Assembly Bill No. 584–Committee on Taxation

(On Behalf of Legislative Commission’s Study of the
Construction and Maintenance of Highways)

March 15, 1999

____________

Referred to Committee on Taxation

 

SUMMARY—Transfers responsibility for collection of taxes and fees imposed on certain fuels from department of taxation to department of motor vehicles and public safety and revises provisions relating to imposition and collection of tax on certain types of motor vehicle fuel. (BDR 32-212)

FISCAL NOTE: Effect on Local Government: Yes.

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 taxation; transferring the responsibility for the collection of taxes and fees imposed on certain fuels from the department of taxation to the department of motor vehicles and public safety; providing for the collection of the tax on certain types of motor vehicle fuel at the terminal rack by suppliers of those types of fuel; prohibiting exporters of certain types of motor vehicle fuel from selling or distributing those types of fuel in this state; providing a penalty; 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. Title 32 of NRS is hereby amended by adding thereto a

1-2 new chapter to consist of the provisions set forth as sections 2 to 45,

1-3 inclusive, of this act.

1-4 Sec. 2. As used in this chapter, "department" means the department

1-5 of motor vehicles and public safety.

1-6 Sec. 3. The department shall adopt such regulations as are

1-7 necessary to carry out the provisions of this chapter.

1-8 Sec. 4. 1. If a person fails to file a return or the department is not

1-9 satisfied with the return of any tax or fee required to be paid to the

1-10 department pursuant to chapter 365, 366 or 373 of NRS or NRS 590.120

2-1 or 590.840, the department may determine the amount required to be

2-2 paid upon the basis of:

2-3 (a) The facts contained in the return;

2-4 (b) Any information that is in the possession of the department or may

2-5 come into its possession; or

2-6 (c) Reasonable estimates of the amount.

2-7 2. One or more deficiency determinations may be made with respect

2-8 to the amount due for one or more periods.

2-9 3. In making its determination of the amount required to be paid, the

2-10 department shall impose interest on the amount of tax or fee determined

2-11 to be due, calculated at the rate and in the manner set forth in section 22

2-12 of this act.

2-13 4. The department shall impose a penalty of 10 percent in addition to

2-14 the amount of a determination that is made if a person fails to file a

2-15 return with the department.

2-16 5. If a business is discontinued, a determination may be made at any

2-17 time thereafter within the period prescribed in section 9 of this act

2-18 concerning liability arising out of that business, irrespective of whether

2-19 the determination is issued before the due date of the liability.

2-20 Sec. 5. In making a determination, the department may offset

2-21 overpayments for a period or periods, together with interest on the

2-22 overpayments, against underpayments for another period or periods or

2-23 against penalties and the interest on underpayments.

2-24 Sec. 6. If any part of the deficiency for which a deficiency

2-25 determination is made is because of negligence or intentional disregard

2-26 of any applicable provision of chapter 365, 366 or 373 of NRS or NRS

2-27 590.120 or 590.840, or the regulations of the department adopted

2-28 pursuant thereto, a penalty of 10 percent of the amount of the

2-29 determination must be added thereto.

2-30 Sec. 7. If any part of the deficiency for which a deficiency

2-31 determination is made is because of fraud or an intent to evade the

2-32 payment of a tax or fee required by chapter 365, 366 or 373 of NRS or

2-33 NRS 590.120 or 590.840, or the regulations of the department adopted

2-34 pursuant thereto, a penalty of 25 percent of the amount of the

2-35 determination must be added thereto.

2-36 Sec. 8. 1. The department shall give a person against whom a

2-37 determination has been made written notice of its determination.

2-38 2. The notice may be served personally or by mail. If served by mail,

2-39 the notice must be addressed to the person at his address as it appears in

2-40 the records of the department.

2-41 3. If the notice is served by mail, service is complete at the time the

2-42 notice is deposited with the United States Postal Service.

3-1 4. Service of notice tolls any limitation for the determination of a

3-2 further deficiency.

3-3 Sec. 9. 1. Except as otherwise provided in subsections 2, 3 and 4,

3-4 each notice of a deficiency determination issued by the department must

3-5 be personally served or mailed within 3 years after the last day of the

3-6 month following the period for which the amount is proposed to be

3-7 determined or within 3 years after the return is filed, whichever period

3-8 expires later.

3-9 2. In the case of a failure to make a return or a claim for an

3-10 additional amount, each notice of determination must be mailed or

3-11 personally served within 8 years after the last day of the month following

3-12 the period for which the amount is proposed to be determined.

3-13 3. If, before the expiration of the time prescribed in this section for

3-14 the mailing of a notice of determination, the taxpayer has signed a

3-15 waiver consenting to the mailing of the notice after that time, the notice

3-16 may be mailed at any time before the expiration of the period agreed

3-17 upon. The period so agreed upon may be extended by subsequent

3-18 agreements in writing if each agreement is made before the expiration of

3-19 the period previously agreed upon.

3-20 4. This section does not apply to cases of fraud or the intentional

3-21 evasion of a provision of chapter 365, 366 or 373 of NRS or NRS

3-22 590.120 or 590.840, or any regulation of the department adopted

3-23 pursuant thereto.

3-24 Sec. 10. 1. Any person against whom a deficiency determination is

3-25 made who believes that the determination is incorrect may petition the

3-26 department for a redetermination within 45 days after being served with

3-27 the notice of determination.

3-28 2. If a petition for redetermination is not filed within the period

3-29 prescribed in subsection 1, the person is deemed to have waived the right

3-30 to contest the determination or recover a refund.

3-31 3. For good cause shown, the department may extend the time within

3-32 which a petition for redetermination must be filed.

3-33 Sec. 11. A petition for redetermination must:

3-34 1. Set forth the amount of the determination that is contested and the

3-35 grounds for requesting a redetermination; and

3-36 2. If an oral hearing is not requested, be accompanied by the books

3-37 and records and other evidence which support the petition.

3-38 Sec. 12. 1. If a petition for redetermination is filed within the

3-39 period prescribed in section 10 of this act, the department shall

3-40 reconsider the determination and, if the person has so requested in the

3-41 petition, grant the person an oral hearing and give him at least 10 days’

3-42 notice of the time and place of the hearing.

4-1 2. The department may continue the hearing from time to time as

4-2 may be necessary.

4-3 Sec. 13. The department may decrease or increase the amount of the

4-4 determination before it becomes final, but the amount may be increased

4-5 only if a claim for the increase is asserted by the department before or

4-6 during the hearing.

4-7 Sec. 14. The order entered by an officer of the department upon a

4-8 petition for redetermination becomes final 30 days after service upon the

4-9 petitioner of notice thereof.

4-10 Sec. 15. 1. Before a person may request judicial review pursuant to

4-11 NRS 233B.130 from a final order of the department upon a petition for

4-12 redetermination, he must:

4-13 (a) Pay the amount of the determination; or

4-14 (b) Enter into a written agreement with the department that

4-15 establishes a later date by which he is required to pay the amount of the

4-16 determination.

4-17 2. If a court determines that the amount of the final order should be

4-18 reduced or that the person does not owe any taxes or fees, the department

4-19 shall credit or refund any amount paid by the person that exceeds the

4-20 amount owed.

4-21 Sec. 16. 1. The amount specified as deficient in a determination

4-22 made by the department pursuant to the provisions of sections 4 to 16,

4-23 inclusive, of this act is due at the time the determination becomes final.

4-24 2. If the amount specified as deficient in a determination is not paid

4-25 when the determination becomes final and the person against whom the

4-26 determination is made has not entered into a written agreement with the

4-27 department for the payment of the amount specified as deficient in the

4-28 determination, the department shall impose a penalty of 10 percent of the

4-29 amount specified as deficient in the determination, exclusive of interest

4-30 and penalties.

4-31 Sec. 17. Except as otherwise provided in NRS 365.340 and 366.397,

4-32 if the department grants an extension of time for paying any amount

4-33 required to be paid pursuant to chapter 365, 366 or 373 of NRS or NRS

4-34 590.120 or 590.840, a person who pays the amount within the period for

4-35 which the extension is granted shall pay, in addition to the amount

4-36 owing, interest at the rate of 1 percent per month from the date the

4-37 amount would have been due without the extension until the date of

4-38 payment.

4-39 Sec. 18. If a check submitted to the department for payment of any

4-40 tax or fee required by chapter 365, 366 or 373 of NRS or NRS 590.120 or

4-41 590.840 is dishonored upon presentment for payment, the department

4-42 may require that any future payments be made by cashier’s check,

4-43 traveler’s check, money order or cash.

5-1 Sec. 19. If the department believes that the collection of any amount

5-2 of taxes or fees due pursuant to chapter 365, 366 or 373 of NRS or NRS

5-3 590.120 or 590.840 will be jeopardized by delay, the department shall

5-4 make a determination of the amount required to be collected and serve

5-5 notice of the determination upon the person against whom it is made.

5-6 Sec. 20. The amount specified in the determination must be paid

5-7 within 10 days after the service of the notice of the determination unless

5-8 a petition for redetermination is filed within that period. If the amount of

5-9 the determination is not paid within that period and a petition for

5-10 redetermination is not filed, the determination becomes final and any

5-11 penalty for delinquency and interest provided for in this chapter attaches

5-12 to the amount of the determination.

5-13 Sec. 21. A person against whom a determination is made pursuant

5-14 to section 19 of this act may petition for a redetermination. The petition

5-15 is subject to the requirements of sections 10 to 16, inclusive, of this act,

5-16 except that the petition must be made within 10 days after service of the

5-17 notice of determination. A person who petitions for a redetermination

5-18 must deposit with the department within 10 days after service of the

5-19 notice of determination such security as the department determines is

5-20 necessary.

5-21 Sec. 22. Unless a different penalty or rate of interest is specifically

5-22 provided by statute, any person who fails to pay any tax or fee required

5-23 by chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840 to this

5-24 state or a county within the time required, shall pay a penalty of not more

5-25 than 10 percent of the amount of the tax or fee that is owed, as

5-26 determined by the department, in addition to the tax or fee, plus interest

5-27 at the rate of 1 percent per month, or fraction of a month, from the last

5-28 day of the month following the period for which the amount or any

5-29 portion of the amount should have been reported until the date of

5-30 payment.

5-31 Sec. 23. 1. If the director of the department or a hearing officer

5-32 designated by him finds that the failure of a person to make a timely

5-33 return or payment of a tax or fee required by chapter 365, 366 or 373 of

5-34 NRS or NRS 590.120 or 590.840 is the result of circumstances beyond

5-35 the control of the person and occurred despite the exercise of ordinary

5-36 care and without willful neglect, the department may relieve him of all or

5-37 part of any interest or penalty, or both.

5-38 2. A person requesting relief must file with the department a

5-39 statement signed, under penalty of perjury, that sets forth the facts upon

5-40 which he bases his claim for relief.

5-41 3. The department shall disclose, upon the request of any person:

5-42 (a) The name of the person to whom relief was granted; and

5-43 (b) The amount of the relief.

6-1 Sec. 24. The department may:

6-2 1. Enter into a written agreement with a person who is required to

6-3 pay the taxes or fees required by chapter 365, 366 or 373 of NRS or NRS

6-4 590.120 or 590.840 for the payment of delinquent taxes or fees, interest

6-5 or penalties imposed pursuant to those provisions.

6-6 2. Adopt regulations providing for:

6-7 (a) The payment of delinquent taxes or fees, interest or penalties upon

6-8 the execution of a written agreement between the department and such a

6-9 person; and

6-10 (b) The cancellation of such an agreement if the person becomes

6-11 delinquent in his payment of the delinquent taxes or fees, interest or

6-12 penalties owed to the department pursuant to the provisions of chapter

6-13 365, 366 or 373 of NRS or NRS 590.120 or 590.840.

