USA Statutes : nevada
Title : Title 32 - REVENUE AND TAXATION
Chapter : CHAPTER 374 - LOCAL SCHOOL SUPPORT TAX
This chapter shall be known and may be
cited as the Local School Support Tax Law.
(Added to NRS by 1967, 895)
The Legislature,
having carefully considered the needs of the public school system and the
financial resources of the State of Nevada, and its several classes of
local governments, finds and declares:
1. That sound principles of government require an increased
contribution by the local district, which controls its schools, to their
support.
2. That such an increase equitably should not and economically
cannot be provided through an increase in the tax upon property.
3. That there is no other object of taxation, except retail sales,
which is so generally distributed among the several school districts in
proportion to their respective population and wealth as to be suitable
for the imposition of a tax in each school district for the support of
its local schools.
4. That it is therefore necessary to impose, in addition to the
sales and use taxes enacted in 1955 to provide revenue for the State of
Nevada, a separate tax upon the privilege of selling tangible personal
property at retail in each county to provide revenue for the school
district comprising such county.
5. That in order to avoid imposing unfair competitive hardships
upon merchants in the several counties, it is necessary that such
additional tax be imposed:
(a) At the same rate in each county; and
(b) Upon tangible personal property purchased outside this State
for use within the State.
6. That the imposition of such a tax at a mandatory and uniform
rate throughout the counties of the State makes such tax a fair
counterpart to the mandatory property tax levy which it is designed to
supplement.
7. That the tax collected upon property purchased outside the
State, which cannot for this reason be returned to its county of origin,
can best serve its purpose of supporting local schools if it is channeled
to the several school districts through the State Distributive School
Account in the State General Fund.
8. That the convenience of the public and of retail merchants will
best be served by imposing the local school support tax upon exactly the
same transactions, requiring the same reports and making such tax
parallel in all respects to the sales and use taxes.
(Added to NRS by 1967, 895; A 1987, 418)
As used in this chapter, unless the
context otherwise requires, the words and terms defined in NRS 374.025
to 374.108 , inclusive, have the meanings ascribed to them
in those sections.
(Added to NRS by 1967, 895; A 1983, 445, 2059, 2065; 2003, 2822
; 2005, 1775 )
“Business” includes any activity
engaged in by any person or caused to be engaged in by him with the
object of gain, benefit or advantage, either direct or indirect.
(Added to NRS by 1967, 895)
[Effective through December
31, 2006, and after that date if the proposal to amend the Sales and Use
Tax Act of 1955 submitted pursuant to chapter 484, Statutes of Nevada
2005, is approved by the voters at the 2006 general election.]
1. “Gross receipts” means the total amount of the sale or lease or
rental price, as the case may be, of the retail sales of retailers,
valued in money, whether received in money or otherwise, without any
deduction on account of any of the following:
(a) The cost of the property sold. However, in accordance with such
rules and regulations as the Department may prescribe, a deduction may be
taken if the retailer has purchased property for some other purpose than
resale, has reimbursed his vendor for tax which the vendor is required to
pay to the county or has paid the use tax with respect to the property,
and has resold the property before making any use of the property other
than retention, demonstration or display while holding it for sale in the
regular course of business. If such a deduction is taken by the retailer,
no refund or credit will be allowed to his vendor with respect to the
sale of the property.
(b) The cost of the materials used, labor or service cost, interest
paid, losses or any other expense.
(c) The cost of transportation of the property before its sale to
the purchaser.
2. The total amount of the sale or lease or rental price includes
all of the following:
(a) Any services that are a part of the sale.
(b) All receipts, cash, credits and property of any kind.
(c) Any amount for which credit is allowed by the seller to the
purchaser.
3. “Gross receipts” does not include any of the following:
(a) Cash discounts allowed and taken on sales.
(b) The sale price of property returned by customers when the full
sale price is refunded either in cash or credit, but this exclusion does
not apply in any instance when the customer, in order to obtain the
refund, is required to purchase other property at a price greater than
the amount charged for the property that is returned.
(c) The price received for labor or services used in installing or
applying the property sold.
(d) The amount of any tax, not including any manufacturers’ or
importers’ excise tax, imposed by the United States upon or with respect
to retail sales, whether imposed upon the retailer or the consumer.
(e) The amount of any allowance against the selling price given by
a retailer for the value of a used vehicle which is taken in trade on the
purchase of another vehicle.
4. For purposes of the sales tax, if the retailers establish to
the satisfaction of the Department that the sales tax has been added to
the total amount of the sale price and has not been absorbed by them, the
total amount of the sale price shall be deemed to be the amount received
exclusive of the tax imposed.
(Added to NRS by 1967, 895; A 1975, 1723; 1983, 2059; 1987, 903;
2001, 824 )
[Effective January 1, 2007,
if the proposal to amend the Sales and Use Tax Act of 1955 submitted
pursuant to chapter 484, Statutes of Nevada 2005, is not approved by the
voters at the 2006 general election.]
1. “Gross receipts” means the total amount of the sale or lease or
rental price, as the case may be, of the retail sales of retailers,
valued in money, whether received in money or otherwise, without any
deduction on account of any of the following:
(a) The cost of the property sold. However, in accordance with such
rules and regulations as the Department may prescribe, a deduction may be
taken if the retailer has purchased property for some other purpose than
resale, has reimbursed his vendor for tax which the vendor is required to
pay to the county or has paid the use tax with respect to the property,
and has resold the property before making any use of the property other
than retention, demonstration or display while holding it for sale in the
regular course of business. If such a deduction is taken by the retailer,
no refund or credit will be allowed to his vendor with respect to the
sale of the property.
(b) The cost of the materials used, labor or service cost, interest
paid, losses or any other expense.
(c) The cost of transportation of the property before its sale to
the purchaser.
2. The total amount of the sale or lease or rental price includes
all of the following:
(a) Any services that are a part of the sale.
(b) All receipts, cash, credits and property of any kind.
(c) Any amount for which credit is allowed by the seller to the
purchaser.
3. “Gross receipts” does not include any of the following:
(a) Cash discounts allowed and taken on sales.
(b) The sale price of property returned by customers when the full
sale price is refunded either in cash or credit, but this exclusion does
not apply in any instance when the customer, in order to obtain the
refund, is required to purchase other property at a price greater than
the amount charged for the property that is returned.
(c) The price received for labor or services used in installing or
applying the property sold.
(d) The amount of any tax, not including any manufacturers’ or
importers’ excise tax, imposed by the United States upon or with respect
to retail sales, whether imposed upon the retailer or the consumer.
4. For purposes of the sales tax, if the retailers establish to
the satisfaction of the Department that the sales tax has been added to
the total amount of the sale price and has not been absorbed by them, the
total amount of the sale price shall be deemed to be the amount received
exclusive of the tax imposed.
(Added to NRS by 1967, 895; A 1975, 1723; 1983, 2059; 1987, 903;
2001, 824 ; 2005, 2487 , effective January 1, 2007, if the
proposal to amend the Sales and Use Tax Act of 1955 submitted pursuant to
chapter 484, Statutes of Nevada 2005, is not approved by the voters at
the 2006 general election)
“In a county” means within the
exterior limits of a county, and includes all territory within such
limits owned by or ceded to the United States of America.
(Added to NRS by 1967, 896)
1. “Occasional sale,” includes:
(a) A sale of property not held or used by a seller in the course
of an activity for which he is required to hold a seller’s permit,
provided such sale is not one of a series of sales sufficient in number,
scope and character to constitute an activity requiring the holding of a
seller’s permit.
(b) Any transfer of all or substantially all the property held or
used by a person in the course of such an activity when after such
transfer the real or ultimate ownership of such property is substantially
similar to that which existed before such transfer.
2. For the purposes of this section, stockholders, bondholders,
partners or other persons holding an interest in a corporation or other
entity are regarded as having the “real or ultimate ownership” of the
property of such corporation or other entity.
(Added to NRS by 1967, 896; A 1983, 2060; 2003, 2372 )
“Person” includes any individual,
firm, copartnership, joint venture, association, social club, fraternal
organization, corporation, estate, trust, business trust, receiver,
trustee, syndicate, cooperative, assignee, or any other group or
combination acting as a unit, but does not include the United States,
this State or any agency thereof, or any city, county, district or other
political subdivision of this State.
(Added to NRS by 2005, 1775 )
1. “Purchase” means any transfer, exchange or barter, conditional
or otherwise, in any manner or by any means whatsoever, of tangible
personal property for a consideration.
2. A transaction whereby the possession of property is transferred
but the seller retains the title as security for the payment of the price
is a purchase.
3. A transfer for a consideration of tangible personal property
which has been produced, fabricated or printed to the special order of
the customer, or of any publication, is also a purchase.
(Added to NRS by 1967, 897)
1. “Retail sale” or “sale at retail” means a sale for any purpose
other than resale in the regular course of business of tangible personal
property.
2. The delivery in a county of tangible personal property by an
owner or former owner thereof or by a factor, or agent of such owner,
former owner or factor, if the delivery is to a consumer or person for
redelivery to a consumer, pursuant to a retail sale made by a retailer
not engaged in business in the county, is a retail sale in the county by
the person making the delivery. He shall include the retail selling price
of the property in his gross receipts.
(Added to NRS by 1967, 897; A 1999, 3204 ; 2003, 2372 )
1. “Retailer” includes:
(a) Every seller who makes any retail sale or sales of tangible
personal property, and every person engaged in the business of making
retail sales at auction of tangible personal property owned by the person
or others.
(b) Every person engaged in the business of making sales for
storage, use or other consumption or in the business of making sales at
auction of tangible personal property owned by the person or others for
storage, use or other consumption.
(c) Every person making more than two retail sales of tangible
personal property during any 12-month period, including sales made in the
capacity of assignee for the benefit of creditors, or receiver or trustee
in bankruptcy.
2. When the Department determines that it is necessary for the
efficient administration of this chapter to regard any salesmen,
representatives, peddlers or canvassers as the agents of the dealers,
distributors, supervisors or employers under whom they operate or from
whom they obtain the tangible personal property sold by them,
irrespective of whether they are making sales on their own behalf or on
behalf of such dealers, distributors, supervisors or employers, the
Department may so regard them and may regard the dealers, distributors,
supervisors or employers as retailers for purposes of this chapter.
3. A licensed optometrist or physician is a consumer of, and shall
not be considered, a retailer within the provisions of this chapter, with
respect to the ophthalmic materials used or furnished by him in the
performance of his professional services in the diagnosis, treatment or
correction of conditions of the human eye, including the adaptation of
lenses or frames for the aid thereof.
(Added to NRS by 1967, 897; A 1975, 1724; 1977, 959; 1983, 2060;
1987, 2193; 2003, 2373 )
1. “Sale” means and includes any transfer of title or possession,
exchange, barter, lease or rental, conditional or otherwise, in any
manner or by any means whatsoever, of tangible personal property for a
consideration.
2. “Transfer of possession,” “lease,” or “rental” includes only
transactions found by the Department to be in lieu of a transfer of
title, exchange or barter.
3. “Sale” includes:
(a) The producing, fabricating, processing, printing or imprinting
of tangible personal property for a consideration for consumers who
furnish, either directly or indirectly, the materials used in the
producing, fabricating, processing, printing or imprinting.
(b) The furnishing and distributing of tangible personal property
for a consideration by social clubs and fraternal organizations to their
members or others.
(c) The furnishing, preparing, or serving for a consideration of
food, meals or drinks.
(d) A transaction whereby the possession of property is transferred
but the seller retains the title as security for the payment of the price.
(e) A transfer for a consideration of the title or possession of
tangible personal property which has been produced, fabricated or printed
to the special order of the customer, or of any publication.
(Added to NRS by 1967, 898; A 1975, 1725)
[Effective through December 31,
2006, and after that date if the proposal to amend the Sales and Use Tax
Act of 1955 submitted pursuant to chapter 484, Statutes of Nevada 2005,
is approved by the voters at the 2006 general election.]
1. “Sales price” means the total amount for which tangible
property is sold, valued in money, whether paid in money or otherwise,
without any deduction on account of any of the following:
(a) The cost of the property sold.
(b) The cost of the materials used, labor or service cost, interest
charged, losses, or any other expenses.
(c) The cost of transportation of the property before its purchase.
2. The total amount for which property is sold includes all of the
following:
(a) Any services that are a part of the sale.
(b) Any amount for which credit is given to the purchaser by the
seller.
