USA Statutes : nevada
Title : Title 32 - REVENUE AND TAXATION
Chapter : CHAPTER 360B - SALES AND USE TAX ADMINISTRATION
This chapter shall be known as the
Simplified Sales and Use Tax Administration Act.
(Added to NRS by 2001, 1711 ; A 2005, 1772 )
The
Legislature hereby finds and declares that:
1. A simplified sales and use tax system will reduce, and over
time eliminate, the burden and cost for all vendors to collect this
state’s sales and use tax.
2. This state should enter into an agreement with one or more
states to simplify and modernize sales and use tax administration to
reduce substantially the burden of tax compliance for all sellers and for
all types of commerce.
3. This state should participate in multistate discussions to
review and, if necessary, amend the terms of the agreement to simplify
and modernize sales and use tax administration to reduce substantially
the burden of tax compliance for all sellers and for all types of
commerce.
(Added to NRS by 2001, 1711 )
As used in this chapter, unless the
context otherwise requires, the words and terms defined in NRS 360B.040
to 360B.100 , inclusive, have the meanings ascribed to
them in those sections.
(Added to NRS by 2001, 1711 ; A 2003, 2358 ; 2005, 1778 )
“Agreement” means the
Streamlined Sales and Use Tax Agreement.
(Added to NRS by 2001, 1711 )
“Certified
automated system” means software certified jointly by the states that are
signatories to the Agreement to calculate the tax imposed by each
jurisdiction on a transaction, determine the amount of tax to remit to
the appropriate state and maintain a record of the transaction.
(Added to NRS by 2001, 1711 )
“Certified
service provider” means an agent certified jointly by the states that are
signatories to the Agreement to perform all of a seller’s sales tax
functions.
(Added to NRS by 2001, 1711 )
“Purchaser” means a person to
whom a sale of tangible personal property is made.
(Added to NRS by 2003, 2352 ; A 2005, 1778 )
“Registered seller”
means a seller registered pursuant to NRS 360B.200 .
(Added to NRS by 2003, 2352 ; A 2005, 1778 )
“Retail sale” means any sale,
lease or rental for any purpose other than for resale, sublease or
subrent.
(Added to NRS by 2003, 2352 ; A 2005, 1778 )
“Sales tax” means the tax
levied by section 19 of chapter 397, Statutes of Nevada 1955, at page
766, and any similar tax authorized by or pursuant to a specific statute
or special legislative act of this state or the laws of another state
that is a member of the Agreement.
(Added to NRS by 2001, 1712 ; A 2003, 2358 ; 2005, 1778 )
“Seller” means any person making
sales, leases or rentals of tangible personal property.
(Added to NRS by 2001, 1712 ; A 2003, 2359 ; 2005, 1778 )
“State” means any state of the
United States and the District of Columbia.
(Added to NRS by 2001, 1712 )
“Tangible
personal property” means personal property which may be seen, weighed,
measured, felt or touched, or which is in any other manner perceptible to
the senses.
(Added to NRS by 2003, 2352 ; A 2005, 1778 )
“Use tax” means the tax levied by
section 34 of chapter 397, Statutes of Nevada 1955, at page 769, as
amended by section 3 of chapter 513, Statutes of Nevada 1985, at page
1562, and any similar tax authorized by or pursuant to a specific statute
or special legislative act of this state or the laws of another state
that is a member of the Agreement.
(Added to NRS by 2001, 1712 ; A 2003, 2359 ; 2005, 1778 )
The Nevada Tax
Commission shall:
1. Except as otherwise provided in NRS 360B.120 , enter into the Agreement.
2. Act jointly with other states that are members of the Agreement
to establish standards for:
(a) Certification of a certified service provider;
(b) A certified automated system;
(c) Performance of multistate sellers; and
(d) An address-based system for determining the applicable sales
and use taxes.
3. Take all other actions reasonably required to implement the
provisions of this chapter and the provisions of the Agreement,
including, without limitation, the:
(a) Adoption of regulations to carry out the provisions of this
chapter and the provisions of the Agreement; and
(b) Procurement, jointly with other member states, of goods and
services.
4. Represent, or have its designee represent, the State of Nevada
before the other states that are signatories to the Agreement.
5. Designate not more than four delegates, who may be members of
the Commission, to represent the State of Nevada for the purposes of
reviewing or amending the Agreement.
(Added to NRS by 2001, 1712 ; A 2003, 2359 ; 2005, 1778 )
STREAMLINED SALES AND USE TAX AGREEMENT
Membership in Agreement
1. The Nevada Tax Commission shall not enter into the Agreement
unless the Agreement:
(a) Sets restrictions to limit over time the number of state rates.
(b) Establishes uniform standards for:
(1) The sourcing of transactions to taxing jurisdictions;
(2) The administration of exempt sales; and
(3) Sales and use tax returns and remittances.
(c) Provides a central, electronic registration system that allows
a seller to register to collect and remit sales and use taxes for all
signatory states.