6-14 Sec. 25. 1. If a person who is delinquent in the payment of any tax

6-15 or fee required by chapter 365, 366 or 373 of NRS or NRS 590.120 or

6-16 590.840 has not paid the amount of a deficiency determination, the

6-17 department may bring an action in a court of this state, a court of any

6-18 other state or a court of the United States to collect the delinquent or

6-19 deficient amount, penalties and interest. The action must be brought not

6-20 later than 3 years after the payment became delinquent or the

6-21 determination became final or within 5 years after the last recording of

6-22 an abstract of judgment or of a certificate constituting a lien for the tax

6-23 or fee owed.

6-24 2. The attorney general shall prosecute the action. The provisions of

6-25 NRS and the Nevada Rules of Civil Procedure and Nevada Rules of

6-26 Appellate Procedure relating to service of summons, pleadings, proofs,

6-27 trials and appeals are applicable to the proceedings. In the action, a writ

6-28 of attachment may issue. A bond or affidavit is not required before an

6-29 attachment may be issued.

6-30 3. In the action, a certificate by the department showing the

6-31 delinquency is prima facie evidence of:

6-32 (a) The determination of the tax or fee or the amount of the tax or fee;

6-33 (b) The delinquency of the amounts; and

6-34 (c) The compliance by the department with the procedures required by

6-35 law related to the computation and determination of the amounts.

6-36 Sec. 26. 1. If, with respect to any tax or fee required by chapter

6-37 365, 366 or 373 of NRS or NRS 590.120 or 590.840, a person:

6-38 (a) Fails to pay the tax or fee when due according to his return filed

6-39 with the department;

6-40 (b) Fails to pay a deficiency determination when due; or

6-41 (c) Defaults on a payment pursuant to a written agreement with the

6-42 department,

7-1 the department may, within 3 years after the amount is due, file in the

7-2 office of the clerk of any court of competent jurisdiction an application

7-3 for the entry of a summary judgment for the amount due.

7-4 2. The application must be accompanied by a certificate that

7-5 specifies:

7-6 (a) The amount required to be paid, including any interest and

7-7 penalties due;

7-8 (b) The name and address of the person liable for the payment, as they

7-9 appear on the records of the department;

7-10 (c) The basis for the determination of the department of the amount

7-11 due; and

7-12 (d) That the department has complied with the applicable provisions

7-13 of law relating to the determination of the amount required to be paid.

7-14 3. The application must include a request that judgment be entered

7-15 against the person in the amount required to be paid, including any

7-16 interest and penalties due, as set forth in the certificate.

7-17 Sec. 27. The county clerk shall, immediately upon the filing of the

7-18 application and certificate pursuant to section 26 of this act, enter a

7-19 judgment for the State of Nevada against the person liable for the

7-20 payment in the amount required to be paid, together with any penalties

7-21 and interest due as set forth in the certificate. The department shall serve

7-22 a copy of the judgment, together with the application and the certificate,

7-23 upon the person against whom the judgment is entered, by personal

7-24 service or by mailing a copy to his last known address as it appears in the

7-25 records of the department.

7-26 Sec. 28. Execution must issue upon the judgment upon request of

7-27 the department in the same manner as execution may issue upon other

7-28 judgments, and sales must be held under the execution, as provided in

7-29 chapter 21 of NRS.

7-30 Sec. 29. 1. An abstract of the judgment, or a copy thereof, may be

7-31 recorded in the office of the county recorder of any county.

7-32 2. From the time of its recordation, the abstract of the judgment

7-33 becomes a lien upon all real and personal property in that county which

7-34 the judgment debtor owns at the time, or which he may afterward

7-35 acquire, until the lien expires. The lien has the force, effect and priority

7-36 of a judgment lien and continues for 5 years after the date of the

7-37 judgment entered by the county clerk unless sooner released or otherwise

7-38 discharged.

7-39 Sec. 30. The lien may, within 5 years after the date of the judgment

7-40 or within 5 years after the last extension of the lien in the manner

7-41 provided in this section, be extended by recording in the office of the

7-42 county recorder an abstract or copy of the judgment, and from the time

8-1 of that recording, the lien must be extended upon the property in that

8-2 county for 5 years unless sooner released or otherwise discharged.

8-3 Sec. 31. The remedies provided for in sections 26 to 31, inclusive, of

8-4 this act are intended to supplement any other remedies provided for in

8-5 this chapter or chapter 365, 366 or 373 of NRS. The provisions of

8-6 sections 26 to 31, inclusive, of this act do not limit or repeal any

8-7 additional requirements imposed upon the department by statute, or

8-8 otherwise by law.

8-9 Sec. 32. 1. If any tax or fee required by chapter 365, 366 or 373 of

8-10 NRS or NRS 590.120 or 590.840 is not paid when due, the department

8-11 may, within 3 years after the date that the tax or fee became due, file for

8-12 record a certificate in the office of any county recorder which states:

8-13 (a) The amount of the tax or fee and any interest or penalties due;

8-14 (b) The name and address of the person who is liable for the amount

8-15 due as they appear on the records of the department; and

8-16 (c) That the department has complied with the procedures required by

8-17 law for determining the amount due.

8-18 2. From the time of the filing of the certificate, the amount due,

8-19 including interest and penalties, constitutes a lien upon all real and

8-20 personal property in the county owned by the person or acquired by him

8-21 afterwards and before the lien expires. The lien has the effect and

8-22 priority of a judgment lien and continues for 5 years after the time of the

8-23 filing of the certificate unless sooner released or otherwise discharged.

8-24 3. Within 5 years after the date of the filing of the certificate or

8-25 within 5 years after the date of the last extension of the lien pursuant to

8-26 this subsection, the lien may be extended by filing for record a new

8-27 certificate in the office of the county recorder of any county. From the

8-28 time of filing, the lien is extended to all real and personal property in the

8-29 county owned by the person or acquired by him afterwards for 5 years,

8-30 unless sooner released or otherwise discharged.

8-31 Sec. 33. 1. The department may release all or any portion of the

8-32 property subject to a lien imposed by the department or subordinate the

8-33 lien to other liens and encumbrances if it determines that the amount,

8-34 interest and penalties are secured sufficiently by a lien on other property

8-35 or that the release or subordination of the lien will not jeopardize the

8-36 collection of the amount, interest and penalties.

8-37 2. A certificate by the department stating that any property has been

8-38 released from the lien, or that the lien has been subordinated to other

8-39 liens and encumbrances, is conclusive evidence that the property has

8-40 been released or that the lien has been subordinated.

9-1 Sec. 34. 1. The amounts, including interest and penalties, required

9-2 to be paid by a person pursuant to chapter 365, 366 or 373 of NRS or

9-3 NRS 590.120 or 590.840 must be satisfied first if:

9-4 (a) The person is insolvent;

9-5 (b) The person makes a voluntary assignment of his assets;

9-6 (c) The estate of the person in the hands of executors, administrators

9-7 or heirs, before distribution, is insufficient to pay all the debts due from

9-8 the deceased; or

9-9 (d) The estate and effects of an absconding, concealed or absent

9-10 person required to pay any amount by force of such a revenue act are

9-11 levied upon by process of law.

9-12 2. This section does not give the State of Nevada a preference over:

9-13 (a) Any recorded lien that attached before the date when the amounts

9-14 required to be paid became a lien; or

9-15 (b) Any costs of administration, funeral expenses, expenses of

9-16 personal illness, family allowances or debts preferred pursuant to federal

9-17 law or wages as provided in NRS 150.220.

9-18 Sec. 35. 1. The department or its authorized representative may

9-19 issue a warrant for the enforcement of a lien and for the collection of

9-20 any delinquent taxes or fees required by chapter 365, 366 or 373 of NRS

9-21 or NRS 590.120 or 590.840:

9-22 (a) Within 3 years after the person is delinquent in the payment of the

9-23 tax or fee; or

9-24 (b) Within 5 years after the last recording of an abstract of judgment

9-25 or of a certificate constituting a lien for the tax or fee.

9-26 2. The warrant must be directed to a sheriff or constable and has the

9-27 same effect as a writ of execution.

9-28 3. The warrant must be levied and sale made pursuant to the warrant

9-29 in the same manner and with the same effect as a levy of and a sale

9-30 pursuant to a writ of execution.

9-31 Sec. 36. 1. If a person continues to engage in business in this state

9-32 without a permit or license as required by chapter 365 or 366 of NRS, or

9-33 after the license or permit has been suspended or revoked, the

9-34 department may, after providing notice to that person, order any place of

9-35 business of the person to be locked and sealed. If notice is served by mail,

9-36 it must be addressed to the person at his address as it appears in the

9-37 records of the department.

9-38 2. The order to lock and seal a place of business must be delivered to

9-39 the sheriff of the county in which the business is located. The sheriff

9-40 shall assist in the enforcement of the order.

10-1 Sec. 37. 1. The department may pay or advance to the sheriff or

10-2 constable the same fees, commissions and expenses for acting upon the

10-3 warrant as are provided by law for acting upon a writ of execution. The

10-4 department shall approve the fees for publication in a newspaper.

10-5 Approval from a court is not required for publication.

10-6 2. The fees, commissions and expenses are the obligation of the

10-7 person against whom the warrant is issued.

10-8 Sec. 38. 1. If a person is delinquent in the payment of any tax or

10-9 fee required by chapter 365, 366 or 373 of NRS or NRS 590.120 or

10-10 590.840, or if a determination has been made against him that remains

10-11 unpaid, the department may:

10-12 (a) Not later than 3 years after the payment became delinquent or the

10-13 determination became final; or

10-14 (b) Not later than 5 years after the last recording of an abstract
10-15 of judgment or of a certificate constituting a lien for the tax or fee
10-16 owed,

10-17 give a notice of the delinquency and a demand to transmit personally or

10-18 by registered or certified mail to any person, including, without

10-19 limitation, any officer or department of this state or any political

10-20 subdivision or agency of this state, who has in his possession or under his

10-21 control any credits or other personal property belonging to the delinquent

10-22 taxpayer, or owing any debts to the delinquent taxpayer or person against

10-23 whom a determination has been made which remains unpaid, or owing

10-24 any debts to the delinquent taxpayer or that person. In the case of any

10-25 state officer, department or agency, the notice must be given to the

10-26 officer, department or agency before it presents the claim of the

10-27 delinquent taxpayer to the state controller.

10-28 2. A state officer, department or agency which receives such a notice

10-29 may satisfy any debt owed to it by that person before it honors the notice

10-30 of the department.

10-31 3. After receiving the demand to transmit, the persons so notified

10-32 may not transfer or otherwise dispose of the credits, other personal

10-33 property, or debts in their possession or under their control at the time

10-34 they received the notice until the department consents to a transfer or

10-35 other disposition.

10-36 4. Each person so notified shall, within 10 days after receipt of the

10-37 demand to transmit, inform the department of, and transmit to the

10-38 department all such credits, other personal property, or debts in his

10-39 possession, under his control or owing by him within the time and in the

10-40 manner requested by the department. Except as otherwise provided in

10-41 subsection 5, no further notice is required to be served upon that person.

11-1 5. If the property of the delinquent taxpayer consists of a series of

11-2 payments owed to him, the person who owes or controls the payments

11-3 shall transmit the payments to the department until otherwise notified by

11-4 the department. If the debt of the delinquent taxpayer is not paid within 1

11-5 year after the department issued the original demand to transmit, the

11-6 department shall issue another demand to transmit to the person

11-7 responsible for making the payments informing him to continue to

11-8 transmit payments to the department or that his duty to transmit the

11-9 payments to the department has ceased.

11-10 6. If the notice of the delinquency seeks to prevent the transfer or

11-11 other disposition of a deposit in a bank or other credits or personal

11-12 property in the possession or under the control of a bank or other

11-13 depository institution, the notice must be delivered or mailed to the

11-14 branch or office of the bank or other depository institution at which the

11-15 deposit is carried or at which the credits or personal property is held.

11-16 7. If any person so notified makes any transfer or other disposition

11-17 of the property or debts required to be withheld or transmitted, to the

11-18 extent of the value of the property or the amount of the debts thus

11-19 transferred or paid, he is liable to this state for any indebtedness due

11-20 pursuant to chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840

11-21 from the person with respect to whose obligation the notice was given if

11-22 solely by reason of the transfer or other disposition, this state is unable to

11-23 recover the indebtedness of the person with respect to whose obligation

11-24 the notice was given.