3. “Sales price” does not include any of the following:
(a) Cash discounts allowed and taken on sales.
(b) The amount charged for property returned by customers when the
entire amount charged therefor is refunded in cash or credit, except that
this exclusion does not apply in any instance when the customer, in order
to obtain the refund, is required to purchase other property at a price
greater than the amount charged for the property that is returned.
(c) The amount charged for labor or services rendered in installing
or applying the property sold.
(d) The amount of any tax, not including any manufacturers’ or
importers’ excise tax, imposed by the United States upon or with respect
to retail sales, whether imposed upon the retailer or the consumer.
(e) The amount of any tax imposed by the State of Nevada upon or
with respect to the storage, use or other consumption of tangible
personal property purchased from any retailer.
(f) The amount of any allowance against the selling price given by
a retailer for the value of a used vehicle or vessel which is taken in
trade on the purchase of another vehicle or vessel.
(Added to NRS by 1967, 898; A 1983, 2061; 1985, 1119, 1988; 2003,
2374 , 2822 ; 2005, 2491 )
[Effective January 1, 2007, if
the proposal to amend the Sales and Use Tax Act of 1955 submitted
pursuant to chapter 484, Statutes of Nevada 2005, is not approved by the
voters at the 2006 general election.]
1. “Sales price” means the total amount for which tangible
property is sold, valued in money, whether paid in money or otherwise,
without any deduction on account of any of the following:
(a) The cost of the property sold.
(b) The cost of the materials used, labor or service cost, interest
charged, losses, or any other expenses.
(c) The cost of transportation of the property before its purchase.
2. The total amount for which property is sold includes all of the
following:
(a) Any services that are a part of the sale.
(b) Any amount for which credit is given to the purchaser by the
seller.
3. “Sales price” does not include any of the following:
(a) Cash discounts allowed and taken on sales.
(b) The amount charged for property returned by customers when the
entire amount charged therefor is refunded in cash or credit, except that
this exclusion does not apply in any instance when the customer, in order
to obtain the refund, is required to purchase other property at a price
greater than the amount charged for the property that is returned.
(c) The amount charged for labor or services rendered in installing
or applying the property sold.
(d) The amount of any tax, not including any manufacturers’ or
importers’ excise tax, imposed by the United States upon or with respect
to retail sales, whether imposed upon the retailer or the consumer.
(e) The amount of any tax imposed by the State of Nevada upon or
with respect to the storage, use or other consumption of tangible
personal property purchased from any retailer.
(f) The amount of any allowance against the selling price given by
a retailer for the value of a used vessel which is taken in trade on the
purchase of another vessel.
(Added to NRS by 1967, 898; A 1983, 2061; 1985, 1119, 1988; 2003,
2374 , 2822 ; 2005, 2488 , 2491 , effective January 1, 2007, if the
proposal to amend the Sales and Use Tax Act of 1955 submitted pursuant to
chapter 484, Statutes of Nevada 2005, is not approved by the voters at
the 2006 general election)
“Seller” includes every person
engaged in the business of selling tangible personal property of a kind,
the gross receipts from the retail sale of which are required to be
included in the measure of the sales tax.
(Added to NRS by 1967, 899)
“Storage” includes any keeping or
retention in a county for any purpose except sale in the regular course
of business or subsequent use solely outside the county of tangible
personal property purchased from a retailer.
(Added to NRS by 1967, 899)
“Storage” and “use”
do not include the keeping, retaining or exercising any right or power
over tangible personal property for the purpose of subsequently
transporting it outside the State for use thereafter solely outside the
State, or for the purpose of being processed, fabricated or manufactured
into, attached to, or incorporated into, other tangible personal property
to be transported outside the State and thereafter used solely outside
the State.
(Added to NRS by 1967, 899; A 1999, 3204 ; 2003, 2374 ; 2005, 1776 )
“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 1967, 899)
“Taxpayer” means any person
liable for tax under this chapter.
(Added to NRS by 1967, 899)
[Effective through December 31,
2006, and after that date if the proposal to amend the Sales and Use Tax
Act of 1955 submitted pursuant to chapter 484, Statutes of Nevada 2005,
is approved by the voters at the 2006 general election.] “Vehicle” has
the meaning ascribed to it in NRS 482.135 .
(Added to NRS by 1983, 2058; R 2005, 2496 , effective January 1, 2007, if the
proposal to amend the Sales and Use Tax Act of 1955 submitted pursuant to
chapter 484, Statutes of Nevada 2005, is not approved by the voters at
the 2006 general election)
1. Except as otherwise provided in subsection 2, “vessel” means
every description of watercraft used or capable of being used as a means
of transportation on water.
2. The term does not include a canoe, float tube, kayak, rubber
raft or seaplane.
(Added to NRS by 2003, 2822 )
SALES TAX
For the privilege of selling
tangible personal property at retail a tax is hereby imposed upon all
retailers at the rate of 2.25 percent of the gross receipts of any
retailer from the sale of all tangible personal property sold at retail
in a county.
(Added to NRS by 1967, 899; A 1981, 290; 1991, 2293)
Repealed. (See chapter 400,
Statutes of Nevada 2003, at page 2409 .)
Repealed. (See chapter 400, Statutes of Nevada 2003, at page 2409 .)
The tax hereby imposed shall be
collected by the retailer from the consumer insofar as it can be done.
(Added to NRS by 1967, 899)
1. It is unlawful for any retailer to advertise or hold out or
state to the public or to any customer, directly or indirectly, that the
tax or any part thereof will be assumed or absorbed by the retailer or
that it will not be added to the selling price of the property sold or
that if added it or any part thereof will be refunded.
2. Any person violating any provision of this section is guilty of
a misdemeanor.
(Added to NRS by 1967, 899)
The
Department may by regulation provide that the amount collected by the
retailer from the consumer in reimbursement of the tax be displayed
separately from the list price, the price advertised in the premises, the
marked price, or other price on the sales check or other proof of sale.
(Added to NRS by 1967, 899; A 1975, 1725)
1. If the State or a political subdivision of the State enters
into a contract pursuant to chapter 332 or
333 of NRS on or after June 5, 2001, with a
person who:
(a) Sells tangible personal property in this State; and
(b) Has not obtained a permit pursuant to NRS 374.130 or registered pursuant to NRS 360B.200 ,
Ê the contract must include a provision requiring the person to obtain a
permit pursuant to NRS 374.130 or to
register pursuant to NRS 360B.200 ,
and to collect and pay the taxes imposed pursuant to this chapter on the
sale of tangible personal property in any county in this State. For the
purposes of a permit obtained pursuant to NRS 374.130 , the person shall be deemed to have a place of
business in each county in this State, but shall pay the fee for a single
permit.
2. The Department may require a state agency or local government
to submit such documentation as is necessary to ensure compliance with
this section.
(Added to NRS by 2001, 1715 ; A 2003, 2375 ; 2005, 1778 )
1. Every person desiring to engage in or conduct business as a
seller within a county shall register with the Department pursuant to NRS
360B.200 or file with the Department
an application for a permit for each place of business.
2. Every application for a permit must:
(a) Be made upon a form prescribed by the Department.
(b) Set forth the name under which the applicant transacts or
intends to transact business and the location of his place or places of
business.
(c) Set forth such other information as the Department may require.
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 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.
(Added to NRS by 1967, 899; A 1975, 1725; 1983, 2062; 2003, 2375
; 2005, 1778 )
At the time of making an application,
the applicant shall pay to the Department a permit fee of $5 for each
permit.
(Added to NRS by 1967, 900; A 1975, 1726; 2003, 20th Special
Session, 21 )
1. Except as otherwise provided in NRS 360.205 and 374.150 ,
after compliance with NRS 374.130 ,
374.135 and 374.515 by the applicant, the Department shall:
(a) Grant and issue to each applicant a separate permit for each
place of business within the county.
(b) Provide the applicant with a full, written explanation of the
liability of the applicant for the collection and payment of the taxes
imposed by this chapter. The explanation required by this paragraph:
(1) Must include the procedures for the collection and
payment of the taxes that are specifically applicable to the type of
business conducted by the applicant, including, without limitation and
when appropriate:
(I) An explanation of the circumstances under which a
service provided by the applicant is taxable;
(II) The procedures for administering exemptions; and
(III) The circumstances under which charges for
freight are taxable.
(2) Is in addition to, and not in lieu of, the instructions
and information required to be provided by NRS 360.2925 .
2. A permit is not assignable and is valid only for the person in
whose name it is issued and for the transaction of business at the place
designated therein. A permit must at all times be conspicuously displayed
at the place for which it is issued.
(Added to NRS by 1967, 900; A 1975, 1726; 1999, 2497 ; 2005, 296 )
A seller whose permit has been previously suspended or revoked shall pay
the Department a fee of $5 for the renewal or issuance of a permit.
(Added to NRS by 1967, 900; A 1975, 1726; 2003, 20th Special
Session, 21 )
1. Whenever any person fails to comply with any provision of this
chapter relating to the sales tax or any regulation of the Department
relating to the sales tax prescribed and adopted under this chapter, the
Department, after a hearing of which the person was given prior notice of
at least 10 days in writing specifying the time and place of the hearing
and requiring him to show cause why his permit or permits should not be
revoked, may revoke or suspend any one or more of the permits held by the
person.
2. The Department shall give to the person written notice of the
suspension or revocation of any of his permits.
3. The notices may be served personally or by mail in the manner
prescribed for service of notice of a deficiency determination.
4. The Department shall not issue a new permit after the
revocation of a permit unless it is satisfied that the former holder of
the permit will comply with the provisions of this chapter relating to
the sales tax and the regulations of the Department.
(Added to NRS by 1967, 900; A 1969, 226; 1975, 1726; 1981, 145;
1985, 285)
For
the purpose of the proper administration of this chapter and to prevent
evasion of the sales tax it shall be presumed that all gross receipts are
subject to the tax until the contrary is established. The burden of
proving that a sale of tangible personal property is not a sale at retail
is upon the person who makes the sale unless he takes from the purchaser
a certificate to the effect that the property is purchased for resale.
(Added to NRS by 1967, 900)
A resale certificate
relieves the seller from the burden of proof only if taken in good faith
from a person who:
1. Is engaged in the business of selling tangible personal
property;
2. Is registered pursuant to NRS 360B.200 or holds a permit issued pursuant to NRS
374.140 ; and
3. At the time of purchasing the tangible personal property,
intends to sell it in the regular course of business or is unable to
ascertain at the time of purchase whether the property will be sold or
will be used for some other purpose.
(Added to NRS by 1967, 900; A 2003, 2376 ; 2005, 1778 )
1. A resale certificate must:
(a) Be signed by and bear the name and address of the purchaser.
(b) Indicate that the purchaser is registered pursuant to NRS
360B.200 or contain the number of the
permit issued to the purchaser pursuant to NRS 374.140 .
(c) Indicate the general character of the tangible personal
property sold by the purchaser in the regular course of business.
2. The certificate must be substantially in such form as the
Department may prescribe.
(Added to NRS by 1967, 901; A 1975, 1726; 2003, 2376 ; 2005, 1778 )
If
a purchaser who gives a certificate makes any use of the property other
than retention, demonstration or display while holding it for sale in the
regular course of business, the use shall be taxable to the purchaser as
of the time the property is first used by him, and the sales price of the
property to him shall be deemed the measure of the tax. Only when there
is an unsatisfied use tax liability on this basis shall the seller be
liable for sales tax with respect to the sale of the property to the
purchaser. If the sole use of the property other than retention,
demonstration or display in the regular course of business is the rental
of the property while holding it for sale, the purchaser may elect to
include in his gross receipts the amount of the rental charged rather
than the sales price of the property to him.
(Added to NRS by 1967, 901)
Any
person who gives a resale certificate for property which he knows at the
time of purchase is not to be resold by him in the regular course of
business for the purpose of evading payment to the seller of the amount
of the tax applicable to the transaction is guilty of a misdemeanor.
(Added to NRS by 1967, 901)
If a
purchaser gives a certificate with respect to the purchase of fungible
goods and thereafter commingles these goods with other fungible goods not
so purchased but of such similarity that the identity of the constituent
goods in the commingled mass cannot be determined, sales from the mass of
commingled goods shall be deemed to be sales of the goods so purchased
until a quantity of commingled goods equal to the quantity of purchased
goods so commingled has been sold.
