Colorado Property Tax, Rent, and Heat Rebate (PTC)

Quick Facts

• Benefit type: Cash rebate funded by the State of Colorado to offset property taxes, rent, and heating costs for older adults and people with disabilities.
• Maximum benefit: $1,044 for property tax/rent plus $344 for heat, subject to annual inflation adjustments and occasional supplemental payments authorized by the legislature.
• Who qualifies: Colorado residents for the entire year who are 65 or older, surviving spouses age 58 or older, or individuals with disabilities receiving SSDI, SSI, or VA disability benefits, and who meet income limits.
• How to apply: Submit the PTC 104 form with supporting documentation by June 10. Claims can be filed online through Revenue Online, by paper, or with assistance from community partners.
• Why it matters: Rising housing and utility costs strain fixed incomes. The PTC rebate delivers cash directly, helping cover rent, property tax installments, heating bills, and other necessities.

Program Overview

Colorado’s Property Tax, Rent, and Heat Rebate program—commonly called PTC—dates back to 1979. Administered by the Department of Revenue in partnership with the Department of Human Services, it provides annual cash refunds to low-income seniors and disabled residents who paid property tax, rent, or heating expenses. The benefit is unique because it serves both homeowners and renters, recognizing that rent indirectly includes property taxes and heating costs.

The rebate arrives as a check or direct deposit after the application is processed, typically within 12 weeks. Eligible households may also receive special one-time boosts, such as the 2023 TABOR refund supplement. Claimants can file retroactively for up to four years, making it worthwhile to submit past claims if you recently learned about the program.

Eligibility Requirements

1. Residency: You must have lived in Colorado for the entire tax year. Temporary absences (e.g., hospital stays) are allowed if Colorado remained your permanent home.
2. Age or disability: Applicants must be at least 65, a surviving spouse age 58 or older, or a disabled individual who received disability benefits for the entire year. Qualifying disabilities include SSDI, SSI, VA disability pensions, or certified long-term medical disability.
3. Income limits: Household income must fall below set thresholds, adjusted annually for inflation. For 2024 claims (based on 2023 income), the limits are approximately $18,026 for single filers and $24,345 for married couples. Include taxable and nontaxable income such as Social Security, pensions, and investment earnings.
4. Property tax/rent/heat paid: You must have paid property taxes, rent, or heating expenses on your Colorado home. Renters include the portion of rent that covers property tax (15% is presumed) and actual heating costs if not included in rent.
5. Not claimed as dependent: You cannot be claimed as a dependent on someone else’s tax return.

Non-qualifying situations

• Individuals whose income exceeds the limit.
• Residents of publicly funded nursing homes or prisons where the state covers housing and heating.
• People who only lived in Colorado part of the year.

Benefit Calculation

The rebate combines two components: property tax/rent and heat.

• Property tax/rent component: Calculated using a sliding scale based on income and actual property tax or presumed rent-paid property tax. The maximum is $1,044. Lower incomes and higher housing costs yield larger rebates.
• Heat component: Offers up to $344, factoring in whether heating costs are included in rent and the amount you paid for utilities.

Colorado provides a benefit table (Form DR 0104PTC instructions) that shows rebate amounts based on income ranges and expenses. The formula essentially reimburses a percentage of costs above a threshold proportionate to income.

Example calculations

• Homeowner: Rosa, age 70, paid $1,800 in property tax and $900 in heating costs with $15,000 income. She receives the maximum $1,044 property tax rebate plus $344 heat rebate, totaling $1,388.
• Renter: Malik, age 62 with a disability, paid $12,000 annual rent including heat. Colorado assumes 15% ($1,800) represents property tax. He also paid $600 for supplemental electric heating. With $17,000 income, his combined rebate is about $1,200.