11-25 Sec. 39. In carrying out the provisions of section 38 of this act, the

11-26 department shall determine as early as possible whether there have been

11-27 withheld or transmitted sufficient liquid assets to satisfy the claim of this

11-28 state. As soon as the department determines that the assets have been

11-29 withheld or transmitted, it shall consent to a transfer or other disposition

11-30 of the assets in excess of that amount.

11-31 Sec. 40. 1. If a person who is liable for any tax or fee required by

11-32 chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840 sells any

11-33 portion of his business or stock of goods not in the ordinary course of

11-34 business or quits the business, his successors or assignees shall:

11-35 (a) If the business or stock of goods was purchased for money,

11-36 withhold from the purchase price the amount due; or

11-37 (b) If the business or stock of goods was not purchased for money,

11-38 withhold a sufficient portion of the assets of the business or stock of

11-39 goods which, if sold, would equal the amount due,

11-40 until the former owner provides the successors or assignees with a receipt

11-41 or certificate from the department indicating that he paid the amount

11-42 due.

12-1 2. A successor or assignee who fails to withhold the amount required

12-2 pursuant to subsection 1 becomes personally liable for the payment of the

12-3 amount required to be withheld by him to the extent of the consideration

12-4 paid for the business or stock of goods, valued in money.

12-5 3. The department shall issue a certificate of the amount due to the

12-6 successor or assignee:

12-7 (a) Not later than 60 days after receiving a written request from the

12-8 successor or assignee for such a certificate; or

12-9 (b) Not later than 60 days after the date the records of the former

12-10 owner are made available for audit,

12-11 whichever period expires later, but not later than 90 days after receiving

12-12 the request.

12-13 4. If the department fails to mail the certificate, the successor or

12-14 assignee is released from any further obligation to withhold any portion

12-15 of the purchase price, business or stock of goods.

12-16 5. The time within which the obligation of the successor or assignee

12-17 may be enforced begins when the person who is liable for the tax or fee

12-18 sells or assigns all or any portion of his business or stock of goods or

12-19 when the determination against the person becomes final, whichever

12-20 occurs later.

12-21 Sec. 41. 1. At any time within 3 years after a person has become

12-22 delinquent in the payment of any amount of taxes or fees due pursuant to

12-23 chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840, the

12-24 department may seize any property, real or personal, of the person and

12-25 sell the property, or a sufficient part of it, at public auction to pay the

12-26 amount due, together with any interest or penalties imposed for the

12-27 delinquency and any costs incurred on account of the seizure and sale.

12-28 2. Any seizure made to collect a tax or fee due may be only of the

12-29 property of the person not exempt from execution under the provisions of

12-30 law.

12-31 Sec. 42. The department may adopt regulations that prescribe the

12-32 manner in which a person who does not owe any taxes or fees to the

12-33 department may claim an ownership interest in property transmitted to or

12-34 seized by the department. The regulations must set forth:

12-35 1. The procedure for asserting such a claim; and

12-36 2. The circumstances under which the department will honor the

12-37 claim.

12-38 Sec. 43. The notice of a sale and the time and place of the sale must

12-39 be given to the delinquent person in writing at least 10 days before the

12-40 date set for the sale. The notice must:

12-41 1. Include:

12-42 (a) A description of the property to be sold;

13-1 (b) A statement of the amount due, including interest, penalties and

13-2 costs;

13-3 (c) The name of the delinquent person; and

13-4 (d) A statement that unless the amount due, interest, penalties and

13-5 costs are paid on or before the time fixed in the notice for the sale, the

13-6 property, or as much of it as is necessary, will be sold in accordance with

13-7 law and the notice;

13-8 2. Be enclosed in an envelope addressed to the person at his last

13-9 known address or place of business in this state and deposited in the

13-10 United States Postal Service, postage prepaid; and

13-11 3. Be published for at least 10 days before the date set for the sale in

13-12 a newspaper of general circulation published in the county in which the

13-13 property seized will be sold. If there is no newspaper of general

13-14 circulation in the county, notice must be posted in three public places in

13-15 the county 10 days before the date set for the sale.

13-16 Sec. 44. 1. At a sale described in section 43 of this act, the

13-17 department shall sell the property in accordance with law and the notice

13-18 and deliver to the purchaser a bill of sale for the personal property and a

13-19 deed for any real property sold. The bill of sale or deed vests the interest

13-20 or title of the person liable for the amount in the purchaser.

13-21 2. The unsold portion of any property seized may be left at the place

13-22 of sale at the risk of the person liable for the amount.

13-23 Sec. 45. 1. If, upon the sale, the money received exceeds the total

13-24 of all amounts, including interest, penalties and costs due this state, the

13-25 department shall return the excess to the person liable for the amounts

13-26 and obtain his receipt.

13-27 2. If a person who has an interest in or lien upon the property files

13-28 with the department a notice of his interest or lien before the sale, the

13-29 department shall withhold any excess pending a determination of the

13-30 rights of the respective parties to it by a court of competent jurisdiction.

13-31 3. If the receipt of the person liable for the amount is not available,

13-32 the department shall deposit the excess money with the state treasurer, as

13-33 trustee for the owner, subject to the order of the person liable for the

13-34 amount, his heirs, successors or assigns.

13-35 Sec. 46. NRS 360.001 is hereby amended to read as follows:

13-36 360.001 As used in this Title, except as otherwise provided in chapters

13-37 364, 365, 366 , [and] 371 and 373 of NRS and unless the context requires

13-38 otherwise:

13-39 1. "Department" means the department of taxation.

13-40 2. "Executive director" means the executive director of the department

13-41 of taxation.

14-1 Sec. 47. NRS 360.300 is hereby amended to read as follows:

14-2 360.300 1. If a person fails to file a return or the department is not

14-3 satisfied with the return or returns of any tax, contribution or premium or

14-4 amount of tax, contribution or premium required to be paid to the state by

14-5 any person, in accordance with the applicable provisions of [NRS

14-6 482.313,] this chapter , [or] chapter 362, 364A, [365,] 369, 370, 372,

14-7 372A, [373,] 374, 377, 377A [, 444A, 585, 590] or 444A of NRS, NRS

14-8 482.313, or chapter 585 or 680B of NRS as administered or audited by the

14-9 department, it may compute and determine the amount required to be paid

14-10 upon the basis of:

14-11 (a) The facts contained in the return;

14-12 (b) Any information within its possession or that may come into its

14-13 possession; or

14-14 (c) Reasonable estimates of the amount.

14-15 2. One or more deficiency determinations may be made with respect to

14-16 the amount due for one or for more than one period.

14-17 3. In making its determination of the amount required to be paid, the

14-18 department shall impose interest on the amount of tax determined to be

14-19 due, calculated at the rate and in the manner set forth in NRS 360.417,

14-20 unless a different rate of interest is specifically provided by statute.

14-21 4. The department shall impose a penalty of 10 percent in addition to

14-22 the amount of a determination that is made in the case of [a person’s] the

14-23 failure of a person to file a return with the department.

14-24 5. When a business is discontinued, a determination may be made at

14-25 any time thereafter within the time prescribed in NRS 360.355 as to

14-26 liability arising out of that business, irrespective of whether the

14-27 determination is issued before the due date of the liability.

14-28 Sec. 48. NRS 360.417 is hereby amended to read as follows:

14-29 360.417 Unless a different penalty or rate of interest is specifically

14-30 provided by statute, any person who fails to pay any tax provided for in

14-31 chapter 362, 364A, [365,] 369, 370, 372, [373,] 374, 377, 377A, 444A or

14-32 585 of NRS, or the fee provided for in NRS 482.313 [or 590.700 to

14-33 590.920, inclusive,] to the state or a county within the time required, shall

14-34 pay a penalty of not more than 10 percent of the amount of the tax or fee

14-35 which is owed, as determined by the department, in addition to the tax or

14-36 fee, plus interest at the rate of 1 percent per month, or fraction of a month,

14-37 from the last day of the month following the period for which the amount

14-38 or any portion of the amount should have been reported until the date of

14-39 payment.

14-40 Sec. 49. NRS 360.419 is hereby amended to read as follows:

14-41 360.419 1. If the executive director or a designated hearing officer

14-42 finds that [a person’s] the failure of a person to make a timely return or

14-43 payment of a tax imposed pursuant to NRS 361.320 or chapter 361A,

15-1 376A, 377 or 377A of NRS, or by chapter 362, 364A, [365,] 369, 370,

15-2 372, 372A, [373,] 374, 375A or 375B of NRS, is the result of

15-3 circumstances beyond his control and occurred despite the exercise of

15-4 ordinary care and without intent, the department may relieve him of all or

15-5 part of any interest or penalty or both.

15-6 2. A person seeking this relief must file with the department a

15-7 statement under oath setting forth the facts upon which he bases his claim.

15-8 3. The department shall disclose, upon the request of any person:

15-9 (a) The name of the person to whom relief was granted; and

15-10 (b) The amount of the relief.

15-11 4. The executive director or a designated hearing officer shall act upon

15-12 the request of a taxpayer seeking relief pursuant to NRS 361.4835 which is

15-13 deferred by a county treasurer or county assessor.

15-14 Sec. 50. NRS 360.510 is hereby amended to read as follows:

15-15 360.510 1. If any person is delinquent in the payment of any tax or

15-16 fee administered by the department or if a determination has been made

15-17 against him which remains unpaid, the department may:

15-18 (a) Not later than 3 years after the payment became delinquent or the

15-19 determination became final; or

15-20 (b) Not later than 5 years after the last recording of an abstract of

15-21 judgment or of a certificate constituting a lien for tax owed,

15-22 give a notice of the delinquency and a demand to transmit personally or by

15-23 registered or certified mail to any person, including, without limitation, any

15-24 officer or department of [the] this state or any political subdivision or

15-25 agency of [the] this state, who has in his possession or under his control

15-26 any credits or other personal property belonging to the delinquent, or

15-27 owing any debts to the delinquent or person against whom a determination

15-28 has been made which remains unpaid, or owing any debts to the delinquent

15-29 or that person. In the case of any state officer, department or agency, the

15-30 notice must be given to the officer, department or agency before [it] the

15-31 department presents the claim of the delinquent taxpayer to the state

15-32 controller.

15-33 2. A state officer, department or agency which receives such a notice

15-34 may satisfy any debt owed to it by that person before it honors the

15-35 [department’s notice.] notice of the department.

15-36 3. After receiving the demand to transmit, the [persons so] person

15-37 notified by the demand may not transfer or otherwise dispose of the

15-38 credits, other personal property, or debts in [their] his possession or under

15-39 [their] his control at the time [they] he received the notice until the

15-40 department consents to a transfer or other disposition.

15-41 4. [All persons so] Every person notified by a demand to transmit

15-42 shall, within 10 days after receipt of the demand to transmit, inform the

15-43 department of, and transmit to the department all such credits, other

16-1 personal property, or debts in [their] his possession, under [their] his

16-2 control or owing by [them] him within the time and in the manner

16-3 requested by the department. Except as otherwise provided in subsection 5,

16-4 no further notice is required to be served to [those persons.] that person.

16-5 5. If the property of the delinquent taxpayer consists of a series of

16-6 payments owed to him, the person who owes or controls the payments

16-7 shall transmit the payments to the department until otherwise notified by

16-8 the department. If the debt of the delinquent taxpayer is not paid within 1

16-9 year after the department issued the original demand to transmit, [it] the

16-10 department shall issue another demand to transmit to the person

16-11 responsible for making the payments informing him to continue to transmit

16-12 payments to the department or that his duty to transmit the payments to the

16-13 department has ceased.

16-14 6. If the notice of the delinquency seeks to prevent the transfer or other

16-15 disposition of a deposit in a bank or other credits or personal property in

16-16 the possession or under the control of a bank or other depository

16-17 institution, the notice must be delivered or mailed to the branch or office of

16-18 the bank or other depository institution at which the deposit is carried or at

16-19 which the credits or personal property is held.