(d) Provides that registration with the central, electronic
registration system and the collection of sales and use taxes in the
signatory states will not be used as a factor in determining whether the
seller has nexus with a state for any tax.
(e) Provides for reduction of the burdens of complying with local
sales and use taxes through the following:
(1) Restricting variances between the state and local tax
bases;
(2) Requiring states to administer any sales and use taxes
levied by local jurisdictions within the state so that sellers collecting
and remitting the taxes will not have to register or file returns with,
remit funds to or be subject to independent audits from local taxing
jurisdictions;
(3) Restricting the frequency of changes in the local sales
and use tax rates and setting effective dates for the application of
local jurisdictional boundary changes to local sales and use taxes; and
(4) Providing notice of changes in local sales and use tax
rates and of changes in the boundaries of local taxing jurisdictions.
(f) Outlines any monetary allowances that are to be provided by the
states to sellers or certified service providers and allows for a joint
public and private sector study of the compliance cost on sellers and
certified service providers to collect sales and use taxes for state and
local governments under various levels of complexity to be completed by
July 1, 2002.
(g) Requires each state to certify compliance with the terms of the
Agreement before joining and to maintain compliance, under the laws of
the member state, with all provisions of the Agreement while a member.
(h) Requires each state to adopt a uniform policy for certified
service providers that protects the privacy of consumers and maintains
the confidentiality of tax information.
(i) Provides for the appointment of an advisory council of private
sector representatives and an advisory council of nonmember state
representatives to consult within the administration of the Agreement.
2. The Agreement must require each member state to abide by the
requirements set forth in subsection 1.
(Added to NRS by 2001, 1712 )
[Effective on the date this state becomes a member of the Streamlined
Sales and Use Tax Agreement.]
1. The Agreement authorized by this chapter binds and inures only
to the benefit of this state and the other member states. No person,
other than a member state, is an intended beneficiary of the Agreement.
Any benefit to a person other than a state is established by the law of
this state and the other member states and not by the terms of the
Agreement.
2. No person has any cause of action or defense under the
Agreement or by virtue of this state’s approval of the Agreement. No
person may challenge, in any action brought under any provision of law,
any action or inaction by any department, agency or other instrumentality
of this state, or any political subdivision of this state, on the ground
that the action or inaction is inconsistent with the Agreement.
3. No law of this state, or the application thereof, may be
declared invalid as to any person or circumstance on the ground that the
provision or application is inconsistent with the Agreement.
(Added to NRS by 2001, 1714 , effective on the date this state becomes
a member of the Streamlined Sales and Use Tax Agreement)
The Agreement
authorized by this chapter is an accord among individual cooperating
sovereigns in furtherance of their governmental functions. The Agreement
provides a mechanism among the member states to establish and maintain a
cooperative, simplified system for the application and administration of
sales and use taxes under the laws of each member state.
(Added to NRS by 2001, 1714 )
No provision of the
Agreement authorized by this chapter invalidates, in whole or part, or
amends any provision of the laws of this state. Adoption of the Agreement
by this state does not amend or modify any law of this state.
Implementation of any condition of the Agreement in this state, whether
adopted before, at or after membership of this state in the Agreement,
must be by the action of this state.
(Added to NRS by 2001, 1714 )
Implementation of Agreement
1. The Department shall, in cooperation with any other states that
are members of the Agreement, establish and maintain a central,
electronic registration system that allows a seller to register to
collect and remit the sales and use taxes imposed in this State and in
the other states that are members of the Agreement.
2. A seller who registers pursuant to this section agrees to
collect and remit sales and use taxes in accordance with the provisions
of this chapter, the regulations of the Department and the applicable law
of each state that is a member of the Agreement, including any state that
becomes a member of the Agreement after the registration of the seller
pursuant to this section. The cancellation or revocation of the
registration of a seller pursuant to this section, the withdrawal of a
state from the Agreement or the revocation of the Agreement does not
relieve a seller from liability pursuant to this subsection to remit any
taxes previously or subsequently collected on behalf of a state.
3. When registering pursuant to this section, a seller may:
(a) Elect to use a certified service provider as its agent to
perform all the functions of the seller relating to sales and use taxes,
other than the obligation of the seller to remit the taxes on its own
purchases;
(b) Elect to use a certified automated system to calculate the
amount of sales or use taxes due on its sales transactions;
(c) Under such conditions as the Department deems appropriate in
accordance with the Agreement, elect to use its own proprietary automated
system to calculate the amount of sales or use taxes due on its sales
transactions; or
(d) Elect to use any other method authorized by the Department for
performing the functions of the seller relating to sales and use taxes.
