This article is pending legal or tax review and explains current BorrowHive product behavior.

Audience: owners,renters · Review status: legal or tax review pending · Effective: 2026-05-16 · Last reviewed: 2026-05-16

Colorado controlled rental pilot

This article explains BorrowHive product behavior. It is not legal or tax advice.

Colorado paid checkout is a controlled pilot candidate, not a broad Colorado launch. BorrowHive treats Colorado online paid rentals as a marketplace-facilitator workflow when BorrowHive lists tools, communicates booking acceptance, collects renter payment, and pays owner proceeds.

The pilot path is limited to ordinary short-term tool and equipment rentals where:

• the rental term is 36 months or less,
• the renter takes possession in an enabled state-administered Colorado jurisdiction,
• the item is a bare tool or equipment item rather than a vehicle, trailer, aircraft, boat, regulated item, operator-provided service, or service contract,
• the owner gives the required factual acquisition-tax-paid attestation,
• BorrowHive records the possession address and tax decision, and
• refundable deposits are authorized separately from rental revenue.

Self-collecting home-rule cities are excluded until BorrowHive records city-specific clearance. Centennial is blocked until Centennial confirms licensing, rental taxability, exemption, attestation, taxable-base, deposit, and filing treatment.

Because BorrowHive has headquarters in Centennial, Colorado, BorrowHive presumes the Colorado small-marketplace exception is unavailable for the current marketplace-facilitator entity unless tax counsel documents otherwise.