16-20 7. If any person [so] notified by the notice of the delinquency makes

16-21 any transfer or other disposition of the property or debts required to be

16-22 withheld or transmitted, to the extent of the value of the property or the

16-23 amount of the debts thus transferred or paid, he is liable to the state for any

16-24 indebtedness due pursuant to [NRS 482.313,] this chapter , or chapter 362,

16-25 364A, [365,] 369, 370, 372, 372A, [373,] 374, 377, 377A [, 444A, 585,

16-26 590] or 444A of NRS, NRS 482.313, or chapter 585 or 680B of NRS from

16-27 the person with respect to whose obligation the notice was given if solely

16-28 by reason of the transfer or other disposition the state is unable to recover

16-29 the indebtedness of the person with respect to whose obligation the notice

16-30 was given.

16-31 Sec. 51. Chapter 365 of NRS is hereby amended by adding thereto the

16-32 provisions set forth as sections 52 to 66, inclusive, of this act.

16-33 Sec. 52. "Department" means the department of motor vehicles and

16-34 public safety.

16-35 Sec. 53. "Exporter" means a person, other than a supplier, who

16-36 receives motor vehicle fuel, other than aviation fuel, in this state and sells

16-37 or distributes that fuel outside this state.

16-38 Sec. 54. "Rack" means a deck, platform or open bay which consists

16-39 of a series of metered pipes and hoses for delivering motor vehicle fuel

16-40 from a refinery or terminal into a motor vehicle, rail car or vessel.

17-1 Sec. 55. "Supplier" means a person who:

17-2 1. Imports or acquires immediately upon importation into this state

17-3 motor vehicle fuel, except aviation fuel, from within or without a state,

17-4 territory or possession of the United States or the District of Columbia

17-5 into a terminal located in this state; or

17-6 2. Otherwise acquires for distribution in this state motor vehicle fuel,

17-7 except aviation fuel, with respect to which there has been no previous

17-8 taxable sale or use.

17-9 Sec. 56. "Terminal" means a facility for the storage of motor vehicle

17-10 fuel which is supplied by a motor vehicle, pipeline or vessel and from

17-11 which motor vehicle fuel is removed for distribution at a rack.

17-12 Sec. 57. 1. Except as otherwise provided in subsection 2, a person

17-13 shall not import, sell, distribute, use or store motor vehicle fuel, except

17-14 aviation fuel, in this state for which the taxes imposed pursuant to NRS

17-15 365.180 to 365.192, inclusive, and section 59 of this act, have not been

17-16 paid.

17-17 2. A supplier may import or store motor vehicle fuel for which the

17-18 taxes imposed pursuant to NRS 365.180 to 365.192, inclusive, and

17-19 section 59 of this act, have not been paid.

17-20 Sec. 58. 1. Except as otherwise provided in subsections 2 and 3,

17-21 each supplier who sells or distributes motor vehicle fuel, other than

17-22 aviation fuel, shall, at the time the motor vehicle fuel is distributed from

17-23 a terminal, collect the taxes imposed pursuant to NRS 365.180 to

17-24 365.192, inclusive, and section 59 of this act.

17-25 2. A supplier may sell motor vehicle fuel, other than aviation fuel, to

17-26 a purchaser without collecting the taxes imposed pursuant to NRS

17-27 365.180 to 365.192, inclusive, and section 59 of this act, if the purchaser

17-28 of the motor vehicle fuel:

17-29 (a) Has been issued a permit by the department pursuant to section 62

17-30 of this act; and

17-31 (b) Elects to defer payment of the taxes.

17-32 3. A supplier shall not collect the taxes imposed pursuant to NRS

17-33 365.180 to 365.192, inclusive, and section 59 of this act if the purchaser

17-34 of the motor vehicle fuel is:

17-35 (a) A supplier; or

17-36 (b) An exporter.

17-37 4. A supplier who sells motor vehicle fuel, other than aviation fuel, to

17-38 any other supplier shall keep such records of the transaction as the

17-39 department may require. The department shall adopt regulations setting

17-40 forth:

17-41 (a) The records which must be kept by the dealer pursuant to this

17-42 subsection; and

17-43 (b) The period for which those records must be kept by the dealer.

18-1 Sec. 59. 1. Except as otherwise provided in section 65 of this act,

18-2 every supplier shall, not later than the 25th day of each calendar month:

18-3 (a) Submit to the department a statement of all motor vehicle fuel,

18-4 except aviation fuel, sold, distributed or used by him in this state; and

18-5 (b) Pay an excise tax on all motor vehicle fuel, except aviation fuel, in

18-6 the amount of 17.65 cents per gallon sold, distributed or used in the

18-7 manner prescribed in this chapter.

18-8 2. A supplier shall hold the amount of all taxes collected pursuant to

18-9 this chapter in a separate account in trust for the state.

18-10 Sec. 60. 1. Except as otherwise provided in subsection 2, in

18-11 calculating the amount of tax on motor vehicle fuel, other than aviation

18-12 fuel, a supplier owes to the department, the supplier may deduct from the

18-13 amount due pursuant to NRS 365.180 to 365.192, inclusive, and section

18-14 59 of this act any amount that is due but has not been paid by a

18-15 purchaser who is authorized by the department to defer payment of the

18-16 tax pursuant to section 62 of this act. If such a deduction is claimed, the

18-17 claim must identify the purchaser and the amount of the taxes that he

18-18 failed to pay.

18-19 2. A supplier shall not deduct from the amount he owes the

18-20 department pursuant to subsection 1 any amount that has not been paid

18-21 by a person whose permit to defer the payment of the tax has been

18-22 revoked pursuant to subsection 4 of section 62 of this act if, before the

18-23 motor vehicle fuel, other than aviation fuel, was purchased, the supplier

18-24 was notified by the department pursuant to subsection 5 of section 62 of

18-25 this act that it had revoked the permit of the purchaser.

18-26 Sec. 61. Each exporter shall, not later than the 25th day of each

18-27 month, submit to the department a written statement which sets forth:

18-28 1. The number of gallons of motor vehicle fuel, other than aviation

18-29 fuel, he received during the previous month;

18-30 2. The number of gallons of motor vehicle fuel, other than aviation

18-31 fuel, he sold or distributed outside this state;

18-32 3. The name and mailing address of each person to whom he sold or

18-33 distributed motor vehicle fuel, other than aviation fuel, outside this state;

18-34 and

18-35 4. The number of gallons of motor vehicle fuel, other than aviation

18-36 fuel, he sold or distributed to each person to whom he sold or distributed

18-37 the fuel outside this state.

18-38 Sec. 62. 1. A purchaser of motor vehicle fuel, other than aviation

18-39 fuel, who wishes to defer payment to the supplier of the taxes imposed

18-40 pursuant to NRS 365.180 to 365.192, inclusive, and section 59 of this act

18-41 until 20 days after the end of the month in which the fuel is purchased

18-42 must apply for a permit to defer payment of the taxes.

19-1 2. The department may require an applicant for a permit to defer

19-2 payment of the taxes imposed pursuant to NRS 365.180 to 365.192,

19-3 inclusive, and section 59 of this act, to provide a bond executed by him as

19-4 principal, and by a corporation qualified pursuant to the laws of this

19-5 state as surety, payable to this state. The bond must indemnify the

19-6 department against any deduction claimed pursuant to section 60 of this

19-7 act by a supplier because of the failure of the principal to pay the taxes as

19-8 required by this chapter.

19-9 3. If a purchaser of motor vehicle fuel, other than aviation fuel:

19-10 (a) Has been issued a permit to defer the payment of the taxes

19-11 imposed pursuant to NRS 365.180 to 365.192, inclusive, and section 59

19-12 of this act; and

19-13 (b) Elects to defer payment of the taxes,

19-14 he shall, not later than 20 days after the end of the month in which the

19-15 fuel is purchased, pay the taxes to the supplier by electronic transfer of

19-16 money.

19-17 4. If a purchaser fails to make a payment to a supplier as required by

19-18 this section, the department may:

19-19 (a) Revoke the permit of the purchaser;

19-20 (b) If the purchaser was required to provide a bond pursuant to

19-21 subsection 2, require the purchaser to increase the amount of the bond;

19-22 or

19-23 (c) Take any other action to ensure that the taxes imposed pursuant to

19-24 NRS 365.180 to 365.192, inclusive, and section 59 of this act are paid.

19-25 5. The department shall notify each supplier in this state when it

19-26 revokes a permit issued pursuant to this section.

19-27 6. The department shall adopt regulations to carry out the provisions

19-28 of this section.

19-29 7. As used in this section, "electronic transfer of money" means any

19-30 transfer of money, other than a transaction initiated by a check, draft or

19-31 other similar instrument, that is initiated through an electronic terminal,

19-32 telephone, computer or magnetic tape to order, instruct or authorize a

19-33 financial institution or person holding an account on behalf of a

19-34 purchaser or motor vehicle fuel to debit an account.

19-35 Sec. 63. 1. Each supplier shall prepare and provide a record of

19-36 shipment to each person who purchases more than 25 gallons of motor

19-37 vehicle fuel, other than aviation fuel, and transports the fuel from the

19-38 place of purchase. The record of the shipment must include the:

19-39 (a) Place where the fuel was purchased;

19-40 (b) Place to which the purchaser declares the fuel will be transported;

19-41 (c) Number of gallons of fuel transported; and

19-42 (d) Name and address of the purchaser of the fuel.

20-1 2. Each person who transports motor vehicle fuel, other than

20-2 aviation fuel, in this state shall:

20-3 (a) Keep the record of shipment required by subsection 1 in the

20-4 vehicle in which the fuel is transported until the fuel is delivered to the

20-5 purchaser; and

20-6 (b) Upon request from a peace officer, allow the peace officer to

20-7 inspect the record of shipment.

20-8 Sec. 64. An exporter shall not sell or distribute motor vehicle fuel,

20-9 other than aviation fuel, in this state. An exporter who violates the

20-10 provisions of this section:

20-11 1. Is guilty of a misdemeanor; and

20-12 2. Shall, within the period prescribed in section 59 of this act, pay to

20-13 the department the taxes imposed pursuant to NRS 365.180 to 365.192,

20-14 inclusive, and section 59 of this act on all motor vehicle fuel, other than

20-15 aviation fuel, sold or distributed in this state.

20-16 Sec. 65. 1. The department may, for good cause, extend for not

20-17 more than 30 days the period for making any report or return required

20-18 pursuant to this chapter. The extension may be granted at any time if:

20-19 (a) A request for an extension has been filed with the department

20-20 within or before the period for which the extension may be granted; and

20-21 (b) A remittance of the estimated tax is made when the remittance is

20-22 due.

20-23 2. Any report, return, remittance to cover a payment or claim for

20-24 credit or refund required by this chapter which is transmitted through the

20-25 United States mail shall be deemed filed or received by the department on

20-26 the date indicated on the post office cancellation mark stamped upon the

20-27 envelope containing it, or on the date it was mailed if proof satisfactory

20-28 to the department establishes that the document or remittance was timely

20-29 deposited in the United States mail and properly addressed to the

20-30 department.

20-31 Sec. 66. 1. The department may impose an administrative fine, not

20-32 to exceed $2,500, for a violation of any provision of this chapter, or any

20-33 regulation or order adopted or issued pursuant thereto. The department

20-34 shall afford to any person so fined an opportunity for a hearing pursuant

20-35 to the provisions of NRS 233B.121.

20-36 2. All administrative fines collected by the department pursuant to

20-37 subsection 1 must be deposited with the state treasurer to the credit of the

20-38 state highway fund.

20-39 3. In addition to any other remedy provided by this chapter, the

20-40 department may compel compliance with any provision of this chapter

20-41 and any regulation or order adopted or issued pursuant thereto by

20-42 injunction or other appropriate remedy. The department may institute

21-1 and maintain in the name of the State of Nevada any such enforcement

21-2 proceedings.