4. A seller who registers pursuant to this section agrees to
submit its sales and use tax returns, and to remit any sales and use
taxes due, to the Department at such times and in such a manner and
format as the Department prescribes by regulation. Those regulations must:
(a) Require from each seller who registers pursuant to this section:
(1) Only one tax return for each taxing period for all the
sales and use taxes collected on behalf of this State and each local
government in this State; and
(2) Only one remittance of taxes for each tax return, except
that the Department may require additional remittances of taxes if:
(I) The seller collects more than $30,000 in sales and
use taxes on behalf of this State and the local governments in this State
during the preceding calendar year;
(II) The amount of the additional remittance is
determined by a method of calculation instead of by the actual amount
collected; and
(III) The seller is not required to file any tax
returns in addition to those otherwise required in accordance with this
subsection.
(b) Allow any seller who registers pursuant to this section and
makes an election pursuant to paragraph (a), (b) or (c) of subsection 3
to submit tax returns in a simplified format that does not include any
more data fields than are permitted in accordance with the Agreement.
(c) Allow any seller who registers pursuant to this section, does
not maintain a place of business in this State and has not made an
election pursuant to paragraph (a), (b) or (c) of subsection 3, to file
tax returns at a frequency that does not exceed once per year unless the
seller accumulates more than $1,000 in the collection of sales and use
taxes on behalf of this State and the local governments in this State.
(d) Provide an alternative method for a seller who registers
pursuant to this section to make tax payments the same day as the seller
intends if an electronic transfer of money fails.
(e) Require any data that accompanies the remittance of a tax
payment by or on behalf of a seller who registers pursuant to this
section to be formatted using uniform codes for the type of tax and
payment in accordance with the Agreement.
5. The registration of a seller and the collection and remission
of sales and use taxes pursuant to this section may not be considered as
a factor in determining whether a seller has a nexus with this State for
the purposes of determining his liability to pay any tax imposed by this
State.
(Added to NRS by 2003, 2352 ; A 2005, 1773 , 1778 )
1. A certified service provider is:
(a) The agent of each seller with whom the certified service
provider has contracted for the collection and remittance of sales and
use taxes; and
(b) Liable for sales and use taxes due each member state on all
sales transactions it processes for a seller unless the seller
misrepresents the type of items it sells or commits fraud.
2. A seller that contracts with a certified service provider is:
(a) Liable to this state for sales or use taxes due on transactions
processed by the certified service provider if the seller misrepresents
the type of items it sells or commits fraud;
(b) Subject to audit on the transactions processed by the certified
service provider if there is probable cause to believe that the seller
has committed fraud or made a material misrepresentation; and
(c) Subject to audit for transactions not processed by the
certified service provider.
3. The member states acting jointly may perform a system check of
the seller and review the seller’s procedures to determine if the
certified service provider’s system is functioning properly and the
extent to which the seller’s transactions are being processed by the
certified service provider.
(Added to NRS by 2001, 1713 ; A 2003, 2395 ; 2005, 1777 )
1. A person that provides a certified automated system is:
(a) Responsible for the proper functioning of that system; and
(b) Liable to this state for underpayments of tax attributable to
errors in the functioning of the certified automated system.
2. A seller that uses a certified automated system remains
responsible and is liable to this state for reporting and remitting tax.
3. A seller that has a proprietary system for determining the
amount of tax due on transactions and has signed an agreement
establishing a performance standard for that system is liable for the
failure of the system to meet the performance standard.
(Added to NRS by 2001, 1713 ; A 2003, 2395 ; 2005, 1777 )
1. The Department shall post on a website or other Internet site
that is operated or administered by or on behalf of the Department:
(a) The rates of sales and use taxes for this state and for each
local government in this state that imposes such taxes. The Department
shall identify this state and each local government using the Federal
Information Processing Standards developed by the National Institute of
Standards and Technology.
(b) Any change in those rates.
(c) Any amendments to the statutory provisions and administrative
regulations of this state governing the registration of sellers and the
collection of sales and use taxes.
(d) Any change in the boundaries of local governments in this state
that impose sales and use taxes.
(e) The list maintained pursuant to NRS 360B.240 .
(f) Any other information the Department deems appropriate.
2. The Department shall make a reasonable effort to provide
sellers with as much advance notice as possible of any changes or
amendments required to be posted pursuant to subsection 1 and of any
other changes in the information posted pursuant to subsection 1. Except
as otherwise provided in NRS 360B.250 , the failure of the Department to provide
such notice and the failure of a seller to receive such notice does not
affect the obligation of the seller to collect and remit any applicable
sales and use taxes.
(Added to NRS by 2003, 2353 ; A 2005, 1778 )
1. The Department shall maintain a list that denotes for each
five-digit and nine-digit zip code in this state the combined rates of
sales taxes and the combined rates of use taxes imposed in the area of
that zip code, and the applicable taxing jurisdictions. If the combined
rate of all the sales taxes or use taxes respectively imposed within the
area of a zip code is not the same for the entire area of the zip code,
the Department shall denote in the list the lowest combined tax rates for
the entire zip code.