(Added to NRS by 1967, 901)
USE TAX
1. An excise tax is hereby imposed on the storage, use or other
consumption in a county of tangible personal property purchased from any
retailer for storage, use or other consumption in the county at the rate
of 2.25 percent of the sales price of the property.
2. The tax is imposed on all property which was acquired out of
State in a transaction which would have been a taxable sale if it had
occurred within this State.
(Added to NRS by 1967, 901; A 1981, 290; 1983, 445, 1951; 1991,
2293)
Every
person storing, using or otherwise consuming in a county tangible
personal property purchased from a retailer is liable for the tax. His
liability is not extinguished until the tax has been paid to the county,
except that a receipt from a retailer maintaining a place of business in
the county or from a retailer who is authorized by the Department under
such regulations as it may prescribe, to collect the tax and who is, for
the purposes of this chapter relating to the use tax, regarded as a
retailer maintaining a place of business in the county, given to the
purchaser pursuant to NRS 374.200 is
sufficient to relieve the purchaser from further liability for the tax to
which the receipt refers.
(Added to NRS by 1967, 901; A 1975, 1727)
Every
retailer maintaining a place of business in a county and making sales of
tangible personal property for storage, use or other consumption in the
county, not exempted under NRS 374.265
to 374.355 , inclusive, shall, at the
time of making the sales or, if the storage, use or other consumption of
the tangible personal property is not then taxable hereunder, at the time
the storage, use or other consumption becomes taxable, collect the tax
from the purchaser and give to the purchaser a receipt therefor in the
manner and form prescribed by the Department.
(Added to NRS by 1967, 902; A 1975, 1727; 1987, 408)
The tax required to be
collected by the retailer constitutes a debt owed by the retailer to the
county.
(Added to NRS by 1967, 902)
It is unlawful for any retailer to advertise or hold
out or state to the public or to any customer, directly or indirectly,
that the tax or any part thereof will be assumed or absorbed by the
retailer or that it will not be added to the selling price of the
property sold or that if added it or any part thereof will be refunded.
(Added to NRS by 1967, 902)
The tax
required to be collected by the retailer from the purchaser shall be
displayed separately from the list price, the price advertised in the
premises, the marked price, or other price on the sales check or other
proof of sales.
(Added to NRS by 1967, 902)
Any person violating NRS 374.200
, 374.210 or 374.215
is guilty of a misdemeanor.
(Added to NRS by 1967, 902)
Every retailer selling
tangible personal property for storage, use or other consumption in a
county shall register with the Department and give:
1. The name and address of all agents operating in the county.
2. The location of all distribution or sales houses or offices or
other places of business in the county.
3. Such other information as the Department may require.
(Added to NRS by 1967, 902; A 1975, 1727)
For the purpose of the proper administration of this chapter and to
prevent evasion of the use tax and the duty to collect the use tax, it
shall be presumed that tangible personal property sold by any person for
delivery in a county is sold for storage, use or other consumption in the
county until the contrary is established. The burden of proving the
contrary is upon the person who makes the sale unless he takes from the
purchaser a certificate to the effect that the property is purchased for
resale.
(Added to NRS by 1967, 902)
A resale certificate
relieves the person selling the property from the burden of proof only if
taken in good faith from a person who:
1. Is engaged in the business of selling tangible personal
property;
2. Is registered pursuant to NRS 360B.200 or holds a permit issued pursuant to NRS
374.140 ; and
3. At the time of purchasing the tangible personal property,
intends to sell it in the regular course of business or is unable to
ascertain at the time of purchase whether the property will be sold or
will be used for some other purpose.
(Added to NRS by 1967, 902; A 2003, 2376 ; 2005, 1778 )
1. A resale certificate must:
(a) Be signed and bear the name and address of the purchaser.
(b) Indicate that the purchaser is registered pursuant to NRS
360B.200 or contain the number of the
permit issued to the purchaser pursuant to NRS 374.140 .
(c) Indicate the general character of the tangible personal
property sold by the purchaser in the regular course of business.
2. The certificate must be substantially in such form as the
Department may prescribe.
(Added to NRS by 1967, 902; A 1975, 1727; 2003, 2376 ; 2005, 1778 )
If a purchaser who gives a certificate
makes any storage or use of the property other than retention,
demonstration or display while holding it for sale in the regular course
of business, the storage or use is taxable as of the time the property is
first so stored or used. If the sole use of the property, other than
retention, demonstration or display in the regular course of business, is
the rental of the property while holding it for sale, the purchaser may
elect to pay the tax on the use measured by the amount of the rental
charged rather than the sales price of the property to him.
(Added to NRS by 1967, 903)
If a
purchaser gives a certificate with respect to the purchase of fungible
goods and thereafter commingles these goods with other fungible goods not
so purchased but of such similarity that the identity of the constituent
goods in the commingled mass cannot be determined, sales from the mass of
commingled goods shall be deemed to be sales of the goods so purchased
until a quantity of commingled goods equal to the quantity of purchased
goods so commingled has been sold.
(Added to NRS by 1967, 903)
It
shall be further presumed that tangible personal property shipped or
brought to a county by the purchaser after July 1, 1967, was purchased
from a retailer on or after July 1, 1967, for storage, use or other
consumption in the county.
(Added to NRS by 1967, 903)
1. Except as otherwise provided in NRS 374.263 , on and after July 1, 1967, it is further
presumed that tangible personal property delivered outside this State to
a purchaser known by the retailer to be a resident of the county was
purchased from a retailer for storage, use or other consumption in the
county and stored, used or otherwise consumed in the county.
2. This presumption may be controverted by:
(a) A statement in writing, signed by the purchaser or his
authorized representative, and retained by the vendor, that the property
was purchased for use at a designated point or points outside this State.
(b) Other evidence satisfactory to the Department that the property
was not purchased for storage, use or other consumption in this State.
(Added to NRS by 1967, 903; A 1975, 1727; 1999, 944 )
1. It is presumed that tangible personal property delivered
outside this State to a purchaser was not purchased from a retailer for
storage, use or other consumption in this State if the property:
(a) Was first used in interstate or foreign commerce outside this
State; and
(b) Is used continuously in interstate or foreign commerce, but not
exclusively in this State, for at least 12 months after the date that the
property was first used pursuant to paragraph (a).
2. As used in this section:
(a) “Interstate or foreign commerce” means the transportation of
passengers or property between:
(1) A point in one state and a point in:
(I) Another state;
(II) A possession or territory of the United States; or
(III) A foreign country; or
(2) Points in the same state when such transportation
consists of one or more segments of transportation that immediately
follow movement of the property into the state from a point beyond its
borders or immediately precede movement of the property from within the
state to a point outside its borders.
(b) “State” includes the District of Columbia.
(Added to NRS by 1999, 944 )
EXEMPTIONS
“Exempted from the taxes imposed by this chapter,” as used in
NRS 374.265 to 374.355 , inclusive, means exempted from the
computation of the amount of taxes imposed.
(Added to NRS by 1967, 903; A 1987, 408; 2001, 825 , 1538 ; 2003, 3496 ; 2005, 678 , 2489 ; 2005, 22nd Special Session, 87 )
There are
exempted from the taxes imposed by this chapter the gross receipts from
the sale of, and the storage, use or other consumption in a county of,
tangible personal property the gross receipts from the sale of which, or
the storage, use or other consumption of which, this State is prohibited
from taxing under the Constitution or laws of the United States or under
the Constitution of this State.
(Added to NRS by 1967, 903)
There are exempted from the taxes
imposed by this chapter the gross receipts from the sale of, and the
storage, use or other consumption in a county of, the proceeds of mines
which are subject to taxes levied pursuant to chapter 362 of NRS.
(Added to NRS by 1967, 903)
There are exempted
from the taxes imposed by this chapter the gross receipts from the sale
and distribution of, and the storage, use or other consumption in a
county of, any combustible gas, liquid or material of a kind used in an
internal-combustion or diesel engine for the generation of power to
propel a motor vehicle on the highways.
(Added to NRS by 1967, 903)
There are exempted from the taxes imposed by this
chapter the gross receipts from sales of, and the storage, use or other
consumption of:
1. Any form of animal life of a kind the products of which
ordinarily constitute food for human consumption.
2. Feed for any form of animal life of a kind the products of
which ordinarily constitute food for human consumption or are to be sold
in the regular course of business.
3. Seeds and annual plants the products of which ordinarily
constitute food for human consumption or are to be sold in the regular
course of business.
4. Fertilizer to be applied to land the products of which are to
be used as food for human consumption or sold in the regular course of
business.
(Added to NRS by 1967, 904)
Repealed. (See chapter
400, Statutes of Nevada 2003, at page 2409 .)
[Effective January 1,
2007, if the proposal to amend the Sales and Use Tax Act of 1955
submitted pursuant to chapter 484, Statutes of Nevada 2005, is approved
by the voters at the 2006 general election.]
1. There are exempted from the taxes imposed by this chapter the
gross receipts from the sale, storage, use or other consumption in a
county of farm machinery and equipment.
2. As used in this section:
(a) “Farm machinery and equipment” means a farm tractor, implement
of husbandry, piece of equipment used for irrigation, or a part used in
the repair or maintenance of farm machinery and equipment. The term does
not include:
(1) A vehicle required to be registered pursuant to the
provisions of chapter 482 or 706 of NRS; or
(2) Machinery or equipment only incidentally employed for
agricultural purposes.
(b) “Farm tractor” means a motor vehicle designed and used
primarily for drawing an implement of husbandry.
(c) “Implement of husbandry” means a vehicle that is designed,
adapted or used for agricultural purposes, including, without limitation,
a plow, machine for mowing, hay baler, combine, piece of equipment used
to stack hay, till, harvest, handle agricultural commodities or apply
fertilizers, or other heavy, movable equipment designed, adapted or used
for agricultural purposes.
(Added to NRS by 2005, 2486 , effective January 1, 2007, if the
proposal to amend the Sales and Use Tax Act of 1955 submitted pursuant to
chapter 484, Statutes of Nevada 2005, is approved by the voters at the
2006 general election)
1. There are exempted from the taxes imposed by this chapter the
gross receipts from sales and the storage, use or other consumption of:
(a) Prosthetic devices, orthotic appliances and ambulatory casts
for human use, and other supports and casts if prescribed or applied by a
licensed provider of health care, within his scope of practice, for human
use.
(b) Appliances and supplies relating to an ostomy.
(c) Products for hemodialysis.
(d) Medicines:
(1) Prescribed for the treatment of a human being by a
person authorized to prescribe medicines, and dispensed on a prescription
filled by a registered pharmacist in accordance with law;
(2) Furnished by a licensed physician, dentist or podiatric
physician to his own patient for the treatment of the patient;
(3) Furnished by a hospital for treatment of any person
pursuant to the order of a licensed physician, dentist or podiatric
physician; or
(4) Sold to a licensed physician, dentist, podiatric
physician or hospital for the treatment of a human being.
2. As used in this section:
(a) “Medicine” means any substance or preparation intended for use
by external or internal application to the human body in the diagnosis,
cure, mitigation, treatment or prevention of disease or affliction of the
human body and which is commonly recognized as a substance or preparation
intended for such use. The term includes splints, bandages, pads,
compresses and dressings.
(b) “Medicine” does not include:
(1) Any auditory, ophthalmic or ocular device or appliance.
(2) Articles which are in the nature of instruments,
crutches, canes, devices or other mechanical, electronic, optical or
physical equipment.
(3) Any alcoholic beverage, except where the alcohol merely
provides a solution in the ordinary preparation of a medicine.
(4) Braces or supports, other than those prescribed or
applied by a licensed provider of health care, within his scope of
practice, for human use.
3. Insulin furnished by a registered pharmacist to a person for
treatment of diabetes as directed by a physician shall be deemed to be
dispensed on a prescription within the meaning of this section.
(Added to NRS by 1969, 534; A 1985, 2029; 1987, 2194; 1993, 2228;
1995, 1009; 2003, 2377 )
1. There are exempted from the taxes imposed by this chapter the
gross receipts from sales and the storage, use or other consumption of
food for human consumption.
2. “Food for human consumption” does not include:
(a) Alcoholic beverages.
(b) Pet foods.
(c) Tonics and preparations.
(d) Prepared food intended for immediate consumption.
(Added to NRS by 1979, 431)
In administering the provisions of NRS 374.289 , the Department shall determine the exemption
from the gross receipts from the sale and storage, use or other
consumption of food for human consumption on the basis of whether the
food is intended for immediate consumption and not on the type of
establishment where the food is sold.