21-3 Sec. 67. NRS 365.010 is hereby amended to read as follows:

21-4 365.010 [Except where] As used in this chapter, unless the context

21-5 otherwise requires, the [definitions given in this chapter govern the

21-6 construction of this chapter.] words and terms defined in NRS 365.015 to

21-7 365.080, inclusive, and sections 52 to 56, inclusive, of this act, have the

21-8 meanings ascribed to them in those sections.

21-9 Sec. 68. NRS 365.020 is hereby amended to read as follows:

21-10 365.020 1. "Dealer" means every person who:

21-11 (a) Refines, manufactures, compounds or otherwise produces [motor

21-12 vehicle] aviation fuel or fuel for jet or turbine-powered aircraft and sells or

21-13 distributes the same in this state.

21-14 (b) [Refines, manufactures, compounds or otherwise produces ethyl

21-15 alcohol for use in a petroleum-ethanol mixture and sells or distributes the

21-16 same in this state.

21-17 (c) Imports motor vehicle] Imports aviation fuel or fuel for jet or

21-18 turbine-powered aircraft into this state and sells or distributes it therein,

21-19 whether in the original package or container in which it is imported or

21-20 otherwise, or who uses the [motor vehicle] aviation fuel or fuel for jet or

21-21 turbine-powered aircraft in this state after having imported the fuel.

21-22 [(d)] (c) Having acquired [motor vehicle] aviation fuel or fuel for jet or

21-23 turbine-powered aircraft in this state in the original package or container,

21-24 distributes or sells it in the original package or container or otherwise, or in

21-25 any manner uses the fuel.

21-26 [(e)] (d) Otherwise acquires in this state for sale, use or distribution in

21-27 this state [motor vehicle] aviation fuel or fuel for jet or turbine-powered

21-28 aircraft with respect to which there has been no prior taxable sale, use or

21-29 distribution.

21-30 2. "Dealer" does not include any person who imports into this state

21-31 [motor vehicle] aviation fuel, fuel for jet or turbine-powered aircraft [, or

21-32 ethyl alcohol] in quantities of 500 gallons or less purchased from [a

21-33 supplier] another dealer who is licensed [as a dealer] under this chapter

21-34 and who assumes liability for the collection and remittance of the

21-35 applicable excise tax to this state.

21-36 Sec. 69. NRS 365.080 is hereby amended to read as follows:

21-37 365.080 "Retailer" means [every] :

21-38 1. Any person, other than a dealer [as defined in NRS 365.020,] who is

21-39 engaged in the business of selling motor vehicle fuel or fuel for jet or

21-40 turbine-powered aircraft [.] ; or

22-1 2. Any person in the business of handling motor vehicle fuel, other

22-2 than aviation fuel, who delivers or authorizes the delivery of fuel into the

22-3 fuel supply tank or tanks of a motor vehicle that is not owned or

22-4 controlled by him.

22-5 Sec. 70. NRS 365.130 is hereby amended to read as follows:

22-6 365.130 1. The department [shall have power, by itself or by its

22-7 duly] or its authorized agents [, to] may make any audit, examination or

22-8 inquiry of and concerning the records, stocks, facilities, equipment and

22-9 transactions of dealers, suppliers, retailers of petroleum products and

22-10 carriers [thereof,] of petroleum products, and such other investigations as

22-11 it [may deem necessary in carrying] deems necessary to carry out the

22-12 provisions of this chapter.

22-13 2. If any investigation discloses that any report or any payment has

22-14 been incorrect, the department may make such changes in subsequent

22-15 reports and payments as may be necessary to correct the error so disclosed.

22-16 Sec. 71. NRS 365.170 is hereby amended to read as follows:

22-17 365.170 1. [Every] Except as otherwise provided in section 65 of

22-18 this act, every dealer shall, not later than the 25th day of each calendar

22-19 month:

22-20 (a) Render to the department a statement of all [motor vehicle] aviation

22-21 fuel and fuel for jet or turbine-powered aircraft sold, distributed or used by

22-22 him in [the State of Nevada,] this state, as well as all such fuel sold,

22-23 distributed or used in this state by a purchaser thereof upon which sale,

22-24 distribution or use the dealer has assumed liability for the tax thereon

22-25 pursuant to NRS 365.020, during the preceding calendar month; and

22-26 (b) Pay an excise tax on:

22-27 (1) All fuel for jet or turbine-powered aircraft in the amount of 1 cent

22-28 per gallon, plus any amount imposed by the county in which the fuel is

22-29 sold, distributed or used pursuant to NRS 365.203; and

22-30 (2) Aviation fuel in the amount of 2 cents per gallon, plus any

22-31 amount imposed by the county in which the fuel is sold, distributed or used

22-32 pursuant to NRS 365.203 , [; and

22-33 (3) All other motor vehicle fuel in the amount of 17.65 cents per

22-34 gallon,]

22-35 so sold, distributed or used, in the manner and within the time prescribed in

22-36 this chapter.

22-37 2. A dealer shall hold the amount of all taxes collected pursuant to this

22-38 chapter in a separate account in trust for the state.

22-39 [3. The department for good cause may extend for not more than 30

22-40 days the time for making any report or return required pursuant to this

22-41 chapter. The extension may be granted at any time if:

22-42 (a) A request therefor has been filed with the department within or

22-43 before the period for which the extension may be granted; and

23-1 (b) A remittance of the estimated tax is made when due.

23-2 4. Any report, return, remittance to cover a payment or claim for credit

23-3 or refund required by this chapter which is transmitted through the United

23-4 States mail shall be deemed filed or received by the department on the date

23-5 shown by the post office cancellation mark stamped upon the envelope

23-6 containing it, or on the date it was mailed if proof satisfactory to the

23-7 department establishes that the document or remittance was timely

23-8 deposited in the United States mail properly addressed to the department.]

23-9 Sec. 72. NRS 365.180 is hereby amended to read as follows:

23-10 365.180 1. In addition to any other tax provided for in this chapter,

23-11 there is hereby levied an excise tax of 3.6 cents per gallon on all motor

23-12 vehicle fuel, except aviation fuel.

23-13 2. This tax must be accounted for by each [dealer] supplier and be

23-14 collected in the manner provided in this chapter. The tax must be paid to

23-15 the department and delivered by the department to the state treasurer.

23-16 Sec. 73. NRS 365.185 is hereby amended to read as follows:

23-17 365.185 1. In addition to any other tax provided for in this chapter,

23-18 there [must be] is hereby levied an excise tax on gasoline.

23-19 2. This tax must be imposed and will increase if the tax collected by

23-20 the Federal Government pursuant to the provisions of 26 U.S.C. § 4081 or

23-21 any other tax collected by the Federal Government relating to gasoline is

23-22 reduced or discontinued in whole or in part. The amount of the tax so

23-23 imposed by this state must be equal to the amount by which the federal tax

23-24 is reduced.

23-25 3. This tax must be accounted for by each [dealer] supplier and

23-26 collected in the manner provided in this chapter. The tax must be paid to

23-27 the department and delivered by the department to the state treasurer.

23-28 Sec. 74. NRS 365.190 is hereby amended to read as follows:

23-29 365.190 1. Subject to the provisions of subsection 3, in addition to

23-30 any other tax provided for in this chapter, there is hereby levied an excise

23-31 tax of 1.75 cents per gallon on all motor vehicle fuel, except aviation fuel.

23-32 2. [This tax must be accounted for by each dealer as to the county in

23-33 which it is sold to the retailer and] The tax imposed pursuant to this

23-34 section must be collected by the supplier in the manner provided in this

23-35 chapter. Upon the collection of the tax by the supplier, the purchaser of

23-36 the fuel shall provide to the supplier a statement that sets forth the

23-37 number of gallons of fuel that will be sold to retailers in each county in

23-38 this state. The tax must be paid to the department and delivered by the

23-39 department to the state treasurer. When the tax is paid to the department,

23-40 the supplier shall provide to the department a copy of the statement

23-41 provided to the supplier by the purchaser pursuant to this subsection.

24-1 3. The provisions of this section shall be deemed to be optional. The

24-2 board of county commissioners of any county may decline to accept the

24-3 additional tax levied pursuant to this section by the adoption of a

24-4 resolution passed before July 1, 1947, which must be reconsidered and

24-5 passed once each year within 60 days before July 1 of each year as long as

24-6 the board of county commissioners desires so to act. Upon the adoption of

24-7 such a resolution no tax may be collected.

24-8 Sec. 75. NRS 365.192 is hereby amended to read as follows:

24-9 365.192 1. In addition to any other tax provided for in this chapter,

24-10 there is hereby levied an excise tax of 1 cent per gallon on motor vehicle

24-11 fuel, except aviation fuel.

24-12 2. [This tax must be accounted for by each dealer as to the county in

24-13 which the motor vehicle fuel is sold to the retailer and] The tax imposed

24-14 pursuant to this section must be collected by the supplier in the manner

24-15 provided in this chapter. Upon the collection of the tax by the supplier,

24-16 the purchaser of the fuel shall provide to the supplier a statement that

24-17 sets forth the number of gallons of fuel that will be sold to retailers in

24-18 each county in this state. The tax must be paid to the department and

24-19 delivered by the department to the state treasurer. When the tax is paid to

24-20 the department, the supplier shall provide to the department a copy of the

24-21 statement provided to the supplier by the purchaser pursuant to this

24-22 subsection.

24-23 Sec. 76. NRS 365.196 is hereby amended to read as follows:

24-24 365.196 1. The receipts of the tax as levied in NRS 365.192 must be

24-25 allocated monthly by the department to the counties in [which the tax

24-26 payments originate.] proportion to the number of gallons of fuel that are

24-27 sold to the retailers in each county pursuant to the information contained

24-28 in the statements provided to the department pursuant to NRS 365.192.

24-29 2. Each county must apportion the receipts of that tax among the

24-30 county, for unincorporated areas of the county, and each incorporated city

24-31 in the county. The county and each city are respectively entitled to receive

24-32 each month that proportion of those receipts which its total population

24-33 bears to the total population of the county.

24-34 3. During the month immediately preceding each January 1 and July 1,

24-35 the county treasurer of each county shall, when necessary and after a

24-36 hearing, adopt a regulation which provides for the accurate apportionment

24-37 of those receipts in the county during the ensuing 6 months.

24-38 4. The money apportioned to the county or a city must be used by it

24-39 solely to repair or restore existing paved roads, streets and alleys, other

24-40 than those maintained by the Federal Government and this state, by

24-41 resurfacing, overlaying, resealing or other such customary methods.

25-1 Sec. 77. NRS 365.200 is hereby amended to read as follows:

25-2 365.200 1. In addition to any other taxes provided for by this

25-3 chapter, every person who [shall use] uses any inflammable or combustible

25-4 liquid or other material other than motor vehicle fuel [as defined in NRS

25-5 365.060] to operate a motor vehicle on the highways of this state, except

25-6 special fuel as defined in NRS 366.060, shall pay an excise tax as provided

25-7 by NRS [365.170,] 365.180 and 365.190 and section 59 of this act for

25-8 each gallon thereof so used, and shall render monthly statements and make

25-9 monthly payments at the times and in the manner prescribed for [dealers] a

25-10 supplier in this chapter.

25-11 2. Any owner or operator of a motor vehicle who [shall import]

25-12 imports motor vehicle fuel or other fuel or material, except special fuel as

25-13 defined in NRS 366.060, into this state, from another state or from federal

25-14 proprietary lands or reservations, in the fuel tank or tanks of any such

25-15 motor vehicle in a quantity exceeding 25 gallons shall, upon demand of the

25-16 department or its [duly] authorized agent, pay to the department on such

25-17 excess motor vehicle fuel the excise tax required to be paid by [dealers.

25-18 3. Nothing in this chapter shall be construed to] a supplier.

25-19 3. The provisions of this chapter do not require more than one

25-20 payment of any excise tax upon or in respect to the same fuel.