2. If a street address does not have a nine-digit zip code or if a
registered seller is unable to determine the nine-digit zip code of a
purchaser after exercising due diligence to determine that information,
that seller may, except as otherwise provided in subsection 3, apply the
rate denoted for the five-digit zip code in the list maintained pursuant
to this section. For the purposes of this subsection, there is a
rebuttable presumption that a registered seller has exercised due
diligence if the seller has attempted to determine the nine-digit zip
code of a purchaser by using software approved by the Department which
makes that determination from the street address and five-digit zip code
of the purchaser.
3. The list maintained pursuant to this section does not apply to
and must not be used for any transaction regarding which a purchased
product is received by the purchaser at the business location of the
seller.
(Added to NRS by 2003, 2353 ; A 2005, 1778 )
The Department shall waive any liability of a registered
seller and a certified service provider acting on behalf of a registered
seller who, as a result of his reasonable reliance on the information
posted pursuant to NRS 360B.230 or
his compliance with subsection 2 of NRS 360B.240 , collects the incorrect amount of any sales
or use tax imposed in this state, for:
1. The amount of the sales or use tax which the registered seller
and certified service provider fail to collect as a result of that
reliance; and
2. Any penalties and interest on that amount.
(Added to NRS by 2003, 2354 ; A 2005, 1778 )
If a shipment
of tangible personal property which is sold to a purchaser includes both
taxable and exempt property, the seller of the property:
1. Shall allocate any delivery charges the seller imposes by using
a percentage based on:
(a) The total sales price of the taxable property compared to the
total sales price of all the property in the shipment; or
(b) The total weight of the taxable property compared to the total
weight of all the property in the shipment;
2. Shall apply the applicable tax to the percentage of the
delivery charges allocated to the taxable property; and
3. Shall not apply the tax to the percentage of the delivery
charges allocated to the exempt property.
(Added to NRS by 2005, 1772 )
1. A purchaser may purchase tangible personal property without
paying to the seller at the time of purchase the sales and use taxes that
are due thereon if:
(a) The seller does not maintain a place of business in this state;
and
(b) The purchaser has obtained a direct pay permit pursuant to the
provisions of this section.
2. A purchaser who wishes to obtain a direct pay permit must file
with the Department an application for such a permit that:
(a) Is on a form prescribed by the Department; and
(b) Sets forth such information as is required by the Department.
3. The application must be signed by:
(a) The owner if he is a natural person;
(b) A member or partner if the seller is an association or
partnership; or
(c) An executive officer or some other person specifically
authorized to sign the application if the seller is a corporation.
Written evidence of the signer’s authority must be attached to the
application.
4. Any purchaser who obtains a direct pay permit pursuant to this
section shall:
(a) Determine the amount of sales and use taxes that are due and
payable to this state or a local government of this state upon the
purchase of tangible personal property from such a seller; and
(b) Report and pay those taxes to the appropriate authority.
5. If a purchaser who has obtained a direct pay permit purchases
tangible personal property that will be available for use digitally or
electronically in more than one jurisdiction, he may, to determine the
amount of tax that is due to this state or to a local government of this
state, use any reasonable, consistent and uniform method to apportion the
use of the property among the various jurisdictions in which it will be
used that is supported by the purchaser’s business records as they exist
at the time of the consummation of the sale.
(Added to NRS by 2003, 2356 ; A 2005, 1778 )
1. A purchaser who:
(a) Has not obtained a direct pay permit pursuant to NRS 360B.260
;
(b) Purchases tangible personal property that is subject to sales
and use taxes; and
(c) Has knowledge at the time of purchase that the purchased
property will be available for use digitally or electronically in more
than one jurisdiction,
Ê shall give written notice of that fact to the seller at the time of
purchase. The notice must be given in a form required by the Department.
2. Notwithstanding the provisions of NRS 360B.350 to 360B.375 , inclusive:
(a) Upon receipt of such a notice by a seller who does not maintain
a place of business in this state, the seller is relieved of any
liability to collect, pay or remit any use tax that is due and the
purchaser thereafter assumes the liability to pay that tax directly to
the appropriate authority.
(b) To determine the tax due to this state or to a local government
of this state:
(1) A purchaser who delivers a notice pursuant to subsection
1 to a seller who does not maintain a place of business in this state; and
(2) A seller who maintains a place of business in this state
and receives a notice pursuant to subsection 1,
Ê may use any reasonable, consistent and uniform method to apportion the
use of the property among the various jurisdictions in which it will be
used that is supported by the business records of the purchaser or seller
as they exist at the time of the consummation of the sale.
3. Any notice given pursuant to subsection 1 applies to all future
sales of property made by the seller to the purchaser, except for the
sale of property that is specifically apportioned pursuant to subsection
2 or to property that will not be used in multiple jurisdictions, until
the purchaser delivers a written notice of revocation to the seller.
(Added to NRS by 2003, 2357 ; A 2005, 1778 )
1. A purchaser of direct mail must provide to the seller at the
time of the purchase:
(a) If the seller does not maintain a place of business in this
State:
(1) A form for direct mail approved by the Department;
(2) An informational statement of the jurisdictions to which
the direct mail will be delivered to recipients; or
(3) Documentation of the direct pay permit of the purchaser
issued pursuant to NRS 360B.260 ; or
(b) If the seller maintains a place of business in this State, an
informational statement of the jurisdictions to which the direct mail
will be delivered to recipients.
