protect items from damage or contamination when placed in a reusable bag.
• Bags used to contain medical prescriptions issued by a pharmacist.

Please review the full text of HB21-1162 for all requirements and restrictions imposed under the act.

How to report and pay the carryout bag fee:

The carryout bag fee must be reported through eTaxWestminster. The City has identified some businesses that need a carryout bag fee account and has added the account for those identified. If your account does not have a bag fee account and one is needed, it can be added through eTaxWestminster. Below are instructions to add the account.

Adding the carryout bag fee account:

1. Log into eTaxWestminster at: https://etaxwestminster.gentaxcpc.net/tap/_/
2. Click "More..." from the heading choices
3. Click "Add a Bag Account" under the "Business License" section
4. Read the instructions and click "Next"
5. Click the box next to each location needing the carryout bag fee account and select the date the business first started collecting the bag fee and then click "Next"
6. Add a mailing address for the account, then click "Next"
7. Accept the terms and click "Submit" 
8. Return to the summary page and click on "Add Access to this Account," and then select the security level and click "Save"

The carryout bag fee account is now added, and returns can be filed.

Filing returns - Only quarterly filing is available 

1. Click on "View Returns" in the Disposable Bag Fee Account section
2. Click on "File Now"
3. Under the Location Returns section, click on "File Now" 
4. Click on "Yes" to file a zero return or "No" to enter the amounts for the return.
5. On line 1, enter the number of carryout bags distributed to customers for the quarter and then press Enter
6. Follow the remaining steps to pay and submit the return.