Assembly Bill No. 359–Assemblyman Dini

March 2, 1999

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Referred to Committee on Commerce and Labor

 

SUMMARY—Dedicates portion of insurance premium tax for support of state fire marshal division of department of motor vehicles and public safety. (BDR 57-1067)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: Yes.

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. Green numbers along left margin indicate location on the printed bill (e.g., 5-15 indicates page 5, line 15).

 

AN ACT relating to the state fire marshal; dedicating a portion of the general tax on insurance premiums for the support of the state fire marshal division of the department of motor vehicles and public safety; specifying the permissible uses of the tax so dedicated; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

1-1 Section 1. NRS 680B.060 is hereby amended to read as follows:

1-2 680B.060 1. Except as otherwise provided in [subsection 6,]

1-3 subsections 6 and 7, the taxes imposed under NRS 680B.027 must be

1-4 collected by the department of taxation and promptly deposited with the

1-5 state treasurer for credit to the state general fund.

1-6 2. If the tax is not paid by the insurer on or before the date required for

1-7 payment, the tax then becomes delinquent, and payment thereof may be

1-8 enforced by court action instituted on behalf of the state by the attorney

1-9 general. The attorney general may employ additional counsel in the city

1-10 where the home office of the insurer is located, subject to approval of

1-11 compensation for such services by the state board of examiners. The

1-12 administrative and substantive enforcement provisions of chapters 360 and

1-13 372 of NRS apply to the enforcement of the taxes imposed under NRS

1-14 680B.027.

1-15 3. Upon the tax becoming delinquent, the executive director of the

1-16 department of taxation shall notify the commissioner, who shall suspend or

1-17 revoke the insurer’s certificate of authority pursuant to NRS 680A.190.

2-1 4. If a dispute arises between an insurer and the state as to the amount

2-2 of tax, if any, payable, the insurer is entitled to pay under protest the tax in

2-3 the amount assessed by the department of taxation, without waiving or

2-4 otherwise affecting any right of the insurer to recover any amount

2-5 determined, through appropriate legal action taken by the insurer against

2-6 the department of taxation, to have been in excess of the amount of tax

2-7 lawfully payable.

2-8 5. Except as otherwise provided in [subsection 6,] subsections 6 and

2-9 7, all taxes, fees, licenses, fines and charges collected under this code,

2-10 including the general premium tax provided for under NRS 680B.027 and

2-11 as increased in any instances pursuant to NRS 680A.330, must be promptly

2-12 deposited with the state treasurer for credit to the state general fund.

2-13 6. The taxes collected pursuant to NRS 680B.027 from insurers that

2-14 are writing industrial insurance in this state, including the state industrial

2-15 insurance system, which are attributable to industrial insurance must be

2-16 promptly deposited with the state treasurer for credit to the account for the

2-17 administration of extended claims established in the state insurance fund

2-18 pursuant to NRS 616B.087, until the commissioner notifies the state

2-19 treasurer that the balance in the account is sufficient to satisfy all

2-20 obligations and liabilities of the account as they become due. Upon receipt

2-21 of such a notice, the state treasurer shall discontinue depositing the taxes in

2-22 the account and shall deposit the taxes collected from these insurers for

2-23 credit to the state general fund.

2-24 7. One percent of the taxes collected pursuant to NRS 680B.027 from

2-25 insurers that are writing casualty insurance in this state which are

2-26 attributable to fire insurance must be promptly deposited with the state

2-27 treasurer for credit to the appropriate account of the state fire marshal

2-28 division of the department of motor vehicles and public safety, for use by

2-29 the state fire marshal division pursuant to section 2 of this act. The

2-30 commissioner shall determine which types of casualty insurance qualify

2-31 as fire insurance for the purpose of this subsection and notify the

2-32 executive director of the department of taxation concerning that

2-33 determination.

2-34 Sec. 2. Chapter 477 of NRS is hereby amended by adding thereto a

2-35 new section to read as follows:

2-36 Money deposited with the state treasurer and credited to the

2-37 appropriate account of the state fire marshal division pursuant to

2-38 subsection 7 of NRS 680B.060 must be used to pay expenses relating to:

2-39 1. The operation of the state fire marshal division; and

2-40 2. The provision of training programs administered by the state fire

2-41 marshal.

3-1 Sec. 3. 1. This section and section 2 of this act become effective on

3-2 July 1, 1999.

3-3 2. Section 1 of this act becomes effective at 12:01 a.m. on July 1,

3-4 1999.

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