Ê If a purchaser of direct mail provides documentation of a direct pay
permit to a seller in accordance with subparagraph (3) of paragraph (a),
the seller shall not require the purchaser to comply with any other
provision of that paragraph.
2. Notwithstanding the provisions of NRS 360B.350 to 360B.375 , inclusive:
(a) Upon the receipt pursuant to subsection 1 of:
(1) A form for direct mail by a seller who does not maintain
a place of business in this State:
(I) The seller is relieved of any liability for the
collection, payment or remission of any sales or use taxes applicable to
the purchase of direct mail by that purchaser from that seller; and
(II) The purchaser is liable for any sales or use
taxes applicable to the purchase of direct mail by that purchaser from
that seller.
Ê Any form for direct mail provided to a seller pursuant to this
subparagraph applies to all future sales of direct mail made by that
seller to that purchaser until the purchaser delivers a written notice of
revocation to the seller.
(2) An informational statement by any seller, the seller
shall collect, pay or remit any applicable sales and use taxes in
accordance with the information contained in that statement. In the
absence of bad faith, the seller is relieved of any liability to collect,
pay or remit any sales and use taxes other than in accordance with that
information received.
(b) If a purchaser of direct mail does not comply with subsection
1, the seller shall determine the location of the sale pursuant to
subsection 5 of NRS 360B.360 and
collect, pay or remit any applicable sales and use taxes. This paragraph
does not limit the liability of the purchaser for the payment of any of
those taxes.
3. As used in this section, “direct mail” means printed material
delivered or distributed by the United States Postal Service or another
delivery service to a mass audience or to addresses contained on a
mailing list provided by a purchaser or at the direction of a purchaser
when the cost of the items purchased is not billed directly to the
recipients. The term includes tangible personal property supplied
directly or indirectly by the purchaser to the seller of the direct mail
for inclusion in the package containing the printed material. The term
does not include multiple items of printed material delivered to a single
address.
(Added to NRS by 2003, 2357 ; A 2005, 1774 , 1778 )
Any invoice, billing or other
document given to a purchaser that indicates the sales price for which
tangible personal property is sold must state separately any amount
received by the seller for:
1. Any installation charges for the property;
2. The value of any exempt property given to the purchaser if the
exempt property and any taxable property are sold as a single product or
piece of merchandise;
3. Any credit for any trade-in which is specifically exempted from
the sales price of the property pursuant to chapter 372 or 374 of NRS;
4. Any interest, financing and carrying charges from credit
extended on the sale; and
5. Any taxes legally imposed directly on the consumer.
(Added to NRS by 2003, 2358 ; A 2005, 1775 , 1778 )
Notwithstanding the provisions of any other specific statute, if any
sales or use tax is due and payable on a Saturday, Sunday or legal
holiday, the tax may be paid on the next succeeding business day.
(Added to NRS by 2003, 2358 ; A 2005, 1778 )
Notwithstanding the provisions
of any other specific statute, if the boundary of a local government that
has imposed a sales or use tax is changed, any change in the rate of that
tax which results therefrom becomes effective on the first day of the
first calendar quarter that begins at least 60 days after the effective
date of the change in the boundary.
(Added to NRS by 2003, 2358 ; A 2005, 1778 )
1. The Department shall provide public notification to consumers
of tangible personal property, including purchasers who are exempt from
any sales and use taxes, of the practices of this State relating to the
collection, use and retention of any personally identifiable information.
2. The Department shall not retain any personally identifiable
information if the information is no longer required to ensure the
validity of exemptions from sales and use taxes.
3. When any personally identifiable information that identifies a
natural person is retained by or on behalf of the State, that person is
entitled to reasonable access to that information to correct any portion
thereof which has been inaccurately recorded.
4. If any person or other entity, except a state which is a member
of the Agreement or any person or other entity who is entitled to such
information pursuant to any state law or the Agreement, requests any
personally identifiable information maintained by the Department, the
Department shall make a reasonable and timely effort to notify any person
who is identified by the requested information.
5. The Attorney General shall enforce the provisions of this
section.
6. As used in this section, “personally identifiable information”
means information that identifies:
(a) A participant in the system created pursuant to the Agreement;
or
(b) A consumer of tangible personal property who deals with a
registered seller that elects to use a certified service provider as its
agent to perform all the functions of the seller relating to sales and
use taxes, other than the obligation of the seller to remit the taxes on
its own purchases.
(Added to NRS by 2005, 1771 )
1. No purchaser may commence or maintain any cause of action
against any seller for the refund of any sales or use tax erroneously or
illegally collected by the seller unless:
(a) The purchaser provides the seller with written notice of his
request for a refund, containing such information as is necessary to
determine the validity of the request; and
(b) The seller:
(1) Denies the request; or
(2) Fails to respond to the request within 60 days after
receiving the notice of the request provided in accordance with paragraph
(a).
