C.R.S. § 39-26-718

(1) The following shall be exempt from taxation under the provisions of part 1 of this article 26: (a) All sales made to charitable organizations, in the conduct of their regular charitable functions and activities; (b) Intentionally left blank —Ed. (I) All sales by a charitable organization of tangible personal property, commodities, or services otherwise subject to tax under this article 26 if: (A) The net proceeds from sales by the charitable organizations of tangible personal property, commodities, or services otherwise subject to tax under this article 26 do not exceed forty-five thousand dollars during the preceding calendar year; and (B) The funds raised by the charitable organization through these sales are retained by the organization to be used in the course of the organization’s charitable service. (II) The exemption in this subsection (1)(b) shall not apply to sales made by a charitable organization on and after the date that the net proceeds from sales by the charitable organization of tangible personal property, commodities, or services otherwise subject to tax under this article 26 exceeds forty-five thousand dollars during the current calendar year. (c) On or after September 1, 2008, a sale by an association or organization of parents and teachers of public school students that is a charitable organization, if the association or organization uses the funds raised through the sale for the benefit of a public school or an organized public school activity or to pay the reasonable expenses of the association or organization. (2) The storage, use, or consumption of any item that is exempt from sales tax by operation of subsection (1)(b) or (1)(c) of this section is exempt from taxation under the provisions of part 2 of this article 26.