(Added to NRS by 1999, 177 )
There
are exempted from the taxes imposed by this chapter the gross receipts
from the sale of, and the storage, use or other consumption in a county
of, meals and food products for human consumption served by public or
private schools, school districts, student organizations and
parent-teacher associations to the students or teachers of a school.
(Added to NRS by 1967, 904)
Repealed. (See chapter 400, Statutes of Nevada 2003, at
page 2409 .)
Repealed. (See chapter 400, Statutes of
Nevada 2003, at page 2409 .)
There are exempted from the taxes imposed by this chapter the
gross receipts from the sale of textbooks sold within the Nevada System
of Higher Education.
(Added to NRS by 1989, 822; A 1993, 397)
1. There are exempted from the taxes imposed by this chapter the
gross receipts from sales of, and the storage, use or other consumption
in a county of:
(a) Nonreturnable containers when sold without the contents to
persons who place the contents in the container and sell the contents
together with the container.
(b) Containers when sold with the contents if the sales price of
the contents is not required to be included in the measure of the taxes
imposed by this chapter.
(c) Returnable containers when sold with the contents in connection
with a retail sale of the contents or when resold for refilling.
2. As used in this section the term “returnable containers” means
containers of a kind customarily returned by the buyer of the contents
for reuse. All other containers are “nonreturnable containers.”
(Added to NRS by 1967, 904)
There are exempted from
the taxes imposed by this chapter the gross receipts from the sales,
furnishing or service of, and the storage, use or other consumption in a
county of, gas, electricity and water when delivered to consumers through
mains, lines or pipes.
(Added to NRS by 1967, 904)
There are exempted from the taxes
imposed by this chapter the gross receipts from the sale, furnishing or
service of, and the storage, use or other consumption in a county of, any
matter used to produce domestic heat by burning, including, without
limitation, wood, coal, petroleum and gas.
(Added to NRS by 1967, 904)
Expired
by limitation. (See chapter 330, Statutes of Nevada 2001, as last amended
by chapter 2, Statutes of Nevada 2005, 22nd Special Session, at page 87
.)
1. There are exempted from the taxes imposed by this chapter the
gross receipts from the sale of, and the storage, use or other
consumption in a county of, tangible personal property used for the
performance of a contract on public works executed prior to July 1, 1967.
2. There are exempted from the additional taxes imposed by
amendment to this chapter the gross receipts from the sale of, and the
storage, use or other consumption in a county of, tangible personal
property used for the performance of a contract on public works which was
executed prior to May 1, 1981, or for which a binding bid was submitted
before that date if the bid was afterward accepted.
(Added to NRS by 1967, 904; A 1981, 290, 1017)
1. There are exempted from the taxes imposed by this chapter the
gross receipts from the sale of, and the storage, use or other
consumption in a county of, tangible personal property used for the
performance of a written contract entered into before July 1, 1967.
2. There are exempted from the additional taxes imposed by
amendment to this chapter the gross receipts from the sale of, and the
storage, use or other consumption in a county of, tangible personal
property used for the performance of a written contract for construction
entered into before May 1, 1981.
3. There are exempted from the additional taxes imposed by this
chapter the gross receipts from the sale of, and the storage, use or
other consumption in a county of, tangible personal property used for the
performance of a written contract for construction of an improvement to
real property, entered into before July 30, 1991, or for which a binding
bid was submitted before that date if the bid was afterward accepted, if
under the terms of the contract or bid the contract price or bid amount
cannot be adjusted to reflect the imposition of the additional taxes.
(Added to NRS by 1967, 904; A 1981, 291, 1243; 1993, 1370)
There are exempted from the taxes imposed
by this chapter the gross receipts from the sale of, and the storage, use
or other consumption in a county of, tangible personal property which
becomes an ingredient or component part of any newspaper regularly issued
at average intervals not exceeding 1 week and any such newspaper.
(Added to NRS by 1967, 905; A 1969, 534)
1. There are exempted from the taxes imposed by this chapter an
amount equal to 40 percent of the gross receipts from the sales and
storage, use or other consumption of new manufactured homes and new
mobile homes.
2. There are exempted from the taxes imposed by this chapter the
gross receipts from the sales and storage, use or other consumption of
used manufactured homes and used mobile homes for which taxes under this
chapter have been paid as a result of a previous sale, storage, use or
consumption.
3. As used in this section:
(a) “Manufactured home” has the meaning ascribed to it in NRS
489.113 ; and
(b) “Mobile home” has the meaning ascribed to it in NRS 489.120
. The term does not include a motor home
as defined in NRS 482.071 .
(Added to NRS by 1987, 821; A 2005, 1776 )
Repealed. (See chapter 400, Statutes of Nevada 2003, at page
2409 .)
Repealed. (See chapter 400, Statutes of Nevada 2003,
at page 2409 .)
There are exempted from the taxes
imposed by this chapter the gross receipts from occasional sales of
tangible personal property and the storage, use or other consumption in a
county of tangible personal property, the transfer of which to the
purchaser is an occasional sale.
(Added to NRS by 1967, 905)
There are exempted from the computation of the
amount of the sales tax the gross receipts from the sale of any tangible
personal property to:
1. The United States, its unincorporated agencies and
instrumentalities.
2. Any incorporated agency or instrumentality of the United States
wholly owned by the United States or by a corporation wholly owned by the
United States.
3. The State of Nevada, its unincorporated agencies and
instrumentalities.
4. Any county, city, district or other political subdivision of
this State.
(Added to NRS by 1967, 905; A 1995, 1440)
There are exempted from the taxes imposed by this chapter the gross
receipts from the sale of, and the storage, use or other consumption in
this State of, any tangible personal property sold by or to a nonprofit
organization created for religious, charitable or educational purposes.
(Added to NRS by 1995, 1439)
1. For the purposes of NRS 374.3305 , an organization is created for religious,
charitable or educational purposes if it complies with the provisions of
this section.
2. An organization is created for religious purposes if:
(a) It complies with the requirements set forth in subsection 5; and
(b) The sole or primary purpose of the organization is the
operation of a church, synagogue or other place of religious worship at
which nonprofit religious services and activities are regularly
conducted. Such an organization includes, without limitation, an
integrated auxiliary or affiliate of the organization, men’s, women’s or
youth groups established by the organization, a school or mission society
operated by the organization, an organization of local units of a church
and a convention or association of churches.
3. An organization is created for charitable purposes if:
(a) It complies with the requirements set forth in subsection 5;
(b) The sole or primary purpose of the organization is to:
(1) Advance a public purpose, donate or render gratuitously
or at a reduced rate a substantial portion of its services to the persons
who are the subjects of its charitable services, and benefit a
substantial and indefinite class of persons who are the legitimate
subjects of charity;
(2) Provide services that are otherwise required to be
provided by a local government, this State or the Federal Government; or
(3) Operate a hospital or medical facility licensed pursuant
to chapter 449 or 450 of NRS; and
(c) The organization is operating in this State.
4. An organization is created for educational purposes if:
(a) It complies with the requirements set forth in subsection 5; and
(b) The sole or primary purpose of the organization is to:
(1) Provide athletic, cultural or social activities for
children;
(2) Provide displays or performances of the visual or
performing arts to members of the general public;
(3) Provide instruction and disseminate information on
subjects beneficial to the community;
(4) Operate a school, college or university located in this
State that conducts regular classes and provides courses of study
required for accreditation or licensing by the State Board of Education
or the Commission on Postsecondary Education, or for membership in the
Northwest Association of Schools and of Colleges and Universities;
(5) Serve as a local or state apprenticeship committee to
advance programs of apprenticeship in this State; or
(6) Sponsor programs of apprenticeship in this State through
a trust created pursuant to 29 U.S.C. § 186.
5. In addition to the requirements set forth in subsection 2, 3 or
4, an organization is created for religious, charitable or educational
purposes if:
(a) No part of the net earnings of any such organization inures to
the benefit of a private shareholder, individual or entity;
(b) The business of the organization is not conducted for profit;
(c) No substantial part of the business of the organization is
devoted to the advocacy of any political principle or the defeat or
passage of any state or federal legislation;
(d) The organization does not participate or intervene in any
political campaign on behalf of or in opposition to any candidate for
public office; and
(e) Any property sold to the organization for which an exemption is
claimed is used by the organization in this State in furtherance of the
religious, charitable or educational purposes of the organization.
(Added to NRS by 1995, 1439; A 1999, 966 ; 2003, 1284 )
There are exempted from the taxes imposed by this chapter on the
storage, use or other consumption of tangible personal property any such
property loaned or donated to:
1. The United States, its unincorporated agencies and
instrumentalities.
2. Any incorporated agency or instrumentality of the United States
wholly owned by the United States or by a corporation wholly owned by the
United States.
3. The State of Nevada, its unincorporated agencies and
instrumentalities.
4. Any county, city, district or other political subdivision of
this State.
5. Any organization created for religious, charitable or
eleemosynary purposes, provided that no part of the net earnings of any
such organization inures to the benefit of any private shareholder or
individual.
(Added to NRS by 1987, 408)
There are exempted from the
computation of the amount of the sales tax the gross receipts from sales
of tangible personal property to a common carrier, shipped by the seller
via the purchasing carrier under a bill of lading, whether the freight is
paid in advance or the shipment is made freight charges collect, to a
point outside this State and the property is actually transported to the
out-of-state destination for use by the carrier in the conduct of its
business as a common carrier.
(Added to NRS by 1967, 905)
There are exempted from the computation of the amount of the
sales tax the gross receipts from any sale of tangible personal property
which is shipped to a point outside this State pursuant to the contract
of sale by delivery by the vendor to such point by means of:
1. Facilities operated by the vendor;
2. Delivery by the vendor to a carrier for shipment to a consignee
at such point; or
3. Delivery by the vendor to a customs broker or forwarding agent
for shipment outside this State.
(Added to NRS by 1967, 905)
The
taxes imposed under this chapter apply to the sale of tangible personal
property to and the storage, use or other consumption in this State of
tangible personal property by a contractor for a governmental, religious
or charitable entity which is otherwise exempted from the tax, unless the
contractor is a constituent part of that entity.
(Added to NRS by 1967, 905; A 1983, 445; 2005, 1776 )
The
storage, use or other consumption in a county of property, the gross
receipts from the sale of which are required to be included in the
measure of the sales tax, is exempted from the use tax.
(Added to NRS by 1967, 906)
1. If a purchaser wishes to claim an exemption from the taxes
imposed by this chapter, the retailer shall obtain such identifying
information from the purchaser at the time of sale as is required by the
Department.
2. The Department shall, to the extent feasible, establish an
electronic system for submitting a request for an exemption. A purchaser
is not required to provide a signature to claim an exemption if the
request is submitted electronically.
3. The Department may establish a system whereby a purchaser who
is exempt from the payment of the taxes imposed by this chapter is issued
an identification number that can be presented to the retailer at the
time of sale.
4. A retailer shall maintain such records of exempt transactions
as are required by the Department.
5. Except as otherwise provided in this subsection, a retailer who
complies with the provisions of this section is not liable for the
payment of any tax imposed by this chapter if the purchaser improperly
claims an exemption. If the purchaser improperly claims an exemption, the
purchaser is liable for the payment of the tax. The provisions of this
subsection do not apply if the retailer fraudulently fails to collect the
tax or solicits a purchaser to participate in an unlawful claim of an
exemption.
(Added to NRS by 2003, 2369 ; A 2005, 1778 )
1. Any nonprofit organization created for religious, charitable or
educational purposes that wishes to claim an exemption pursuant to NRS
374.3305 must file an application with
the Department to obtain a letter of exemption. The application must be
on a form and contain such information as is required by the Department.
2. If the Department determines that the organization is created
for religious, charitable or educational purposes, it shall issue a
letter of exemption to the organization. The letter of exemption expires
5 years after the date on which it is issued by the Department. At least
90 days before the expiration of the letter of exemption, the Department
shall notify the organization to whom the letter was issued of the date
on which the letter will expire. The organization may renew its letter of
exemption for an additional 5 years by filing an application for renewal
with the Department. The application for renewal must be on a form and
contain such information as is required by the Department.
3. To claim an exemption pursuant to NRS 374.3305 for the sale of tangible personal property to
such an organization:
(a) The organization must give a copy of its letter of exemption to
the retailer from whom the organization purchases the property; and
(b) The retailer must retain and present upon request a copy of the
letter of exemption.