2. For the purposes of any action brought by a purchaser against a
seller for the refund of any sales or use tax erroneously or illegally
collected by the seller, the seller is presumed to have a reasonable
business practice regarding the collection of sales and use taxes if the
seller:
(a) Uses a provider or system, including a proprietary system, that
is certified by this State; and
(b) Has remitted to this State all sales and use taxes collected on
behalf of this State and each local government in this State, less any
deductions, credits and collection allowances to which the seller is
entitled.
(Added to NRS by 2005, 1772 )
Sources of Transactions
As used in NRS 360B.350 to 360B.375 , inclusive:
1. “Receive” means taking possession of or making the first use of
tangible personal property, whichever occurs first. The term does not
include possession by a shipping company on behalf of a purchaser.
2. “Transportation equipment” means:
(a) Locomotives and railcars used for the carriage of persons or
property in interstate commerce.
(b) Trucks and truck-tractors having a manufacturer’s gross vehicle
weight rating of more than 10,000 pounds, and trailers, semitrailers and
passenger buses that are:
(1) Registered pursuant to the International Registration
Plan, as adopted by the Department of Motor Vehicles pursuant to NRS
706.826 ; or
(2) Operated under the authority of a carrier who is
authorized by the Federal Government to engage in the carriage of persons
or property in interstate commerce.
(c) Aircraft operated by an air carrier who is authorized by the
Federal Government or a foreign government to engage in the carriage of
persons or property in interstate or foreign commerce.
(d) Containers designed for use on and component parts attached or
secured to any of the items described in paragraph (a), (b) or (c).
(Added to NRS by 2003, 2354 ; A 2005, 1778 )
1. Except as otherwise provided in this section, for the purpose
of determining the liability of a seller for sales and use taxes, a
retail sale shall be deemed to take place at the location determined
pursuant to NRS 360B.350 to 360B.375
, inclusive.
2. NRS 360B.350 to 360B.375
, inclusive, do not:
(a) Affect any liability of a purchaser or lessee for a use tax.
(b) Apply to:
(1) The retail sale or transfer of watercraft, modular
homes, manufactured homes or mobile homes.
(2) The retail sale, other than the lease or rental, of
motor vehicles, trailers, semitrailers or aircraft that do not constitute
transportation equipment.
(Added to NRS by 2003, 2354 ; A 2005, 1778 )
Except as otherwise provided in NRS 360B.350 to 360B.375 , inclusive, the retail sale, excluding the
lease or rental, of tangible personal property shall be deemed to take
place:
1. If the property is received by the purchaser at a place of
business of the seller, at that place of business.
2. If the property is not received by the purchaser at a place of
business of the seller:
(a) At the location indicated to the seller pursuant to any
instructions provided for the delivery of the property to the purchaser
or to another recipient who is designated by the purchaser as his donee;
or
(b) If no such instructions are provided and if known by the
seller, at the location where the purchaser or another recipient who is
designated by the purchaser as his donee, receives the property.
3. If subsections 1 and 2 do not apply, at the address of the
purchaser indicated in the business records of the seller that are
maintained in the ordinary course of the seller’s business, unless the
use of that address would constitute bad faith.
4. If subsections 1, 2 and 3 do not apply, at the address of the
purchaser obtained during the consummation of the sale, including, if no
other address is available, the address of the purchaser’s instrument of
payment, unless the use of an address pursuant to this subsection would
constitute bad faith.
5. In all other circumstances, at the address from which the
property was shipped or, if it was delivered electronically, at the
address from which it was first available for transmission by the seller.
(Added to NRS by 2003, 2355 ; A 2005, 1778 )
1. Except as otherwise provided in this section and NRS 360B.355
, 360B.370 and 360B.375 , the lease or rental of tangible personal
property shall be deemed to take place as follows:
(a) If the lease or rental requires recurring periodic payments,
for the purposes of:
(1) The first periodic payment, the location of the lease or
rental shall be deemed to take place at the location determined pursuant
to NRS 360B.360 ; and
(2) Subsequent periodic payments, the location of the lease
or rental shall be deemed to take place at the primary location of the
property. For the purposes of this subparagraph, the primary location of
the property shall be deemed to be the address for the property provided
by the lessee and set forth in the records maintained by the lessor in
the ordinary course of business, regardless of the intermittent use of
the property at different locations, unless the use of that address would
constitute bad faith.
(b) If the lease or rental does not require recurring periodic
payments, the location of the lease or rental shall be deemed to take
place at the location determined pursuant to NRS 360B.360 .
2. This section does not apply to the determination of any
liability of a seller for any sales or use taxes imposed on:
(a) The acquisition of tangible personal property for lease; or
(b) Any accelerated or lump-sum payments made pursuant to a lease
or rental of tangible personal property.