25-21 Sec. 78. NRS 365.205 is hereby amended to read as follows:

25-22 365.205 1. A retailer of [motor vehicle] aviation fuel who receives

25-23 or sells [motor vehicle] aviation fuel for which the taxes imposed pursuant

25-24 to this chapter have not been paid is liable for the taxes and any applicable

25-25 penalty or interest if the retailer knew or should have known that the

25-26 applicable taxes on the fuel had not been paid.

25-27 2. For the purposes of subsection 1, a retailer who verifies the

25-28 identification number printed on the delivery ticket of the dealer shall be

25-29 deemed to have acted without knowledge of the fact of nonpayment.

25-30 Sec. 79. NRS 365.207 is hereby amended to read as follows:

25-31 365.207 1. A responsible person who willfully fails to collect or pay

25-32 to the department the tax imposed by this chapter or who willfully attempts

25-33 to evade the payment of the tax is jointly and severally liable with the

25-34 dealer or supplier for the tax owed , plus interest and all applicable

25-35 penalties. The responsible person shall pay the tax upon notice from the

25-36 department that it is due.

25-37 2. As used in this section, "responsible person" includes:

25-38 (a) An officer or employee of a corporation; and

25-39 (b) A member or employee of a partnership or limited-liability
25-40 company,

25-41 whose job or duty it is to collect, account for or pay to the department the

25-42 tax imposed by this chapter.

26-1 Sec. 80. NRS 365.220 is hereby amended to read as follows:

26-2 365.220 The provisions of this chapter requiring the payment of excise

26-3 taxes do not apply to : [any of the following:]

26-4 1. Motor vehicle fuel [so long as] if it remains in interstate or foreign

26-5 commerce.

26-6 2. Motor vehicle fuel , except aviation fuel, exported from this state

26-7 by a supplier.

26-8 3. Aviation fuel or fuel for jet or turbine-powered aircraft exported

26-9 from this state by a dealer.

26-10 [3.] 4. Motor vehicle fuel or fuel for jet or turbine-powered aircraft

26-11 sold to the United States Government for official use of the United States

26-12 Armed Forces.

26-13 [4.] 5. Motor vehicle fuel , other than aviation fuel, distributed or

26-14 delivered on the order of the owner, to a supplier, or aviation fuel or fuel

26-15 for jet or turbine-powered aircraft distributed [,] or delivered on the order

26-16 of the owner, to a dealer [who] , if the dealer or supplier has furnished

26-17 security in the amount prescribed in NRS 365.290 and [who] has

26-18 established to the satisfaction of the department that the security is

26-19 sufficient to ensure payment of all excise taxes as they may become due to

26-20 the state from him under this chapter. Every dealer or supplier who claims

26-21 an exemption shall report the distributions to the department in such detail

26-22 as the department may require. If he does not do so, the exemption granted

26-23 in this subsection is void and all fuel is considered distributed in this state

26-24 subject fully to the provisions of this chapter.

26-25 [5.] 6. Leaded racing fuel. As used in this subsection, "leaded racing

26-26 fuel" means motor vehicle fuel that contains lead and is produced for

26-27 motor vehicles that are designed and built for racing and not for operation

26-28 on a public highway.

26-29 Sec. 81. NRS 365.230 is hereby amended to read as follows:

26-30 365.230 1. The provisions of this chapter requiring the payment of

26-31 excise taxes do not apply to [motor] :

26-32 (a) Motor vehicle fuel , other than aviation fuel, sold by a supplier; or

26-33 (b) Aviation fuel or fuel for jet or turbine-powered aircraft sold by a

26-34 dealer ,

26-35 in individual quantities of 500 gallons or less for export to another state or

26-36 country by the purchaser other than in the supply tank of a motor vehicle

26-37 or an aircraft, if the dealer or supplier is licensed in the state of destination

26-38 to collect and remit the applicable destination state taxes thereon.

26-39 2. In support of any exemption from taxes on account of sales of

26-40 motor vehicle fuel or fuel for jet or turbine-powered aircraft in individual

26-41 quantities of 500 gallons or less for export by the purchaser, the dealer or

26-42 supplier who sold the fuel to the purchaser shall retain in his files for at

26-43 least 3 years an export certificate executed by the purchaser in such form

27-1 and containing such information as is prescribed by the department. This

27-2 certificate is prima facie evidence of the exportation of the motor vehicle

27-3 fuel or fuel for jet or turbine-powered aircraft to which it applies only if

27-4 accepted by the dealer or supplier in good faith. If the purchaser fails to

27-5 export any part of the motor vehicle fuel or fuel for jet or turbine-powered

27-6 aircraft covered by the certificate, he shall remit to the department

27-7 immediately thereafter the applicable amount in taxes due on the part not

27-8 exported. Upon failure to do so the purchaser is subject to all penalties in

27-9 this chapter for delinquency in payment of taxes.

27-10 Sec. 82. NRS 365.240 is hereby amended to read as follows:

27-11 365.240 1. Every dealer and supplier shall report such exports and

27-12 sales to the department at such times, on such forms and in such detail as

27-13 the department may require.

27-14 2. Every dealer and supplier shall mark clearly upon each invoice

27-15 rendered for sales upon which no excise tax is required under NRS

27-16 365.220 and 365.230 "Ex Nevada Motor Vehicle Fuel Tax" or "Ex Nevada

27-17 Fuel for Jet or Turbine-Powered Aircraft Tax," whichever is applicable.

27-18 Sec. 83. NRS 365.270 is hereby amended to read as follows:

27-19 365.270 1. After April 1, 1935, it [shall be] is unlawful for any

27-20 person to be a dealer without holding a license of a dealer as provided for

27-21 in this chapter.

27-22 2. After January 1, 2000, it is unlawful for any person to be a

27-23 supplier without holding a license of a supplier as provided for in this

27-24 chapter.

27-25 Sec. 84. NRS 365.280 is hereby amended to read as follows:

27-26 365.280 1. Before becoming a dealer [, every] or supplier, a person

27-27 shall apply to the department, on forms to be prescribed and furnished by

27-28 the department, for a license authorizing the applicant to engage in

27-29 business as a dealer [.] or supplier.

27-30 2. The fee for each license issued [shall] must be $5 . [, which shall]

27-31 The fee must be paid to the department. All [such fees shall] fees paid to

27-32 the department must be delivered by the department to the state treasurer

27-33 and [shall] must be credited by him to the state highway fund.

27-34 Sec. 85. NRS 365.290 is hereby amended to read as follows:

27-35 365.290 1. Before granting any license the department shall require

27-36 the applicant to file with the department a bond executed by the applicant

27-37 as principal, and by a corporation qualified under the laws of this state as

27-38 surety, payable to [the State of Nevada,] this state and conditioned upon

27-39 the faithful performance of all the requirements of this chapter and upon

27-40 the punctual payment of all excise taxes, penalties and other obligations of

27-41 the applicant as a dealer [.] or supplier.

28-1 2. The total amount of the bond or bonds required of any dealer or

28-2 supplier may be fixed by the department at three times the estimated

28-3 maximum monthly tax, determined in such a manner as the department

28-4 deems proper. If the department determines that a person is habitually

28-5 delinquent in the payment of amounts due pursuant to this chapter, it may

28-6 increase the amount of his security to not more than five times the

28-7 estimated maximum monthly tax. When cash or a savings certificate,

28-8 certificate of deposit or investment certificate is used, the amount required

28-9 must be rounded off to the next larger integral multiple of $100, within the

28-10 same upper limit.

28-11 3. The department may increase or decrease the amount of security

28-12 required by this section subject to the limitations provided in this section.

28-13 4. No recovery on any bond, nor the execution of any new bond, nor

28-14 the revocation, cancellation or suspension of any license affects the

28-15 validity of any bond.

28-16 5. In lieu of any bond or bonds, a dealer or supplier may deposit with

28-17 the department, under such terms and conditions as the department may

28-18 prescribe, a like amount of lawful money of the United States or any other

28-19 form of security authorized by NRS 100.065. If security is provided in the

28-20 form of a savings certificate, certificate of deposit or investment certificate,

28-21 the certificate must state that the amount is unavailable for withdrawal

28-22 except upon order of the department.

28-23 Sec. 86. NRS 365.300 is hereby amended to read as follows:

28-24 365.300 1. Upon approval of the application the department shall

28-25 issue to the dealer or supplier:

28-26 (a) An identification number; and

28-27 (b) A nonassignable license with a duplicate copy for each place of

28-28 business of the dealer or supplier in this state.

28-29 2. Each license and all duplicates must bear the [dealer’s]

28-30 identification number [.] of the dealer or supplier.

28-31 3. The license continues in force until canceled, suspended or revoked.

28-32 4. The dealer or supplier shall have his identification number printed

28-33 on each of his delivery tickets.

28-34 Sec. 87. NRS 365.310 is hereby amended to read as follows:

28-35 365.310 1. The department [shall have power to] may suspend,

28-36 cancel or revoke the license of any dealer or supplier refusing or

28-37 neglecting to comply with the provisions of this chapter.

28-38 2. If a dealer or supplier becomes delinquent in the payment of excise

28-39 taxes as prescribed by this chapter to the extent that his liability exceeds

28-40 the total amount of the bond or bonds furnished by the dealer [,] or

28-41 supplier, the department shall suspend his license immediately.

29-1 3. Before revoking or canceling any license issued under this chapter,

29-2 the department shall send a notice by registered or certified mail to the

29-3 dealer or supplier at his last known address. The notice [shall] must order

29-4 the dealer or supplier to show cause why his license should not be revoked

29-5 by appearing before the department at Carson City, Nevada, or such other

29-6 place in this state as may be designated by the department, at a time not

29-7 less than 10 days after the mailing of the notice. The department shall

29-8 allow the dealer or supplier an opportunity to be heard in pursuance of

29-9 [such] the notice, and thereafter the department [shall have full power to]

29-10 may revoke or cancel his license.

29-11 Sec. 88. NRS 365.330 is hereby amended to read as follows:

29-12 365.330 1. The excise taxes prescribed in this chapter [shall] must be

29-13 paid on or before the 25th day of each calendar month to the department.

29-14 The department shall deliver [all such] the taxes to the state treasurer, who

29-15 shall [receipt] provide to the dealer , supplier or user [therefor.] a receipt

29-16 for the payment of the taxes.

29-17 2. From the tax found to be due upon any statement [duly and

29-18 punctually rendered,] submitted by a dealer pursuant to NRS 365.170 or a

29-19 user pursuant to NRS 365.200, the dealer or user [shall be allowed to

29-20 deduct] may retain an amount equal to 2 percent [thereof] of the amount

29-21 of the tax collected to cover the dealer’s or user’s costs of collection of the

29-22 tax and of compliance with this chapter and the dealer’s or user’s handling

29-23 losses occasioned by evaporation, spillage or other similar causes.

29-24 3. Each supplier may retain an amount equal to 2 percent of the

29-25 amount of the tax collected by the supplier as a fee for making the

29-26 collection. If the motor vehicle fuel for which the tax was collected by the

29-27 supplier is sold to a purchaser who has been issued a permit pursuant to

29-28 section 62 of this act, the supplier:

29-29 (a) Is entitled to retain one-half of the fee; and

29-30 (b) Shall distribute one-half of the fee to the purchaser. If the fuel is

29-31 resold by that purchaser to another purchaser who has been issued a

29-32 permit pursuant to section 62 of this act, the purchaser who sells the fuel

29-33 to the subsequent purchaser shall distribute to that subsequent purchaser

29-34 one-half of the fee he received from the supplier.

29-35 Sec. 89. NRS 365.340 is hereby amended to read as follows:

29-36 365.340 1. If the amount of any excise tax for any month is not paid

29-37 to the state on or before the 25th day of the next month, it becomes

29-38 delinquent at the close of business on that day. A dealer , supplier or user

29-39 may have up to 15 additional days to make the payment [,] if he makes

29-40 application to the department and the department finds good cause for the

29-41 extension.

30-1 2. The proceeds from any penalty levied for the delinquent payment of

30-2 an excise tax must be allocated proportionately to the state highway fund,

30-3 the county gas tax funds, the account for taxes on aviation fuel and the

30-4 account for taxes on fuel for jet or turbine-powered aircraft by the

30-5 department.