4. The Department shall adopt such regulations as are necessary to
carry out the provisions of this section.
(Added to NRS by 1995, 1440)—(Substituted in revision for NRS
374.3307)
If a purchaser certifies in writing to a
seller that the property purchased will be used in a manner or for a
purpose entitling the seller to regard the gross receipts from the sale
as exempted by this chapter from the computation of the amount of the
sales tax, and uses the property in some other manner or for some other
purpose, the purchaser shall be liable for payment of sales tax as if he
were a retailer making a retail sale of the property at the time of such
use, and the cost of the property to him shall be deemed the gross
receipts from such retail sale.
(Added to NRS by 1967, 906)
ABATEMENTS
[Effective through June 30, 2009.]
1. A person who maintains a business or intends to locate a
business in this State may, pursuant to NRS 360.750 , apply to the Commission on Economic
Development for an abatement from the taxes imposed by this chapter on
the gross receipts from the sale, and the storage, use or other
consumption, of eligible machinery or equipment for use by a business
which has been approved for an abatement pursuant to NRS 360.750 .
2. Except as otherwise provided in subsection 3, if an application
for an abatement is approved pursuant to NRS 360.750 :
(a) The taxpayer is eligible for an abatement from the tax imposed
by this chapter for not more than 2 years for machinery or equipment
which is leased or purchased. In the case of machinery or equipment that
is leased, the lessee is the taxpayer who is eligible for an abatement.
(b) The abatement must be administered and carried out in the
manner set forth in NRS 360.750 .
3. If an application for an abatement is approved pursuant to NRS
360.750 for a facility for the
generation of electricity from renewable energy or a facility for the
production of an energy storage device:
(a) The taxpayer is eligible for an abatement from the tax imposed
by this chapter for 2 years.
(b) The abatement must be administered and carried out in the
manner set forth in NRS 360.750 .
4. As used in this section, unless the context otherwise requires:
(a) “Biomass” means any organic matter that is available on a
renewable basis, including, without limitation:
(1) Agricultural crops and agricultural wastes and residues;
(2) Wood and wood wastes and residues;
(3) Animal wastes;
(4) Municipal wastes; and
(5) Aquatic plants.
(b) “Eligible machinery or equipment” means:
(1) If the business that qualifies for the abatement is not
a facility for the generation of electricity from renewable energy,
machinery or equipment which is leased or purchased and for which a
deduction is authorized pursuant to 26 U.S.C. § 179. The term does not
include:
(I) Buildings or the structural components of
buildings;
(II) Equipment used by a public utility;
(III) Equipment used for medical treatment;
(IV) Machinery or equipment used in mining;
(V) Machinery or equipment used in gaming; or
(VI) Aircraft.
(2) If the business that qualifies for the abatement is a
facility for the generation of electricity from renewable energy, all the
machinery and equipment that is used in the facility to collect and store
the renewable energy and to convert the renewable energy into electricity.
(c) “Energy storage device” means a device for use and storage of
electrical energy that alleviates the consumption of fossil fuel and does
not produce fossil fuel emissions.
(d) “Facility for the generation of electricity from renewable
energy” means a facility for the generation of electricity that:
(1) Uses renewable energy as its primary source of energy;
and
(2) Has a generating capacity of at least 10 kilowatts.
Ê The term includes all the machinery and equipment that is used in the
facility to collect and store the renewable energy and to convert the
renewable energy into electricity. The term does not include a facility
that is located on residential property.
(e) “Fuel cell” means a device or contrivance which, through the
chemical process of combining ions of hydrogen and oxygen, produces
electricity and water.
(f) “Renewable energy” means a source of energy that occurs
naturally or is regenerated naturally, including, without limitation:
(1) Biomass;
(2) Fuel cells;
(3) Geothermal energy;
(4) Solar energy;
(5) Waterpower; and
(6) Wind.
Ê The term does not include coal, natural gas, oil, propane or any other
fossil fuel, or nuclear energy.
(Added to NRS by 1995, 744; A 1999, 1748 ; 2001, 1583 ; 2003, 2925 , 2927 )
[Effective July 1, 2009.]
1. A person who maintains a business or intends to locate a
business in this State may, pursuant to NRS 360.750 , apply to the Commission on Economic
Development for an abatement from the taxes imposed by this chapter on
the gross receipts from the sale, and the storage, use or other
consumption, of eligible machinery or equipment for use by a business
which has been approved for an abatement pursuant to NRS 360.750 .
2. If an application for an abatement is approved pursuant to NRS
360.750 :
(a) The taxpayer is eligible for an abatement from the tax imposed
by this chapter for not more than 2 years.
(b) The abatement must be administered and carried out in the
manner set forth in NRS 360.750 .
3. As used in this section, unless the context otherwise requires,
“eligible machinery or equipment” means machinery or equipment for which
a deduction is authorized pursuant to 26 U.S.C. § 179. The term does not
include:
(a) Buildings or the structural components of buildings;
(b) Equipment used by a public utility;
(c) Equipment used for medical treatment;
(d) Machinery or equipment used in mining; or
(e) Machinery or equipment used in gaming.
(Added to NRS by 1995, 744; A 1999, 1748 ; 2001, 1583 ; 2003, 2925 , 2927 , effective July 1, 2009)
RETURNS AND PAYMENTS
A
retailer shall hold the amount of all taxes collected pursuant to this
chapter in a separate account in trust for the State.
(Added to NRS by 1995, 1068)
Except as otherwise provided in NRS
374.385 or required by the Department
pursuant to NRS 360B.200 , the taxes
imposed by this chapter are due and payable to the Department monthly on
or before the last day of the month next succeeding each month.
(Added to NRS by 1967, 906; A 1975, 1728; 1981, 291; 2003, 2377
; 2005, 1778 )
Except as otherwise
required by the Department pursuant to NRS 360B.200 :
1. On or before the last day of the month following each reporting
period, a return for the preceding period must be filed with the
Department in such form as the Department may prescribe. Any return
required to be filed by this section must be combined with any return
required to be filed pursuant to the provisions of chapter 372 of NRS.
2. For purposes of:
(a) The sales tax, a return must be filed by every seller.
(b) The use tax, a return must be filed by every retailer
maintaining a place of business in the county and by every person
purchasing tangible personal property, the storage, use or other
consumption of which is subject to the use tax, who has not paid the use
tax due.
3. Returns must be signed by the person required to file the
return or by his authorized agent but need not be verified by oath.
(Added to NRS by 1967, 906; A 1975, 1728; 1981, 291; 2003, 2378
; 2005, 1778 )
1. Except as otherwise required by the Department pursuant to NRS
360B.200 or provided in NRS 360B.350
to 360B.375 , inclusive:
(a) For the purposes of the sales tax:
(1) The return must show the gross receipts of the seller
during the preceding reporting period.
(2) The gross receipts must be segregated and reported
separately for each county to which a sale of tangible personal property
pertains.
(3) A sale pertains to the county in this State in which the
tangible personal property is or will be delivered to the purchaser or
his agent or designee.
(b) For purposes of the use tax:
(1) In the case of a return filed by a retailer, the return
must show the total sales price of the property purchased by him, the
storage, use or consumption of which property became subject to the use
tax during the preceding reporting period.
(2) The sales price must be segregated and reported
separately for each county to which a purchase of tangible personal
property pertains.
(3) If the property was:
(I) Brought into this State by the purchaser or his
agent or designee, the sale pertains to the county in this State in which
the property is or will be first used, stored or otherwise consumed.
(II) Not brought into this State by the purchaser or
his agent or designee, the sale pertains to the county in this State in
which the property was delivered to the purchaser or his agent or
designee.
2. In case of a return filed by a purchaser, the return must show
the total sales price of the property purchased by him, the storage, use
or consumption of which became subject to the use tax during the
preceding reporting period and indicate the county in this State in which
the property was first used, stored or consumed.
3. The return must also show the amount of the taxes for the
period covered by the return and such other information as the Department
deems necessary for the proper administration of this chapter.
4. Except as otherwise provided in subsection 5, upon determining
that a retailer has filed a return which contains one or more violations
of the provisions of this section, the Department shall:
(a) For the first return of any retailer which contains one or more
violations, issue a letter of warning to the retailer which provides an
explanation of the violation or violations contained in the return.
(b) For the first or second return, other than a return described
in paragraph (a), in any calendar year which contains one or more
violations, assess a penalty equal to the amount of the tax which was not
reported or was reported for the wrong county or $1,000, whichever is
less.
(c) For the third and each subsequent return in any calendar year
which contains one or more violations, assess a penalty of three times
the amount of the tax which was not reported or was reported for the
wrong county or $3,000, whichever is less.
5. For the purposes of subsection 4, if the first violation of
this section by any retailer was determined by the Department through an
audit which covered more than one return of the retailer, the Department
shall treat all returns which were determined through the same audit to
contain a violation or violations in the manner provided in paragraph (a)
of subsection 4.
(Added to NRS by 1967, 906; A 1975, 1728; 1995, 1972, 2556; 1997,
647, 1106; 2003, 2378 ; 2005, 1778 )
In determining
the amount of taxes due pursuant to this chapter:
1. The amount due must be computed to the third decimal place and
rounded to a whole cent using a method that rounds up to the next cent if
the numeral in the third decimal place is greater than 4.
2. A retailer may compute the amount due on a transaction on the
basis of each item involved in the transaction or a single invoice for
the entire transaction.
(Added to NRS by 2003, 2369 ; A 2005, 1778 )
1. If a retailer is unable to collect all or part of the sales
price of a sale, he is entitled to receive a deduction from his taxable
sales for that bad debt.
2. Any deduction that is claimed pursuant to this section may not
include interest.
3. The amount of any deduction claimed must equal the amount of a
deduction that may be claimed pursuant to 26 U.S.C. § 166 for that sale
minus:
(a) Any finance charge or interest charged as part of the sale;
(b) Any sales or use tax charged on the sales price;
(c) Any amount not paid on the sales price because the tangible
personal property that was sold has remained in the possession of the
retailer until the full sales price is paid;
(d) Any expense incurred in attempting to collect the bad debt; and
(e) The value of any property sold that has been repossessed by the
retailer.
4. A bad debt may be claimed as a deduction on the return that
covers the period during which the bad debt is written off in the
business records of the retailer that are maintained in the ordinary
course of the retailer’s business and is eligible to be claimed as a
deduction pursuant to 26 U.S.C. § 166 or, if the retailer is not required
to file a federal income tax return, would be eligible to be claimed as a
deduction pursuant to 26 U.S.C. § 166.
5. If a bad debt for which a deduction has been claimed is
subsequently collected in whole or in part, the tax on the amount so
collected must be reported on the return that covers the period in which
the collection is made.
6. If the amount of the bad debt is greater than the amount of the
taxable sales reported for the period during which the bad debt is
claimed as a deduction, a claim for a refund may be filed pursuant to NRS
374.635 to 374.720 , inclusive, except that the time within which
the claim may be filed begins on the date on which the return that
included the deduction was filed.
7. If the retailer has contracted with a certified service
provider for the remittance of the tax due under this chapter, the
service provider may, on behalf of the retailer, claim any deduction to
which the retailer is entitled pursuant to this section. The service
provider shall credit or refund the full amount of any deduction or
refund received pursuant to this section to the retailer.
8. For the purposes of reporting a payment received on a bad debt
for which a deduction has been claimed, the payment must first be applied
to the sales price of the property sold and the tax due thereon, and then
to any interest, service charge or other charge that was charged as part
of the sale.
9. If the records of a retailer indicate that a bad debt may be
allocated among other states that are members of the Streamlined Sales
and Use Tax Agreement, the retailer may allocate the bad debt among those
states.
10. Except as otherwise provided in subsection 11, upon
determining that a retailer has filed a return which contains one or more
violations of the provisions of this section, the Department shall:
(a) For the first return of any retailer which contains one or more
violations, issue a letter of warning to the retailer which provides an
explanation of the violation or violations contained in the return.
(b) For the first or second return, other than a return described
in paragraph (a), in any calendar year which contains one or more
violations, assess a penalty equal to the amount of the deduction claimed
or $1,000, whichever is less.
(c) For the third and each subsequent return in any calendar year
which contains one or more violations, assess a penalty of three times
the amount of the deduction claimed or $3,000, whichever is less.
11. For the purposes of subsection 10, if the first violation of
this section by any retailer was determined by the Department through an
audit which covered more than one return of the retailer, the Department
shall treat all returns which were determined through the same audit to
contain a violation or violations in the manner provided in paragraph (a)
of subsection 10.