(Added to NRS by 2003, 2355 ; A 2005, 1778 )
1. Except as otherwise provided in this section and NRS 360B.355
, the lease or rental of motor
vehicles, trailers, semitrailers or aircraft that do not constitute
transportation equipment shall be deemed to take place:
(a) If the lease or rental requires recurring periodic payments, at
the primary location of the property. For the purposes of this paragraph,
the primary location of the property shall be deemed to be the address
for the property provided by the lessee and set forth in the records
maintained by the lessor in the ordinary course of business, regardless
of the intermittent use of the property at different locations, unless
the use of that address would constitute bad faith.
(b) If the lease or rental does not require recurring periodic
payments, at the location determined pursuant to NRS 360B.360 .
2. This section does not apply to the determination of any
liability of a seller for any sales or use taxes imposed on:
(a) The acquisition of tangible personal property for lease; or
(b) Any accelerated or lump-sum payments made pursuant to a lease
or rental of tangible personal property.
(Added to NRS by 2003, 2356 ; A 2005, 1778 )
Except
as otherwise provided in NRS 360B.355 , the lease or rental of transportation
equipment shall be deemed to take place at the location determined
pursuant to NRS 360B.360 .
(Added to NRS by 2003, 2356 ; A 2005, 1778 )
Construction of Common Terms
In administering the provisions
of this chapter and chapters 372 and 374
of NRS, and in carrying out the provisions of
the Agreement, the Department shall construe the terms defined in NRS
360B.405 to 360B.495 , inclusive, unless the context otherwise
requires, in the manner prescribed by those sections.
(Added to NRS by 2005, 1768 )
“Alcoholic
beverages” means beverages that are suitable for human consumption and
contain one-half of 1 percent or more of alcohol by volume.
(Added to NRS by 2005, 1768 )
“Computer” means an electronic
device that accepts information in digital or similar form and
manipulates it for a result based on a sequence of instructions.
(Added to NRS by 2005, 1768 )
“Computer software”
means a set of coded instructions designed to cause a computer or
automatic data processing equipment to perform a task.
(Added to NRS by 2005, 1768 )
“Delivered
electronically” means delivered to a purchaser by means other than
tangible storage media.
(Added to NRS by 2005, 1768 )
“Delivery charges”
means charges by a seller of personal property for the preparation and
delivery of the property to a location designated by the purchaser of the
property, including, but not limited to, charges for transportation,
shipping, postage, handling, crating and packing.
(Added to NRS by 2005, 1768 )
“Dietary supplement”
means any product, other than tobacco, intended to supplement the diet
that:
1. Contains one or more of the following dietary ingredients:
(a) A vitamin;
(b) A mineral;
(c) An herb or other botanical;
(d) An amino acid;
(e) A dietary substance for use by humans to supplement the diet by
increasing the total dietary intake; or
(f) A concentrate, metabolite, constituent, extract or combination
of any ingredient described in paragraphs (a) to (e), inclusive;
2. Is intended for ingestion in the form of a tablet, capsule,
powder, softgel, gelcap or liquid or, if not intended for ingestion in
such a form, is not represented as conventional food and is not
represented for use as a sole item of a meal or of the diet; and
3. Is required to be labeled as a dietary supplement in accordance
with 21 C.F.R. § 101.36.
(Added to NRS by 2005, 1769 )
“Drug” means a compound, substance
or preparation, and any component of a compound, substance or
preparation, other than a food, a food ingredient, a dietary supplement
and an alcoholic beverage, which is:
1. Recognized in the official United States Pharmacopoeia,
official Homeopathic Pharmacopoeia of the United States, or official
National Formulary, or in any supplement thereto;
2. Intended for use in the diagnosis, cure, mitigation, treatment
or prevention of disease; or
3. Intended to affect the structure or any function of the body.
(Added to NRS by 2005, 1769 )
“Electronic” means relating
to technology having electrical, digital, magnetic, wireless, optical,
electromagnetic or similar capabilities.
(Added to NRS by 2005, 1769 )
“Food” and
“food ingredients” means substances, whether in liquid, concentrated,
solid, frozen, dried or dehydrated form, that are sold for ingestion or
chewing by humans and are consumed for their taste or nutritional value,
except alcoholic beverages and tobacco.
(Added to NRS by 2005, 1769 )
1. Except as otherwise provided in this section, “lease or rental”
means any transfer of possession or control of tangible personal property
for a fixed or indeterminate term for consideration. The term:
(a) Includes future options to purchase or extend;
(b) Excludes:
(1) A transfer of possession or control under a security
agreement or plan for deferred payment that requires the transfer of
title upon completion of the required payments;
(2) A transfer of possession or control under an agreement
that requires the transfer of title upon completion of required payments
and payment of an option price that does not exceed the greater of $100
or 1 percent of the total required payments; and
(3) The provision of tangible personal property together
with an operator for a fixed or indeterminate period, if the operator:
(I) Is necessary for the property to perform as
designed; and
(II) Does anything more than maintain, inspect and set
up the property; and
(c) Includes agreements covering motor vehicles and trailers
pursuant to which the amount of consideration may be increased or
decreased by reference to the amount realized upon sale or disposition of
the property, as described in 26 U.S.C. § 7701(h)(1).