30-6 Sec. 90. NRS 365.380 is hereby amended to read as follows:

30-7 365.380 1. A claimant for refund must present to the department a

30-8 refund claim form accompanied by the original invoices showing the

30-9 purchase. The refund forms must state the total amount of fuel so

30-10 purchased and used otherwise than for the propulsion of motor vehicles or

30-11 jet or turbine-powered aircraft and the manner and the equipment in which

30-12 the claimant has used the fuel.

30-13 2. A claimant for refund of tax on motor vehicle fuel or fuel for jet or

30-14 turbine-powered aircraft purchased and exported from this state shall

30-15 execute and furnish to the department a certificate of exportation on such

30-16 form as may be prescribed by the department.

30-17 3. An invoice to qualify for refund must contain at least:

30-18 (a) The number of gallons of fuel purchased;

30-19 (b) The price per gallon;

30-20 (c) The total purchase price of the fuel; and

30-21 (d) Such other information as may be prescribed by the department.

30-22 4. The signature on the refund claim form subjects the claimant to the

30-23 charge of perjury for false statements contained on the refund application.

30-24 5. Daily records must be maintained and preserved for a period of 3

30-25 years for audit purposes of all motor vehicle fuel and fuel for jet or turbine-

30-26 powered aircraft used. The record must set forth:

30-27 (a) The piece of equipment being supplied with the fuel;

30-28 (b) The number of gallons of fuel used in each fill; and

30-29 (c) The purpose for which the piece of equipment will be used.

30-30 The gasoline fills must be further classified [as to on- or off-highway use.]

30-31 according to whether the gasoline was used on or off the highway.

30-32 6. If a motor vehicle with auxiliary equipment consumes motor vehicle

30-33 fuel and there is no auxiliary motor or separate tank for the motor, a refund

30-34 of 20 percent of the tax paid on the fuel used in the vehicle may be claimed

30-35 without the necessity of furnishing proof of the amount of fuel consumed

30-36 in the operation of the auxiliary equipment. [Where claims for refund

30-37 exceed 20 percent the] The department shall, by regulation, establish

30-38 uniform refund provisions for the respective classes of users [.] who claim

30-39 refunds of more than 20 percent of the tax paid.

30-40 7. No person may be granted a refund of motor vehicle fuel taxes for

30-41 off-highway use when the consumption takes place on highways

30-42 constructed and maintained by public funds, on federal proprietary lands or

30-43 reservations where the claimant has no ownership or control over the land

31-1 or highways, except when the person is under a contractual relationship

31-2 with the Federal Government or one of its agencies and is engaged in the

31-3 performance of his duties pursuant to that relationship. Employment of a

31-4 person by the Federal Government or any of its agencies does not

31-5 constitute a contractual relationship for the purpose of this subsection.

31-6 8. [When] If, in the opinion of the department , it would be beneficial

31-7 to the state for a refund claimant to become a licensed dealer [,] or

31-8 supplier, the claimant may, at the option of the department, be required to

31-9 become a licensed dealer or supplier rather than a refund claimant unless

31-10 the claimant chooses to claim refunds at the tax rate, less 2 percent.

31-11 Sec. 91. NRS 365.390 is hereby amended to read as follows:

31-12 365.390 Upon the presentation of [such affidavits,] the invoices,

31-13 written statements, tax exemption certificates or exportation certificates [,]

31-14 required pursuant to this chapter, the department shall cause to be repaid

31-15 to the claimant from the taxes collected under this chapter an amount equal

31-16 to the taxes [so] paid by the claimant less the percentage allowed the dealer

31-17 , supplier or user pursuant to NRS 365.330.

31-18 Sec. 92. NRS 365.440 is hereby amended to read as follows:

31-19 365.440 In lieu of the collection and refund of the tax on motor

31-20 vehicle fuel or fuel for jet or turbine-powered aircraft used by a dealer or

31-21 supplier in such a manner as would entitle a purchaser to claim a refund

31-22 under the provisions of this chapter, or in lieu of the refund of any prior

31-23 erroneous payment of tax on motor vehicle fuel or fuel for jet or turbine-

31-24 powered aircraft to the department made by a dealer [,] or supplier, credit

31-25 may be given the dealer or supplier upon his tax return and assessment.

31-26 Sec. 93. NRS 365.460 is hereby amended to read as follows:

31-27 365.460 After payment of any excise tax under protest duly verified,

31-28 served on the department, and setting forth the grounds of objection to the

31-29 legality of the excise tax, the dealer or supplier paying the excise tax may

31-30 bring an action against the state treasurer in the district court in and for

31-31 Carson City for the recovery of the excise tax so paid under protest.

31-32 Sec. 94. NRS 365.490 is hereby amended to read as follows:

31-33 365.490 A judgment shall not be rendered in favor of the plaintiff in

31-34 any action brought against the state treasurer to recover any excise tax paid

31-35 under this chapter when such action is brought by or in the name of an

31-36 assignee of the dealer or supplier paying the excise tax, or by any person,

31-37 company or corporation other than the person, company or corporation

31-38 which has paid the excise tax.

31-39 Sec. 95. NRS 365.500 is hereby amended to read as follows:

31-40 365.500 1. Every dealer shall cause to be kept a true record, in such

31-41 form as may be prescribed or approved by the department, of all stocks of

31-42 motor vehicle fuel and fuel for jet or turbine-powered aircraft and of other

31-43 inflammable or combustible liquids, and of all manufacture, refining,

32-1 compounding, blending, purchases, receipts, transportations, use, sales and

32-2 distribution thereof.

32-3 2. [Such] The records are subject to inspection at all times within

32-4 business hours by the department or its authorized agents, and must remain

32-5 available for inspection for a period of 3 years [from] after the date of any

32-6 entry therein.

32-7 3. [Should any dealer wish] If a dealer wishes to keep proper books

32-8 and records pertaining to business done in Nevada elsewhere than within

32-9 the State of Nevada for inspection as provided in this section, he must pay

32-10 a fee for the examination in an amount per day equal to the amount set by

32-11 law for out-of-state travel for each day or fraction thereof during which the

32-12 examiner is actually engaged in examining the [dealer’s books,] books of

32-13 the dealer, plus the actual expenses of the examiner during the time that

32-14 the examiner is absent from Carson City, Nevada, for the purpose of

32-15 making the examination , [;] but the time must not exceed 1 day going to

32-16 and 1 day coming from the place where the examination is to be made in

32-17 addition to the number of days or fractions thereof the examiner is actually

32-18 engaged in auditing the dealer’s books. Not more than two such

32-19 examinations may be charged against any dealer in any year.

32-20 4. Any money received must be deposited by the department to the

32-21 credit of the fund or operating account from which the expenditures for the

32-22 examination were paid.

32-23 5. Upon the demand of the department [or at such times as the tax

32-24 commission may prescribe by regulation, every] , each dealer shall furnish

32-25 a statement showing the contents of the records to such extent [,] and in

32-26 such detail and [in such] form as the department may require.

32-27 Sec. 96. NRS 365.530 is hereby amended to read as follows:

32-28 365.530 1. Every person transporting on any highway [of the State

32-29 of Nevada motor vehicle] in this state aviation fuel or fuel for jet or

32-30 turbine-powered aircraft or other inflammable or combustible liquids in an

32-31 amount of 25 gallons or more shall have in his possession at all times

32-32 [during such transportation] while transporting the fuel an invoice, bill of

32-33 sale or other document showing the name and address of the seller or

32-34 consignor and of the buyer or consignee, if any, of the product so

32-35 transported.

32-36 2. Any person engaged in transporting [motor vehicle] aviation fuel or

32-37 fuel for jet or turbine-powered aircraft or other inflammable or

32-38 combustible liquids by tank truck or tank truck and trailer to be delivered

32-39 to a dealer or any reseller of such products or to persons known to the trade

32-40 as commercial consumers is required only to have in his possession

32-41 adequate evidence showing the amount of the [motor vehicle] aviation

32-42 fuel, fuel for jet or turbine-powered aircraft or other inflammable or

32-43 combustible liquids loaded in his conveyance at the time the conveyance

33-1 left its loading point, and the name and address of the dealer who has

33-2 assumed or is charged with the responsibility for the payment of the tax

33-3 due thereon, if any. The date of the delivery [thereto] of the fuel to the

33-4 dealer must be furnished to the department upon request.

33-5 3. A person shall produce and exhibit the documentation and evidence

33-6 required to be in his possession by this section to any sheriff, deputy

33-7 sheriff, police officer or authorized agent of the department upon request.

33-8 If the person fails to produce the documentation and evidence, the sheriff,

33-9 deputy sheriff, police officer or authorized agent of the department may

33-10 seize and detain the truck and trailer and the fuel or other inflammable or

33-11 combustible liquid until the documentation and evidence are produced and

33-12 any taxes due are paid.

33-13 Sec. 97. NRS 365.535 is hereby amended to read as follows:

33-14 365.535 1. It is declared to be the policy of the State of Nevada to

33-15 apply the tax on motor vehicle fuel paid on fuel used in watercraft for

33-16 recreational purposes during each calendar year, which is hereby declared

33-17 to be not refundable to the consumer, for the improvement of boating and

33-18 the improvement, operation and maintenance of other outdoor recreational

33-19 facilities associated with boating and for the payment of the costs incurred,

33-20 in part, for the administration and enforcement of the provisions of chapter

33-21 488 of NRS.

33-22 2. The amount of excise taxes paid on all motor vehicle fuel used in

33-23 watercraft for recreational purposes must be determined annually by the

33-24 department by use of the following formula:

33-25 (a) Multiplying the total boats with motors registered the previous

33-26 calendar year, pursuant to provisions of chapter 488 of NRS, times 220.76

33-27 gallons average fuel purchased per boat;

33-28 (b) Adding 566,771 gallons of fuel purchased by out-of-state boaters as

33-29 determined through a study conducted during 1969-1970 by the division of

33-30 agricultural and resource economics, Max C. Fleischmann college of

33-31 agriculture, University of Nevada, Reno; and

33-32 (c) Multiplying the total gallons determined by adding the total obtained

33-33 under paragraph (a) to the figure in paragraph (b) times the rate of tax, per

33-34 gallon, imposed on motor vehicle fuel used in watercraft for recreational

33-35 purposes, less the percentage of the tax authorized to be deducted by the

33-36 [dealer] supplier pursuant to NRS 365.330.

33-37 3. The division of wildlife of the state department of conservation and

33-38 natural resources shall submit annually to the department, on or before

33-39 April 1, the number of boats with motors registered in the previous

33-40 calendar year. On or before June 1, the department, using that data, shall

33-41 compute the amount of excise taxes paid on all motor vehicle fuel used in

33-42 watercraft for recreational purposes based on the formula set forth in

33-43 subsection 2, and shall certify the ratio for apportionment and distribution,

34-1 in writing, to the division of wildlife of the state department of

34-2 conservation and natural resources and to the division of state parks of the

34-3 state department of conservation and natural resources for the next fiscal

34-4 year.

34-5 4. In each fiscal year, the state treasurer shall, upon receipt of the tax

34-6 money from the department collected pursuant to the provisions of NRS

34-7 [365.170 to 365.190, inclusive,] 365.180, 365.185 and 365.190 and

34-8 section 59 of this act allocate the amount determined pursuant to

34-9 subsection 2, in proportions directed by the legislature, to:

34-10 (a) The wildlife account in the state general fund. This money may be

34-11 expended only for the administration and enforcement of the provisions of

34-12 chapter 488 of NRS and for the improvement, operation and maintenance

34-13 of boating facilities and other outdoor recreational facilities associated with

34-14 boating on state-owned wildlife management areas. Any of this money

34-15 declared by the division of wildlife of the state department of conservation

34-16 and natural resources to be in excess of its immediate requirements for

34-17 these purposes may be transferred to the credit of the parks marina

34-18 development fund for use by the division of state parks of the state

34-19 department of conservation and natural resources in accordance with the

34-20 provisions of paragraph (b).