12. As used in this section:
(a) “Bad debt” means a debt that may be deducted pursuant to 26
U.S.C. § 166.
(b) “Certified service provider” has the meaning ascribed to it in
NRS 360B.060 .
(Added to NRS by 2003, 2370 ; A 2005, 1778 )
1. Except as otherwise provided in subsection 2, if the taxes
imposed by this chapter are paid in accordance with NRS 374.360 , a taxpayer may deduct and withhold from the
taxes otherwise due from him 0.5 percent thereof to reimburse himself for
the cost of collecting the tax.
2. The regulations adopted by the Department pursuant to NRS
360B.110 may authorize the deduction
and withholding from the taxes otherwise due from a taxpayer such other
amounts as are required to carry out the Streamlined Sales and Use Tax
Agreement.
(Added to NRS by 1967, 906; A 1981, 291; 1991, 2294; 2003, 2379
; 2003, 20th Special Session, 21 ; 2005, 1778 )
1. Except as otherwise required by the Department pursuant to NRS
360B.200 , the person required to file
a return shall deliver the return together with a remittance of the
amount of the tax due to the Department.
2. The Department shall provide for the acceptance of credit
cards, debit cards or electronic transfers of money for the payment of
the tax due in the manner prescribed pursuant to NRS 360.092 .
(Added to NRS by 1967, 906; A 1975, 1728; 2003, 2380 ; 2005, 1778 )
1. Except as otherwise provided in subsection 2 or required by the
Department pursuant to NRS 360B.200 ,
the reporting and payment period of a taxpayer whose taxable sales do not
exceed $10,000 per month is a calendar quarter.
2. The Department, if it deems this action necessary in order to
insure payment to or facilitate the collection by the county of the
amount of taxes, may require returns and payment of the amount of taxes
for periods other than calendar months or quarters, depending upon the
principal place of business of the seller, retailer or purchaser as the
case may be, or for other than monthly or quarterly periods.
(Added to NRS by 1967, 906; A 1975, 1728; 1981, 291, 910; 2003,
2380 ; 2005, 1778 )
1. If a certificate of ownership has been issued for a used
manufactured home or used mobile home by the Department of Motor Vehicles
or the Manufactured Housing Division of the Department of Business and
Industry, it is presumed that the taxes imposed by this chapter have been
paid with respect to that manufactured home or mobile home.
2. As used in this section, “manufactured home” and “mobile home”
have the meanings ascribed to them in NRS 374.321 .
(Added to NRS by 1989, 960; A 1993, 1578; 2001, 2602 )
For
the purposes of the sales tax, gross receipts from rentals or leases of
tangible personal property shall be reported and the tax paid in
accordance with such regulations as the Department may prescribe.
(Added to NRS by 1967, 907; A 1975, 1729)
The
Department, if it deems it necessary to insure the collection of the
taxes, may provide by regulation for the collection of the taxes by the
affixing and cancelling of revenue stamps and may prescribe the form and
method of the affixing and cancelling.
(Added to NRS by 1967, 907; A 1975, 1729)
The Department for good cause may extend for not to exceed 1 month the
time for making any return or paying any amount required to be paid under
this chapter.
(Added to NRS by 1967, 907; A 1975, 1729; 1985, 950)
1. Payment of the tax on the sale of capital goods for a sales
price of $100,000 or more may be deferred without interest in accordance
with this section. If the sales price is:
(a) At least $100,000 but less than $350,000, the tax must be paid
within 12 months.
(b) At least $350,000 but less than $600,000, the tax must be paid
within 24 months.
(c) At least $600,000 but less than $850,000, the tax must be paid
within 36 months.
(d) At least $850,000 but less than $1,000,000, the tax must be
paid within 48 months.
(e) One million dollars or more, the tax must be paid within 60
months.
Ê Payment must be made in each month at a rate which is at least
sufficient to result in payment of the total obligation within the
permitted period.
2. A person may apply to the Commission on Economic Development
for such a deferment. If a purchase is made outside of the State from a
retailer who is not registered with the Department, an application for a
deferment must be made in advance or, if the purchase has been made,
within 60 days after the date on which the tax is due. If a purchase is
made in this State from a retailer who is registered with the Department
and to whom the tax is paid, an application must be made within 60 days
after the payment of the tax. If the application for a deferment is
approved, the taxpayer is eligible for a refund of the tax paid.
3. The Commission on Economic Development shall certify the
person’s eligibility for a deferment if:
(a) The purchase is consistent with the Commission’s plan for
industrial development and diversification; and
(b) The Commission determines that the deferment is a significant
factor in the decision of the person to locate or expand a business in
this State.
Ê Upon certification, the Commission shall immediately forward the
deferment to the Nevada Tax Commission.
4. Upon receipt of such a certification, the Nevada Tax Commission
shall verify the sale, the price paid and the date of the sale and assign
the applicable period for payment of the deferred tax. It may require
security for the payment in an amount which does not exceed the amount of
tax deferred.
5. The Nevada Tax Commission shall adopt regulations governing:
(a) The aggregation of related purchases which are made to expand a
business, establish a new business, or renovate or replace capital
equipment; and
(b) The period within which such purchases may be aggregated.
(Added to NRS by 1985, 2024; A 1989, 215)
Repealed. (See chapter 175, Statutes of
Nevada 2005, at page 571 .)
SECURITY
1. The Department, whenever it deems it necessary to insure
compliance with this chapter, may require any person subject to the
chapter to place with it such security as the Department may determine.
The amount of the security must be fixed by the Department but, except as
provided in subsection 2, may not be greater than twice the estimated
average tax due quarterly of persons filing returns for quarterly periods
or three times the estimated average tax due monthly of persons filing
returns for monthly periods, determined in such manner as the Department
deems proper.
2. In case of persons habitually delinquent in their obligations
under this chapter, the amount of the security must not be greater than
three times the average actual tax due quarterly of persons filing
returns for quarterly periods or five times the average actual tax due
monthly of persons filing returns for monthly periods.
3. The limitations provided in this section apply regardless of
the type of security placed with the Department.
4. The amount of the security may be increased or decreased by the
Department subject to the limitations in this section.
5. The Department may sell the security at public auction if it
becomes necessary to recover any tax or any amount required to be
collected, interest or penalty due. Notice of the sale may be served upon
the person who placed the security personally or by mail; if by mail,
service must be made in the manner prescribed for service of a notice of
a deficiency determination and must be addressed to the person at his
address as it appears in the records of the Department. Security in the
form of a bearer bond issued by the United States or the State of Nevada
which has a prevailing market price may be sold by the Department at a
private sale at a price not lower than the prevailing market price.
6. Upon any sale any surplus above the amounts due must be
returned to the person who placed the security.
(Added to NRS by 1967, 910; A 1975, 1731; 1981, 292, 910; 1985,
1180)
OVERPAYMENTS AND REFUNDS
1. If the Department determines that any amount, penalty or
interest has been paid more than once or has been erroneously or
illegally collected or computed, the Department shall set forth that fact
in the records of the Department and shall certify to the board of county
commissioners the amount collected in excess of the amount legally due
and the person from whom it was collected or by whom paid. If approved by
the board of county commissioners, the excess amount collected or paid
must be credited on any amounts then due from the person pursuant to this
chapter, and the balance must be refunded to the person, or his
successors, administrators or executors.
2. Any overpayment of the use tax by a purchaser to a retailer who
is required to collect the tax and who gives the purchaser a receipt
therefor pursuant to NRS 374.190 to
374.260 , inclusive, and 374.727 , must be credited or refunded by the county to
the purchaser.
(Added to NRS by 1967, 916; A 1975, 1736; 1995, 1973; 2005, 1776
)
Except as
otherwise provided in NRS 360.235 ,
360.395 and 374.373 :
1. No refund may be allowed unless a claim for it is filed with
the Department within 3 years after the last day of the month following
the close of the period for which the overpayment was made.
2. No credit may be allowed after the expiration of the period
specified for filing claims for refund unless a claim for credit is filed
with the Department within that period, or unless the credit relates to a
period for which a waiver is given pursuant to NRS 360.355 .
(Added to NRS by 1967, 916; A 1975, 1736; 1981, 293; 1983, 475;
1991, 1408; 1995, 1069; 2003, 2380 ; 2005, 1778 )
1. Each person who holds a valid certificate, issued under NRS
274.270 , as a qualified business within
a specially benefited zone may file for a credit or refund to recover the
amount of tax paid under this chapter for all tangible personal property
purchased in the conduct of its business for the period, not to exceed 5
years, stated in its agreement with the city or county, as the case may
be, made under NRS 274.270 , or until
the person is no longer certified as a qualified business under that
section, whichever occurs first.
2. Claims for credit or refund may be filed under this section
only if:
(a) The city or county which designated the specially benefited
zone has adopted an ordinance authorizing such claims; and
(b) This benefit is specified in the agreement made under NRS
274.270 .
(Added to NRS by 1983, 1996)
No credit or refund of any amount paid pursuant to NRS
374.190 to 374.260 , inclusive, and 374.727 may be allowed on the ground that the storage,
use or other consumption of the property is exempted pursuant to NRS
374.350 , unless the person who paid the
amount reimburses his vendor for the amount of the sales tax imposed upon
his vendor with respect to the sale of the property and paid by the
vendor to the county.
(Added to NRS by 1967, 916; A 1995, 1973)
Every claim shall be in writing and shall state the specific grounds
upon which the claim is founded.
(Added to NRS by 1967, 916)
Failure to
file a claim within the time prescribed in NRS 374.640 constitutes a waiver of any demand against the
county on account of overpayment.
(Added to NRS by 1967, 916)
Within 30
days after disallowing any claim in whole or in part, the Department
shall serve notice of its action on the claimant in the manner prescribed
for service of notice of a deficiency determination.
(Added to NRS by 1967, 916; A 1975, 1736)
1. Except as otherwise provided in NRS 360.320 , interest must be paid upon any overpayment of
any amount of tax at the rate of one-half of 1 percent per month from the
last day of the calendar month following the period for which the
overpayment was made. No refund or credit may be made of any interest
imposed upon the person making the overpayment with respect to the amount
being refunded or credited.
2. The interest must be paid as follows:
(a) In the case of a refund, to the last day of the calendar month
following the date upon which the person making the overpayment, if he
has not already filed a claim, is notified by the Department that a claim
may be filed or the date upon which the claim is certified to the board
of county commissioners, whichever date is earlier.
(b) In the case of a credit, to the same date as that to which
interest is computed on the tax or amount against which the credit is
applied.
(Added to NRS by 1967, 916; A 1975, 1736; 1981, 293; 1999, 2498
)
If the Department
determines that any overpayment has been made intentionally or by reason
of carelessness, it shall not allow any interest thereon.
(Added to NRS by 1967, 917; A 1975, 1737)
No injunction or writ of mandate or other legal or
equitable process shall issue in any suit, action or proceeding in any
court against the State, a county, any officer thereof to prevent or
enjoin the collection under this chapter of any tax or any amount of tax
required to be collected.
(Added to NRS by 1967, 917)
No
suit or proceeding shall be maintained in any court for the recovery of
any amount alleged to have been erroneously or illegally determined or
collected unless a claim for refund or credit has been duly filed.
(Added to NRS by 1967, 917)
1. Within 90 days after a final decision upon a claim filed
pursuant to this chapter is rendered by the Nevada Tax Commission, the
claimant may bring an action against the Department on the grounds set
forth in the claim in a court of competent jurisdiction in Carson City,
the county of this State where the claimant resides or maintains his
principal place of business or a county in which any relevant proceedings
were conducted by the Department, for the recovery of the whole or any
part of the amount with respect to which the claim has been disallowed.
2. Failure to bring an action within the time specified
constitutes a waiver of any demand against the county on account of
alleged overpayments.
(Added to NRS by 1967, 917; A 1969, 287; 1975, 1737; 1999, 2499
)
If the Department fails to mail notice of
action on a claim within 6 months after the claim is filed, the claimant
may consider the claim disallowed and file an appeal with a hearing
officer within 45 days after the last day of the 6-month period. If the
claimant is aggrieved by the decision of the hearing officer on appeal,
he may, pursuant to the provisions of NRS 360.245 , appeal the decision to the Nevada Tax
Commission. If the claimant is aggrieved by the decision of the
Commission on appeal, he may, within 45 days after the decision is
rendered, bring an action against the Department on the grounds set forth
in the claim for the recovery of the whole or any part of the amount
claimed as an overpayment.
