THE ISSUE
We know that many individuals can’t afford essential products like diapers, incontinence products and period products. By eliminating sales taxes on these products at the state and local levels, we can reduce the economic burden for thousands of Coloradans, bring these products within reach financially and sending a clear message that we believe all people have the right to live with dignity.
QUICK FACTS
Treating these items as essential items and eliminating sales tax on them could help millions of Coloradans including the more than 202,000 children under 3 years of age and their families, 1.6 million girls and women between the ages of 12 and 55 and some of the 850,000 who are 65 or older.
As we continue to struggle with ongoing impacts of the pandemic, family and individual budgets remain tight. This is especially true of people of color and essential workers who were most impacted by the pandemic. A little money saved can make a big difference to people at a time when they really need all the additional help they can get.
The average Colorado family spends about $80 a month per child under 3 for diapers. This is almost $1,000 per year. One in three of these families report needing more diapers, but not being able to afford them. Some parents report missing up to four days of work per month because they cannot provide enough diapers to their daycare provider.
The average Colorado family spends about $15 a month on period products per family member who needs them. This is almost $200 per year. Nationally, one in four teens has reported missing class because they do not have access to period products.
Older adults can spend anywhere from $160 to $240 a month on incontinence products. This is almost $2,500 per year. They are the Coloradans most likely to live on a fixed income, making it difficult to absorb added monthly expenses.
Programs that typically help individuals purchase other essential items – SNAP commonly called food stamps, WIC which provides food access for families with young children, CACFP, which supports food access for older adults – don’t allow purchases of these essential items. Medicaid does allow older adults who need incontinence products to use the program, but only with extensive documentation. Medicare does not pay for these products at all.
Colorado’s sales tax is unfair, taxing some essential items and allowing other luxury items to go untaxed. These types of taxes fall disproportionately on traditionally marginalized communities. In Colorado families that need diapers or tampons must pay state tax. But millionaires who need parts for their private jet don’t pay state tax.
Black and Latino families in Colorado are more likely to struggle financially making their access to essential period products and diapers even more difficult than many white families.
By their nature, sales taxes are regressive, taking a bigger proportion of the budgets of individuals and families already living on the margins financially. Colorado can help to eliminate this unnecessary cost on essential items for families who need it the most.