$LevyIO

Education Savings Bond Interest in Denver, CO 2026

Calculate your education savings bond interest tax savings in Denver, Colorado. With Colorado's 4.4% state tax rate, your combined savings are higher.

Colorado Tax Context

State Income Tax
4.4%
Local Income Tax
None
Property Tax Rate
0.51%
Tax Burden
Moderate

Denver imposes various local fees; Tabor amendment limits tax growth

$1,320
Est. Total Savings
No Limit
Max Deduction
Exclusion
Deduction Type
26.4%
Combined Tax Rate

Education Savings Bond Interest Savings Calculator for Denver

$
$

Federal Savings

$1,100

22% bracket

Colorado State

$220

4.4% rate

Local Tax

$0

0% rate

Total Savings

$1,320

26.4% combined

At a 26.4% combined tax rate in Denver, every $1,000 in deductions saves you $264 in taxes.

Savings by Tax Bracket in Denver

10%
$720
12%
$820
22%
$1,320
24%
$1,420
32%
$1,820
35%
$1,970
37%
$2,070

Includes 4.4% Colorado state tax on top of federal savings.

Eligibility Requirements

Taxpayers using Series EE/I bond interest for education

  • 1Series EE or I bonds
  • 2Purchased after 1989
  • 3Used for qualified education

Colorado residents should verify that this deduction is also recognized on their state tax return for additional savings of up to 4.4%.

Common Mistakes to Avoid

  • !Wrong type of bonds
  • !Exceeding income limits
  • !Forgetting to claim the deduction on your Colorado state return (missing 4.4% additional savings)

Required Tax Forms

Form 8815

File these forms with your federal tax return to claim the education savings bond interest. Colorado may require additional state-specific forms.

Calculate Your Full Tax Savings in Denver

Use our free tax calculators to optimize your entire tax return for Colorado.

Frequently Asked Questions

How much can I save with the Education Savings Bond Interest in Denver, CO?

In Denver, Colorado, the education savings bond interest can save you an estimated $1,320 per year. This includes $1,100 in federal tax savings and $220 in Colorado state tax savings. The national average savings is $500/year.

What is the Colorado state income tax rate for Denver residents?

Colorado has a 4.4% state income tax rate. Denver residents have no additional local income tax. Denver imposes various local fees; Tabor amendment limits tax growth

Who qualifies for the Education Savings Bond Interest in Denver?

Taxpayers using Series EE/I bond interest for education. The eligibility requirements are the same whether you live in Denver or elsewhere in the U.S., as this is a federal tax deduction. However, your savings amount will vary based on Colorado's 4.4% state tax rate.

What tax forms do I need to claim the Education Savings Bond Interest in Colorado?

To claim the education savings bond interest, you need to file Form 8815 with your federal return. Colorado residents should also check if the state allows this deduction on their state return, which could provide an additional 4.4% savings. Filing status affects your deduction limits and tax bracket.

Is the Education Savings Bond Interest better in Denver than in states without income tax?

Yes, Denver residents benefit more because Colorado's 4.4% state income tax means the deduction reduces both your federal AND state tax liability. In states with no income tax (like Texas, Florida, or Nevada), this deduction only reduces federal taxes. Your combined rate of 26.4% means more savings per dollar deducted.