Application Process

1. Obtain Form DR 0104PTC: Available online or from senior centers, libraries, and Department of Human Services offices.
2. Gather documentation: Proof of income (SSA-1099, 1099-R), rent receipts or landlord statements, property tax bills, heating invoices, disability award letters, and proof of Colorado residency.
3. Complete the form: Provide personal information, residency details, income, and expense data. Indicate whether heat was included in rent.
4. Attach documentation: Include copies of tax bills, rent receipts, or landlord certification (DR 0104B). For heat, attach utility bills or statements from energy assistance agencies.
5. Submit by June 10: Mail to the Colorado Department of Revenue or file electronically through Revenue Online. Keep copies of everything submitted.
6. Track status: Expect processing times of 6–12 weeks. Call 303-238-SERV or check Revenue Online for updates.
7. Receive payment: Choose direct deposit or paper check. Funds can also be loaded onto a ReliaCard for some applicants.

Retroactive Claims

You can claim the rebate for the previous four years by filing separate applications for each year. Provide documentation for each year and ensure you meet the residency and income requirements for those years. Retroactive claims can yield substantial refunds if you were unaware of the program.

Required Documentation Checklist

• Proof of age or disability (driver’s license, birth certificate, SSA/VA award letter).
• Colorado residency proof (lease, utility bills).
• Property tax bill and proof of payment or rent receipts with landlord certification.
• Heating bills or landlord statements about utilities.
• Income documentation for all household members.
• Bank routing information for direct deposit.

Interaction with Other Programs

• LEAP (Low-income Energy Assistance Program): Receiving LEAP does not disqualify you. Report LEAP payments; they do not reduce the heat rebate.
• SNAP and Medicaid: PTC refunds are not counted as income for these programs if spent within 12 months.
• Section 8 housing: You may include only the portion of rent you pay. Housing subsidies are excluded.
• Property tax work-off programs: If you receive property tax reductions for volunteer service, subtract the reduction from the taxes reported.

Strategies to Maximize Benefits

1. Apply early: Submitting before April helps avoid processing backlogs and ensures timely payment.
2. Document rent and heat meticulously: Keep monthly rent receipts and utility bills. If utilities are included in rent, request a landlord statement specifying amounts attributed to heat.
3. Coordinate with assistance agencies: Senior centers, disability organizations, and tax clinics offer free help completing the PTC form and scanning documentation.
4. Plan for future years: Track income to ensure it remains below the threshold. Consider timing Roth conversions or asset sales to avoid exceeding limits.
5. Claim retroactively: If you missed previous years, file back claims to maximize refunds.

Common Errors to Avoid

• Incorrect income reporting: Forgetting to include nontaxable Social Security or using gross rather than net benefits can delay processing.
• Missing signatures: Both spouses must sign joint applications. Unsigned forms are rejected.
• Illegible documentation: Provide clear copies. Faded receipts may cause follow-up requests.
• Claiming heat rebate when heat included in rent without proof: Provide a landlord statement to substantiate any claimed heat costs.
• Late filing: Applications received after June 10 may be denied unless you demonstrate good cause.

Example Scenarios

• Disabled veteran renter: Sam, a 59-year-old veteran receiving VA disability, rents an apartment for $900/month and pays $70/month for electric heat. With $16,200 income, he receives about $1,150, which he uses for car repairs and medication.
• Widowed homeowner: Linda, age 78, owns a home in Pueblo. Property tax is $1,500, heating costs $1,200, income $14,500. She receives the maximum combined rebate ($1,388) and budgets it for dental work.
• Retroactive filer: After attending a senior center workshop, Mei files for the past four years and receives over $4,500 in cumulative rebates.

Frequently Asked Questions

• Can I receive the rebate if I do not file a Colorado income tax return? Yes. The PTC is separate; many claimants have no filing requirement.
• What if I move mid-year? You must reside in Colorado for the entire year. If you move out, you cannot claim for that year.
• Does the rebate affect subsidized housing rent calculations? Generally no, but report the refund if your housing authority requests asset information.
• How long does processing take? Expect 6–12 weeks. Peak season applications may take longer.
• Can I designate a representative? Yes. Fill out Form DR 0145 to authorize someone to discuss your claim with the Department.

Additional Resources

• Colorado PTC Rebate Program
• Form DR 0104PTC Instructions
• Revenue Online Filing Portal
• Colorado Gerontological Society PTC Assistance
• Low-Income Energy Assistance Program (LEAP)