Colorado Increases State Retail Delivery Fee
As of July 1, 2026, the mandatory state fee for motor vehicle deliveries has risen to 31 cents.
Updated on Oct. 24, 2026 in Inflation
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Colorado has increased its retail delivery fee from 28 cents to 31 cents per order effective July 1, 2026. This state-mandated charge applies to most motor vehicle deliveries containing at least one taxable item.
Why it matters
The fee is used to generate funding for critical transportation infrastructure across Colorado, including improvements to roads, bridges, and public transit systems. It also supports initiatives aimed at reducing air pollution in the state.
The retail delivery fee is adjusted annually for inflation by the Colorado Department of Revenue. The current 31-cent rate marks a 3-cent increase over the previous 28-cent charge and remains in effect through June 30, 2027.
The players
Colorado Department of Revenue
This state agency is responsible for collecting taxes and fees as well as adjusting state-mandated rates for inflation.
The details
The fee is assessed on a per-order basis for deliveries made via motor vehicle, including those handled by the US Postal Service and third-party carriers. Retailers are permitted to pass this cost on to consumers provided the charge is explicitly labeled as a Retail Delivery Fee on receipts.
Timeline
July 2022: Colorado introduced the retail delivery fee at 27 cents.
July 1, 2026: The retail delivery fee increased to 31 cents.
June 30, 2027: The 31-cent fee period ends.
Macro View
The fee collection follows a funding mechanism established by Senate Bill 21-260, which set the framework for transportation project investments. This model reflects a broader shift toward user-based funding models to address the maintenance of aging public infrastructure.
Shoppers may notice the 31-cent charge added to their final checkout totals when purchasing taxable items online. Those who collect their own purchases are not subject to this fee, and deliveries consisting solely of tax-exempt items are also excluded.
The takeaway
The fee is specifically applied to deliveries containing taxable goods and is not a flat tax on all online transactions. Consumers should check their receipts to see if retailers are absorbing this state-mandated cost or passing it directly to the buyer.
Further reading
For more information on rising costs and state-level adjustments, see the Inflation section.
Source note: This article includes information reported by The Scottish Sun.
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