(Added to NRS by 1967, 917; A 1975, 1737; 1999, 2499 )
1. If judgment is rendered for the plaintiff, the amount of the
judgment must first be credited as follows:
(a) If the judgment is for a refund of sales taxes, it must be
credited on any amount of sales or use tax due from the plaintiff
pursuant to this chapter.
(b) If the judgment is for a refund of use taxes, it must be
credited on any amount of use tax due from the plaintiff pursuant to this
chapter.
2. The balance of the judgment must be refunded to the plaintiff.
(Added to NRS by 1967, 917; A 1995, 1974; 2005, 1777 )
In any judgment, interest
shall be allowed at the rate of 6 percent per annum upon the amount found
to have been illegally collected from the date of payment of the amount
to the date of allowance of credit on account of the judgment, or to a
date preceding the date of the refund warrant by not more than 30 days,
the date to be determined by the Department.
(Added to NRS by 1967, 917; A 1975, 1737)
A judgment shall not be rendered
in favor of the plaintiff in any action brought against the Department to
recover any amount paid when the action is brought by or in the name of
an assignee of the person paying the amount or by any person other than
the person who paid the amount.
(Added to NRS by 1967, 917; A 1975, 1737)
The Department may recover any refund or part thereof which
is erroneously made and any credit or part thereof which is erroneously
allowed in an action brought in a court of competent jurisdiction in the
county to which the refund is owed, in the name of such county.
(Added to NRS by 1967, 918; A 1975, 1737)
R.C.P. and N.R.A.P. The
district attorney of the county to which the refund is owed, on behalf of
the county, shall prosecute the action, and the provisions of NRS and the
Nevada Rules of Civil Procedure and Nevada Rules of Appellate Procedure
relating to service of summons, pleadings, proofs, trials and appeals are
applicable to the proceedings.
(Added to NRS by 1967, 918)
1. If any amount in excess of $25 has been illegally determined,
either by the person filing the return or by the Department, the
Department shall certify this fact to the board of county commissioners,
and such board shall authorize the cancellation of the amount upon the
records of the Department.
2. If an amount not exceeding $25 has been illegally determined,
either by the person filing a return or by the Department, the
Department, without certifying this fact to such board, shall authorize
the cancellation of the amount upon the records of the Department.
(Added to NRS by 1967, 918; A 1975, 1737)
ADMINISTRATION
This chapter must be administered in
accordance with the provisions of chapter 360B of NRS.
(Added to NRS by 2003, 2369 ; A 2005, 1778 )
1. The Department shall enforce the provisions of this chapter and
may prescribe, adopt and enforce regulations relating to the
administration and enforcement of this chapter.
2. The Department may prescribe the extent to which any ruling or
regulation shall be applied without retroactive effect.
(Added to NRS by 1967, 918; A 1975, 1738)
In its
administration of the use tax imposed by NRS 374.190 , the Department shall not consider the
storage, use or other consumption in a county of tangible personal
property which is:
1. Worth $100 or less; and
2. Acquired free of charge at a convention, trade show or other
public event.
(Added to NRS by 2005, 2486 )
In administering the provisions of this
chapter, the Department shall, pursuant to NRS 374.190 , calculate the amount of tax imposed on the
use or other consumption of meals provided by an employer to his employee
based on the cost of the specific components of those meals if:
1. The meals are furnished on a regular basis on the premises of
the employer for the convenience of the employer; and
2. The employer does not charge the employees a specific fixed
price per meal.
(Added to NRS by 1995, 1972)
[Effective through December 31,
2006, and after that date if the proposal to amend the Sales and Use Tax
Act of 1955 submitted pursuant to chapter 484, Statutes of Nevada 2005,
is not approved by the voters at the 2006 general election.]
1. In administering the provisions of NRS 374.340 , the Department shall apply the exemption for
the sale of tangible personal property delivered by the vendor to a
forwarding agent for shipment out of State to include:
(a) The sale of a vehicle to a nonresident to whom a special
movement permit has been issued by the Department of Motor Vehicles
pursuant to subsection 1 of NRS 482.3955 ;
(b) The sale of farm machinery and equipment to a nonresident who
submits proof to the vendor that the farm machinery and equipment will be
delivered out of State not later than 15 days after the sale; and
(c) The sale of a vessel to a nonresident who submits proof to the
vendor that the vessel will be delivered out of State not later than 15
days after the sale.
2. As used in this section:
(a) “Farm machinery and equipment” means a farm tractor, implement
of husbandry, piece of equipment used for irrigation, or a part used in
the repair or maintenance of farm machinery and equipment. The term does
not include:
(1) A vehicle required to be registered pursuant to the
provisions of chapter 482 or 706 of NRS; or
(2) Machinery or equipment only incidentally employed for
agricultural purposes.
(b) “Farm tractor” means a motor vehicle designed and used
primarily for drawing an implement of husbandry.
(c) “Implement of husbandry” means a vehicle that is designed,
adapted or used for agricultural purposes, including, without limitation,
a plow, machine for mowing, hay baler, combine, piece of equipment used
to stack hay, till, harvest, handle agricultural commodities or apply
fertilizers, or other heavy, movable equipment designed, adapted or used
for agricultural purposes.
(Added to NRS by 1997, 181; A 2001, 825 , 2603 ; 2003, 2380 , 2822 ; 2005, 2490 )
[Effective January 1, 2007, if
the proposal to amend the Sales and Use Tax Act of 1955 submitted
pursuant to chapter 484, Statutes of Nevada 2005, is approved by the
voters at the 2006 general election.] In administering the provisions of
NRS 374.340 , the Department shall apply
the exemption for the sale of tangible personal property delivered by the
vendor to a forwarding agent for shipment out of State to include:
1. The sale of a vehicle to a nonresident to whom a special
movement permit has been issued by the Department of Motor Vehicles
pursuant to subsection 1 of NRS 482.3955 ;
2. The sale of farm machinery and equipment, as defined in NRS
372.281 , to a nonresident who submits
proof to the vendor that the farm machinery and equipment will be
delivered out of State not later than 15 days after the sale; and
3. The sale of a vessel to a nonresident who submits proof to the
vendor that the vessel will be delivered out of State not later than 15
days after the sale.
(Added to NRS by 1997, 181; A 2001, 825 , 2603 ; 2003, 2380 , 2822 ; 2005, 2490 , effective January 1, 2007, if the
proposal to amend the Sales and Use Tax Act of 1955 submitted pursuant to
chapter 484, Statutes of Nevada 2005, is approved by the voters at the
2006 general election)
1. In administering the provisions of this chapter, the Department
shall calculate the amount of tax imposed on the retail sale of large
appliances as follows:
(a) If the large appliance is sold separately or with installation
or replacement services, or any combination thereof, the sales tax must
be applied to the retail sales price of the large appliance to the
customer. The sales tax does not apply to charges for or associated with
installation and replacement if those charges are stated separately on
the sales receipt or in the contract of sale.
(b) If the large appliance is sold as a constituent part of a
contract for the construction or refurbishment of an improvement to real
property or a mobile home, the sales tax must be paid by the contractor
on the sales price of the large appliance to the contractor.
2. As used in this section:
(a) “Contract for the construction or refurbishment of an
improvement to real property” means a contract for erecting, constructing
or affixing a structure or other improvement to real property or a mobile
home, including the remodeling, altering or repairing of an improvement
to real property or a mobile home. The term does not include the sale,
delivery, installation or replacement of one or more large appliances not
included in a contract for erecting, constructing or affixing a structure
or other improvement to real property or a mobile home.
(b) “Large appliance” includes, without limitation, a washing
machine, dryer, range, stove, oven, dishwasher, refrigerator, freezer,
ice maker and hot water dispenser.
(c) “Replacement” means the removal of an old large appliance and
the installation of a new large appliance.
(Added to NRS by 1997, 913)
” In administering the provisions of this chapter,
the Department shall construe the term “retailer maintaining a place of
business in a county” to include:
1. A retailer maintaining, occupying or using, permanently or
temporarily, directly or indirectly, or through a subsidiary or agent, by
whatever name called, an office, place of distribution, sales or sample
room or place, warehouse or place of storage, or any other place of
business, in the county.
2. A retailer having any representative, agent, salesman,
canvasser or solicitor operating in the county under the authority of the
retailer or its subsidiary to sell, deliver or take orders for tangible
personal property.
3. With respect to a lease, a retailer deriving rentals from a
lease of tangible personal property situated in the county.
4. A retailer soliciting orders for tangible personal property
through a system for shopping by means of telecommunication or
television, using toll-free telephone numbers, which is intended by the
retailer to be broadcast by cable television or other means of
broadcasting to persons located in the county or through a website on the
Internet or other electronic means of communication to provide
solicitations to persons in this State.
5. A retailer who, pursuant to a contract with a broadcaster or
publisher located in the State, solicits orders for tangible personal
property by means of advertising which is disseminated primarily to
persons located in the State and only secondarily to bordering
jurisdictions, and which is disseminated to persons located in the county.
6. A retailer soliciting orders for tangible personal property by
mail or electronic facsimile if the solicitations are substantial and
recurring and if the retailer benefits from any activities occurring in
the county related to banking, financing, the collection of debts,
telecommunication or marketing, or benefits from the location in the
county of authorized facilities for installation, servicing or repairs.
7. A retailer owned or controlled by the same persons who own or
control a retailer who maintains a place of business in the same or a
similar line of business in the county.
8. A retailer having a person operating under its trade name,
pursuant to a franchise or license authorized by the retailer, if the
person so operating is required to collect the tax pursuant to NRS
374.200 .
9. A retailer who, pursuant to a contract with the operator of a
system of cable television located in the State, solicits orders for
tangible personal property by means of advertising which is transmitted
or distributed over a system of cable television in the county.
(Added to NRS by 1989, 1508; A 2001, 1716 )
330 to sale of property to certain members of
Nevada National Guard and their families. In administering the
provisions of NRS 374.330 , the
Department shall apply the exemption for the sale of tangible personal
property to the State of Nevada, its unincorporated agencies and
instrumentalities to include all tangible personal property that is sold
to:
1. A member of the Nevada National Guard who is engaged in
full-time National Guard duty, as defined in 10 U.S.C. § 101(d)(5) and
has been called into active service.
2. A relative of a member of the Nevada National Guard eligible
for the exemption pursuant to subsection 1 who:
(a) Resides in the same home or dwelling in this State as the
member; and
(b) Is related by blood, adoption or marriage within the first
degree of consanguinity or affinity to the member.
(Added to NRS by 2005, 2450 )
1. A person who wishes to claim an exemption pursuant to NRS
374.7285 must file an application with
the Department to obtain a letter of exemption. The application must be
on a form and contain such information as is required by the Department.
2. If the Department determines that a person is eligible for the
exemption provided pursuant to NRS 374.7285 , the Department shall issue a letter of
exemption to the person. The letter of exemption expires on the date on
which the person no longer meets the qualifications for eligibility.
3. To claim an exemption pursuant to NRS 374.7285 , for the sale of tangible personal property
to such a person:
(a) The person must provide a copy of the letter of exemption to
the retailer from whom the person purchases the property; and
(b) The retailer must retain and present upon request a copy of the
letter of exemption to the Department.
4. The Department shall adopt such regulations as are necessary to
carry out the provisions of this section.
(Added to NRS by 2005, 2450 )
330 to transfer of property pursuant to certain
agreements and to transfer of motor vehicle. In administering the
provisions of NRS 374.330 , the
Department shall apply the exemption for the sale of tangible personal
property to the State of Nevada, its unincorporated agencies and
instrumentalities, to include:
1. All tangible personal property that is transferred for use by a
state entity in accordance with an agreement executed pursuant to NRS
353.500 to 353.630 , inclusive; and
2. Any type of motor vehicle that is transferred for use by a
state entity or a county, city, district or other local entity, whether
by sale or lease and regardless of whether title to the vehicle passes to
the state or local entity at any time during the use of the vehicle.
(Added to NRS by 2001, 2482 ; A 2003, 1202 )
330 to sale of certain medical devices to
governmental entities.