2. The provisions of subsection 1:
(a) Apply regardless of whether a transaction is characterized as a
lease or rental under generally accepted accounting principles, the
Internal Revenue Code, the Uniform Commercial Code or any other
provisions of federal, state or local law.
(b) Do not apply to any leases or rentals existing on June 15, 2005.
(Added to NRS by 2005, 1769 )
“Medicine” includes any drug.
(Added to NRS by 2005, 1770 )
“Prepared food” means:
1. Food sold in a heated state or heated by the seller;
2. Two or more food ingredients mixed or combined by the seller
for sale as a single item, unless the food ingredients:
(a) Are only cut, repackaged or pasteurized by the seller; or
(b) Contain any raw eggs, fish, meat or poultry, or other such raw
animal foods, for which cooking by the consumer is recommended pursuant
to the Food Code published by the Food and Drug Administration of the
United States Department of Health and Human Services; and
3. Food sold with eating utensils provided by the seller,
including plates, knives, forks, spoons, glasses, cups, napkins or
straws. For the purposes of this paragraph, “plates” does not include any
containers or packaging used to transport food.
(Added to NRS by 2005, 1770 )
“Prescription” means an
order, formula or recipe issued in any form of oral, written, electronic
or other means of transmission by a duly licensed practitioner authorized
by the laws of this State.
(Added to NRS by 2005, 1770 )
“Prewritten computer software” means computer software, including any
prewritten upgrades, which is not designed and developed by the author or
other creator to the specifications of a specific purchaser, and computer
software designed and developed by the author or other creator to the
specifications of a specific purchaser when it is sold to a person other
than the specific purchaser. For the purposes of this section:
1. The combining of two or more prewritten computer software
programs or prewritten portions thereof does not cause the combination to
be other than prewritten computer software.
2. When a person modifies or enhances any computer software of
which the person is not the author or creator, that person shall be
deemed to be the author or creator only of those modifications or
enhancements.
3. Any prewritten computer software or a prewritten portion
thereof that is modified or enhanced to any degree remains prewritten
computer software if that modification or enhancement is designed and
developed to the specifications of a specific purchaser, except that the
modification or enhancement does not constitute prewritten computer
software if there is a reasonable, separately stated charge or an invoice
or other statement of the price given to the purchaser for that
modification or enhancement.
(Added to NRS by 2005, 1770 )
“Prosthetic device”
means a replacement, corrective or supportive device, including any
repair and replacement parts therefor, worn on or in the body:
1. To replace artificially a missing portion of the body;
2. To prevent or correct a physical deformity or malfunction; or
3. To support a weak or deformed portion of the body,
Ê except that the term does not include any corrective eyeglasses,
contact lenses or hearing aids.
(Added to NRS by 2005, 1770 )
1. “Sales price” means the total amount of consideration,
including cash, credit, property and services, for which personal
property is sold, leased or rented, valued in money, whether received in
money or otherwise, and without any deduction for:
(a) The seller’s cost of the property sold;
(b) The cost of materials used, labor or service cost, interest,
losses, all costs of transportation to the seller, all taxes imposed on
the seller, and any other expense of the seller;
(c) Any charges by the seller for any services necessary to
complete the sale, including any delivery charges and excluding any
installation charges which are stated separately pursuant to NRS 360B.290
; and
(d) Except as otherwise provided in subsection 2, any credit for
any trade-in.
2. The term does not include:
(a) Any installation charges which are stated separately pursuant
to NRS 360B.290 ;
(b) The value of any exempt personal property given to the
purchaser if:
(1) The exempt property and any taxable property are sold as
a single product or piece of merchandise; and
(2) The value of the exempt property is stated separately
pursuant to NRS 360B.290 ;
(c) Any credit for any trade-in which is:
(1) Specifically exempted from the sales price pursuant to
chapter 372 or 374 of NRS; and
(2) Stated separately pursuant to NRS 360B.290 ;
(d) Any discounts, including those in the form of cash, term or
coupons that are not reimbursed by a third party, which are allowed by a
seller and taken by the purchaser on a sale;
(e) Any interest, financing and carrying charges from credit
extended on the sale of personal property, if stated separately pursuant
to NRS 360B.290 ; and
(f) Any taxes legally imposed directly on the consumer which are
stated separately pursuant to NRS 360B.290 .
(Added to NRS by 2005, 1771 )
“Tangible
personal property” includes, but is not limited to, electricity, water,
gas, steam and prewritten computer software.
(Added to NRS by 2005, 1771 )
“Tobacco” means cigarettes,
cigars, chewing or pipe tobacco, or any other item that contains tobacco.
(Added to NRS by 2005, 1771 )
“Tonics and
vitamins” includes dietary supplements.
(Added to NRS by 2005, 1771 )