1. In administering the provisions of NRS 374.330 , the Department shall apply the exemption to
the sale of a medical device to a governmental entity that is exempt
pursuant to that section without regard to whether the person using the
medical device or the governmental entity that purchased the device is
deemed to be the holder of title to the device if:
(a) The medical device was ordered or prescribed by a provider of
health care, within his scope of practice, for use by the person to whom
it is provided;
(b) The medical device is covered by Medicaid or Medicare; and
(c) The purchase of the medical device is made pursuant to a
contract between the governmental entity that purchases the medical
device and the person who sells the medical device to the governmental
entity.
2. As used in this section:
(a) “Medicaid” means the program established pursuant to Title XIX
of the Social Security Act, 42 U.S.C. §§ 1396 et seq., to provide
assistance for part or all of the cost of medical care rendered on behalf
of indigent persons.
(b) “Medicare” means the program of health insurance for aged and
disabled persons established pursuant to Title XVIII of the Social
Security Act, 42 U.S.C. §§ 1395 et seq.
(c) “Provider of health care” means a physician licensed pursuant
to chapter 630 , 630A or 633 of NRS,
dentist, licensed nurse, dispensing optician, optometrist, practitioner
of respiratory care, registered physical therapist, podiatric physician,
licensed psychologist, licensed audiologist, licensed speech pathologist,
licensed hearing aid specialist, licensed marriage and family therapist,
chiropractor or doctor of Oriental medicine in any form.
(Added to NRS by 2001, 1294 )
3305 to transfer of motor vehicle. In
administering the provisions of NRS 374.3305 , the Department shall apply the exemption for
the sale of tangible personal property to a nonprofit organization
created for religious, charitable or educational purposes to include any
type of motor vehicle that is transferred for use by such a nonprofit
organization, whether by sale or lease and regardless of whether title to
the vehicle passes to the nonprofit organization at any time during the
use of the vehicle.
(Added to NRS by 2005, 692 )
In administering the provisions
of this chapter, the Department shall not consider the furnishing of one
or more proofs by a photographer to a customer as a sale of tangible
personal property but rather as part of the rendition of the
photographer’s service, whether or not a separate charge is made for
furnishing the proof.
(Added to NRS by 1999, 1262 )
The Department may employ accountants,
auditors, investigators, assistants and clerks necessary for the
efficient administration of this chapter, and may delegate authority to
its representatives to conduct hearings, prescribe regulations or perform
any other duties imposed by this chapter.
(Added to NRS by 1967, 918; A 1975, 1738)
1. Notwithstanding any other provision of law, any broadcaster,
printer, outdoor advertising firm, advertising distributor or publisher
which broadcasts, publishes, displays or distributes paid commercial
advertising in a county which is intended to be disseminated primarily to
persons located in this State and is only secondarily disseminated to
bordering jurisdictions, including advertising appearing exclusively in
the Nevada edition or section of a national publication, must be
regarded, for the purposes set forth in subsection 2 only, as the agent
of the person or entity placing the advertisement, and as a retailer
maintaining a place of business in the county.
2. The agency created by this section is solely for the purpose of
the proper administration of this chapter, to prevent evasion of the use
tax and the duty to collect the use tax, and to provide a presence in the
county for the collection of the use tax by and from advertisers and
sellers who do not otherwise maintain a place of business in the county.
The agent has no responsibility to report, or liability to pay, any tax
imposed under this chapter and is not restricted by the provisions of
this chapter from accepting advertisements from out-of-state advertisers
or sellers who do not otherwise maintain a place of business in the
county.
(Added to NRS by 1989, 1508)
In administering the provisions of this chapter, the
Department shall not consider the activities of persons that are directly
related to the process of transmitting radio, television, cable
television or data signals, including the transmission of news or
information by data signal, the transmission of signals from one
broadcaster to another and from a broadcaster to a member of the public
and including the production and airing of any form of speech or
broadcast by radio or television, whether or not compensation is provided
to the broadcaster in connection therewith, to be transactions that are
taxable pursuant to the provisions of this chapter.
(Added to NRS by 1993, 2744)
1. Every seller, every retailer, and every person storing, using
or otherwise consuming in a county tangible personal property purchased
from a retailer shall keep such records, receipts, invoices and other
pertinent papers in such form as the Department may require.
2. Every such seller, retailer or person who files the returns
required under this chapter shall keep such records for not less than 4
years from the making of such records unless the Department in writing
sooner authorizes their destruction.
3. Every such seller, retailer or person who fails to file the
returns required under this chapter shall keep such records for not less
than 8 years from the making of such records unless the Department in
writing sooner authorizes their destruction.
(Added to NRS by 1967, 918; A 1975, 1738)
The Department, or any person authorized in writing by it, may examine
the books, papers, records and equipment of any person selling tangible
personal property and any person liable for the use tax and may
investigate the character of the business of the person in order to
verify the accuracy of any return made, or, if no return is made by the
person, to ascertain and determine the amount required to be paid.
(Added to NRS by 1967, 919; A 1975, 1738)
In
administration of the use tax, the Department may require the filing of
reports by any person or class of persons having in his or their
possession or custody information relating to sales of tangible personal
property, the storage, use or other consumption of which is subject to
the tax. The report shall:
1. Be filed when the Department requires.
2. Set forth the names and addresses of purchasers of the tangible
personal property, the sales price of the property, the date of sale, and
such other information as the Department may require.
(Added to NRS by 1967, 919; A 1975, 1738)
1. Except as otherwise provided in this section, it is a
misdemeanor for any member of the Nevada Tax Commission or officer, agent
or employee of the Department to make known in any manner whatever the
business affairs, operations or information obtained by an investigation
of records and equipment of any retailer or any other person visited or
examined in the discharge of official duty, or the amount or source of
income, profits, losses, expenditures or any particular thereof, set
forth or disclosed in any return, or to permit any return or copy
thereof, or any book containing any abstract or particulars thereof to be
seen or examined by any person not connected with the Department.
2. The Nevada Tax Commission may agree with any county fair and
recreation board or the governing body of any county, city or town for
the continuing exchange of information concerning taxpayers.
3. The Governor may, however, by general or special order,
authorize the examination of the records maintained by the Department
under this chapter by other state officers, by tax officers of another
state, by the Federal Government, if a reciprocal arrangement exists, or
by any other person. The information so obtained pursuant to the order of
the Governor may not be made public except to the extent and in the
manner that the order may authorize that it be made public.
4. Upon written request made by a public officer of a local
government, the Executive Director shall furnish from the records of the
Department, the name and address of the owner of any seller or retailer
who must file a return with the Department. The request must set forth
the social security number of the owner of the seller or retailer about
which the request is made and contain a statement signed by the proper
authority of the local government certifying that the request is made to
allow the proper authority to enforce a law to recover a debt or
obligation owed to the local government. The information obtained by the
local government is confidential and may not be used or disclosed for any
purpose other than the collection of a debt or obligation owed to that
local government. The Executive Director may charge a reasonable fee for
the cost of providing the requested information.
5. Successors, receivers, trustees, executors, administrators,
assignees and guarantors, if directly interested, may be given
information as to the items included in the measure and amounts of any
unpaid tax or amounts of tax required to be collected, interest and
penalties.
6. Relevant information may be disclosed as evidence in an appeal
by the taxpayer from a determination of tax due.
7. At any time after a determination, decision or order of the
Executive Director or other officer of the Department imposing upon a
person a penalty for fraud or intent to evade the tax imposed by this
chapter on the sale, storage, use or other consumption of any vehicle,
vessel or aircraft becomes final or is affirmed by the Commission, any
member of the Commission or officer, agent or employee of the Department
may publicly disclose the identity of that person and the amount of tax
assessed and penalties imposed against him.
(Added to NRS by 1967, 919; A 1975, 1738; 1983, 317, 764; 1989,
1161; 1995, 1069, 1579; 1999, 2499 )
PENALTIES
Any retailer
or other person who fails or refuses to furnish any return required to be
made, or who fails or refuses to furnish a supplemental return or other
data required by the Department, or who renders a false or fraudulent
return, shall be fined not more than $500 for each offense.
(Added to NRS by 1967, 919; A 1975, 1739; 1985, 286)
Any person required to
make, render, sign or verify any report who makes any false or fraudulent
return, with intent to defeat or evade the determination of an amount due
required by law to be made, shall for each offense be fined not less than
$300 nor more than $5,000, or be imprisoned for not exceeding 1 year in
the county jail, or be subject to both fine and imprisonment.
(Added to NRS by 1967, 919)
Any violation of this
chapter, except as otherwise provided, is a misdemeanor.
(Added to NRS by 1967, 920)
Any prosecution for violation
of any of the penal provisions of this chapter shall be instituted within
3 years after the commission of the offense.
(Added to NRS by 1967, 920)
In the
determination of any case arising under this chapter, the rule of res
judicata is applicable only if the liability involved is for the same
period as was involved in another case previously determined.
(Added to NRS by 1967, 920; A 1981, 293)
MISCELLANEOUS PROVISIONS
1. All fees, taxes, interest and penalties imposed and all amounts
of tax required to be paid to counties under this chapter must be paid to
the Department in the form of remittances payable to the Department.
2. The Department shall deposit the payments in the State Treasury
to the credit of the Sales and Use Tax Account in the State General Fund.
3. The State Controller, acting upon the collection data furnished
by the Department, shall, each month, from the Sales and Use Tax Account
in the State General Fund:
(a) Transfer .75 percent of all fees, taxes, interest and penalties
collected in each county during the preceding month to the appropriate
account in the State General Fund as compensation to the State for the
costs of collecting the tax.
(b) Transfer .75 percent of all fees, taxes, interest and penalties
collected during the preceding month from out-of-state businesses not
maintaining a fixed place of business within this State to the
appropriate account in the State General Fund as compensation to the
State for the costs of collecting the tax.
(c) Determine for each county the amount of money equal to the
fees, taxes, interest and penalties collected in the county pursuant to
this chapter during the preceding month less the amount transferred
pursuant to paragraph (a).
(d) Transfer the total amount of taxes collected pursuant to this
chapter during the preceding month from out-of-state businesses not
maintaining a fixed place of business within this State, less the amount
transferred pursuant to paragraph (b) and excluding any amounts required
to be remitted pursuant to NRS 360.850
and 360.855 , to the State Distributive
School Account in the State General Fund.
(e) Except as otherwise provided in NRS 387.528 or as required to carry out NRS 360.850 and 360.855 ,
transfer the amount owed to each county to the Intergovernmental Fund and
remit the money to the credit of the county school district fund.
(Added to NRS by 1967, 920; A 1971, 649, 2088; 1975, 1739; 1981,
259, 294, 303, 304, 1778; 1983, 2062; 1987, 418, 1427; 1989, 313; 1991,
2168; 1993, 1992; 1997, 459, 2714; 1999, 599 , 1907 ; 2001, 295 ; 2003, 2381 , 2938 ; 2005, 2372 )
The remedies of a
county provided for in this chapter are cumulative, and no action taken
by the Department, the Attorney General or a district attorney
constitutes an election by the county to pursue any remedy to the
exclusion of any other remedy for which provision is made in this chapter.
(Added to NRS by 1967, 920; A 1975, 1740)
In all
proceedings under this chapter the Department may act for and on behalf
of the counties of the State of Nevada.
(Added to NRS by 1967, 920; A 1975, 1740)
1. The governing body of an Indian reservation or Indian colony
may impose a tax on the privilege of selling tangible personal property
at retail on the reservation or colony.
2. If a sales tax is imposed, the governing body may establish
procedures for collecting the tax from any person authorized to do
business on the reservation or colony.
(Added to NRS by 1989, 1109)
The Department of Taxation shall not
collect the tax imposed by this chapter on the sale of tangible personal
property on an Indian reservation or Indian colony on which a tax has
been imposed pursuant to NRS 374.800 if:
1. The tax is equal to or greater than the tax imposed by this
chapter; and
2. A copy of an approved tribal tax ordinance imposing the tax has
been filed with the Department of Taxation.
(Added to NRS by 1989, 1109)
Nothing in this
chapter abridges the rights of any Indian, individual or tribe, or
infringes upon the sovereignty of any Indian tribe, organized under the
Indian Reorganization Act (25 U.S.C. §§ 476 et seq.).
(Added to NRS by 1989, 1109)
The imposition of taxes by this chapter, the categories of transactions
upon which taxes are imposed and the specification of exemptions are
exclusive. The Nevada Tax Commission and the Department shall not
construe any provision of this chapter to authorize the imposition of a
tax imposed by this chapter upon any transaction not expressly made
taxable by this chapter.
(Added to NRS by 1999, 1312 )