34-21 (b) The parks marina development fund which is hereby created as a

34-22 special revenue fund for use by the division of state parks of the state

34-23 department of conservation and natural resources. All money so deposited

34-24 to the credit of the division of state parks may be expended only as

34-25 authorized by the legislature for the improvement, operation and

34-26 maintenance of boating facilities and other outdoor recreational facilities

34-27 associated with boating.

34-28 5. Money that the state treasurer is required to allocate pursuant to the

34-29 provisions of subsection 4 may be paid quarterly or oftener if convenient to

34-30 the state treasurer.

34-31 Sec. 98. NRS 365.540 is hereby amended to read as follows:

34-32 365.540 1. The money collected, as prescribed by NRS [365.170 and

34-33 365.185,] 365.185 and section 59 of this act, from the tax on motor

34-34 vehicle fuels, other than aviation fuel, after the remittances and deposits

34-35 have first been made pursuant to the provisions of NRS 365.535, must be

34-36 placed to the credit of the state highway fund by the state treasurer. An

34-37 amount equal to that part of the tax collected pursuant to [subparagraph (3)

34-38 of paragraph (b) of subsection 1 of NRS 365.170,] section 59 of this act,

34-39 which represents 5 cents of the tax per gallon must be used exclusively for

34-40 the construction and maintenance of public highways, and may not be used

34-41 to purchase equipment related thereto.

35-1 2. The money collected, as prescribed by NRS 365.180 and 365.190,

35-2 after the remittances and deposits have first been made pursuant to the

35-3 provisions of NRS 365.535, must be allocated by the department to the

35-4 counties as prescribed in NRS 365.550 and 365.560.

35-5 3. The money collected as prescribed by NRS 365.200 must be

35-6 allocated by the department as prescribed by NRS 365.550 and 365.560.

35-7 4. The money collected from the tax on aviation fuel must be

35-8 deposited by the department with the state treasurer for credit to the

35-9 account for taxes on aviation fuel, which is hereby created as a revolving

35-10 account.

35-11 Sec. 99. NRS 365.570 is hereby amended to read as follows:

35-12 365.570 1. It is unlawful for any person:

35-13 (a) To refuse or neglect to make any statement, report or return required

35-14 by the provisions of this chapter;

35-15 (b) Knowingly to make, or aid or assist any other person in making, a

35-16 false statement in a report to the department or in connection with an

35-17 application for refund of any tax;

35-18 (c) Knowingly to collect or attempt to collect or cause to be repaid to

35-19 him or to any person, either directly or indirectly, any refund of any tax

35-20 without being entitled to the same;

35-21 (d) To engage in business in this state as a dealer or supplier or to act as

35-22 a carrier of motor vehicle fuel, fuel for jet or turbine-powered aircraft,

35-23 special fuel or other inflammable or combustible liquids without being the

35-24 holder of an uncanceled license authorizing him to engage in such business

35-25 or to act in such capacity;

35-26 (e) To sell any motor vehicle fuel or fuel for jet or turbine-powered

35-27 aircraft upon which the tax imposed by this chapter has not been paid,

35-28 purchased by or consigned to him by any person other than a licensed

35-29 dealer [;] or supplier; or

35-30 (f) To act as an agent to sell any motor vehicle fuel or fuel for jet or

35-31 turbine-powered aircraft, obtained in any manner, upon which the tax

35-32 imposed by this chapter has not been paid.

35-33 2. Each day or part thereof during which any person engages in

35-34 business as a dealer or supplier without being the holder of an uncanceled

35-35 license constitutes a separate offense within the meaning of this section.

35-36 Sec. 100. NRS 366.175 is hereby amended to read as follows:

35-37 366.175 1. To the extent permitted by federal law, the department

35-38 may enter into cooperative agreements with other states and countries for

35-39 the exchange of information regarding, and the auditing of, persons who

35-40 use special fuel in motor vehicles operated or intended to operate

35-41 interstate. Any agreement, arrangement or declaration, or any amendment

35-42 thereto, is not effective until reduced to writing and signed by the parties

35-43 thereto or their authorized representatives.

36-1 2. An agreement may include, with respect to persons who use special

36-2 fuel, provisions:

36-3 (a) For determining the domicile of those persons;

36-4 (b) Specifying the records which are required to be kept by those

36-5 persons;

36-6 (c) Relating to audit procedures, the exchange of information and

36-7 persons eligible for licensing;

36-8 (d) Defining various words and terms;

36-9 (e) Setting forth the procedure for collecting special fuel taxes owing to

36-10 another jurisdiction and forwarding those taxes to that jurisdiction; and

36-11 (f) Designed to facilitate the administration of the agreement.

36-12 3. The department may, pursuant to the terms of an agreement,

36-13 forward to the designated representatives of another jurisdiction any

36-14 information in its possession relating to the manufacture, transportation,

36-15 shipment, sale or use of special fuel by any person, and the location within

36-16 this state of any motor vehicles owned by a person who has been identified

36-17 by another jurisdiction as a user of special fuel.

36-18 4. An agreement may provide that each jurisdiction shall audit the

36-19 records of persons residing or doing business within that jurisdiction to

36-20 determine if the special fuel taxes owing to each jurisdiction have been

36-21 properly reported and paid, and requiring each jurisdiction to forward the

36-22 findings of its audits to every other jurisdiction in which the person who is

36-23 the subject of an audit has incurred tax liability as a result of his use of

36-24 special fuel. The audit findings received from another jurisdiction may be

36-25 used by the department as the basis for an estimated assessment of tax due

36-26 from a person pursuant to the provisions of [NRS 366.405.] section 4 of

36-27 this act.

36-28 5. Any agreement entered into pursuant to the provisions of this

36-29 section does not preclude the department from auditing the records of any

36-30 person subject to the provisions of this chapter.

36-31 Sec. 101. Chapter 373 of NRS is hereby amended by adding thereto a

36-32 new section to read as follows:

36-33 "Department" means the department of motor vehicles and public

36-34 safety.

36-35 Sec. 102. NRS 373.020 is hereby amended to read as follows:

36-36 373.020 As used in this chapter, unless the context otherwise requires,

36-37 the words and terms defined in NRS 373.0205 to 373.029, inclusive, and

36-38 section 101 of this act, have the meanings ascribed to them in those

36-39 sections.

37-1 Sec. 103. NRS 373.070 is hereby amended to read as follows:

37-2 373.070 Any motor vehicle fuel tax ordinance enacted under this

37-3 chapter must include provisions in substance as follows:

37-4 1. A provision imposing the additional excise tax and stating the

37-5 amount of the tax per gallon of fuel.

37-6 2. Provisions identical to those contained in chapter 365 of NRS on the

37-7 date of enactment of the ordinance, insofar as applicable, except that the

37-8 name of the county as taxing agency must be substituted for that of the

37-9 state and that an additional [dealer’s] supplier’s license is not required.

37-10 3. A provision that all amendments to chapter 365 of NRS subsequent

37-11 to the date of enactment of the ordinance, not inconsistent with this

37-12 chapter, automatically become a part of the motor vehicle fuel tax

37-13 ordinance of the county.

37-14 4. A provision that the county shall contract prior to the effective date

37-15 of the county motor vehicle fuel tax ordinance with the department to

37-16 perform all functions incident to the administration or operation of the

37-17 motor vehicle fuel tax ordinance of the county.

37-18 Sec. 104. NRS 373.090 is hereby amended to read as follows:

37-19 373.090 1. For the purpose of the tax imposed by an ordinance

37-20 enacted pursuant to this chapter, motor vehicle fuel is sold at the place

37-21 where it is [delivered into a vehicle not belonging to the seller or into a

37-22 stationary tank on the premises of the buyer.] distributed from a terminal.

37-23 2. As used in this section, "terminal" has the meaning ascribed to it

37-24 in section 56 of this act.

37-25 Sec. 105. NRS 482.187 is hereby amended to read as follows:

37-26 482.187 The department may:

37-27 1. Enter into written agreements providing for the periodic payment of

37-28 delinquent taxes or fees imposed pursuant to this chapter.

37-29 2. Adopt regulations:

37-30 (a) Setting forth the permissible terms of [such] those agreements; and

37-31 (b) Providing for the cancellation of such an agreement if the person

37-32 with whom the department has contracted becomes delinquent in his

37-33 payments pursuant to the agreement or in his payment of other taxes or

37-34 fees owed to the department pursuant to the provisions of chapter 365, 366,

37-35 371 , 373 or 482 of NRS.

37-36 Sec. 106. NRS 590.120 is hereby amended to read as follows:

37-37 590.120 1. Every person, or any officer, agent or employee thereof,

37-38 shipping or transporting any gasoline or lubricating oil into this state for

37-39 sale or consignment, or with intent to sell or consign the same, shall pay to

37-40 the department of [taxation] motor vehicles and public safety an inspection

37-41 fee of 0.055 of a cent per gallon for every gallon of gasoline or lubricating

37-42 oil so shipped or transported into the state, or that is held for sale within

37-43 this state. [Nothing in this section requires] This section does not require

38-1 the payment of an inspection fee on any shipment or consignment of

38-2 gasoline or lubricating oil when [such] the inspection fee has [already]

38-3 been paid.

38-4 2. Of each inspection fee paid to the department of [taxation] motor

38-5 vehicles and public safety pursuant to this section, 0.005 of a cent per

38-6 gallon must be transferred quarterly to an account in the state general fund

38-7 for the state board of agriculture. The state board of agriculture shall use

38-8 all money transferred pursuant to this subsection to pay the expenses

38-9 incurred in enforcing the provisions of NRS 590.070.

38-10 3. On or before the 25th day of each calendar month, every person, or

38-11 any officer, agent or employee thereof, required to pay the inspection fee

38-12 [mentioned] described in subsection 1 shall send to the department of

38-13 [taxation] motor vehicles and public safety a correct report of the gasoline

38-14 or oil volumes for the preceding month. The report must include a list of

38-15 distributors or retailers distributing or selling the products and must be

38-16 accompanied by the required fees.

38-17 4. Failure to send the report and remittance as specified in subsections

38-18 1 and 3 is a violation of NRS 590.010 to 590.150, inclusive, and is

38-19 punishable as provided in NRS 590.150.

38-20 5. The provisions of this section must be carried out in the manner

38-21 prescribed in chapter 365 of NRS and sections 2 to 45, inclusive, of this

38-22 act.

38-23 Sec. 107. NRS 590.130 is hereby amended to read as follows:

38-24 590.130 Except as otherwise provided in subsection 2 of NRS

38-25 590.120, all inspection fees received by the department of [taxation] motor

38-26 vehicles and public safety must be deposited with the state treasurer for

38-27 credit to the state general fund, and all expenses incurred in carrying out

38-28 the provisions of NRS 590.010 to 590.150, inclusive, must be paid out of

38-29 funds provided by direct legislative appropriation.

38-30 Sec. 108. NRS 590.720 is hereby amended to read as follows:

38-31 590.720 "Department" means the department of [taxation.] motor

38-32 vehicles and public safety.

38-33 Sec. 109. NRS 590.840 is hereby amended to read as follows:

38-34 590.840 1. Except as otherwise provided in subsection [3,] 2, the

38-35 department shall collect for deposit in the fund a fee of 0.75 cent for each

38-36 gallon of motor vehicle fuel, diesel fuel of grade number 1, diesel fuel of

38-37 grade number 2 and heating oil imported into this state in one of those

38-38 forms or refined in this state. The fee imposed by this section is in addition

38-39 to the taxes imposed by chapters 365 and 366 of NRS.

38-40 2. [The department of motor vehicles and public safety shall cooperate

38-41 with the department of taxation in ascertaining the amount of diesel fuel so

38-42 imported and the identity of each person liable for payment of the fee upon

38-43 it.

39-1 3.] The fee imposed by subsection 1 does not apply to motor vehicle

39-2 fuel, diesel fuel of grade number 1, diesel fuel of grade number 2 or

39-3 heating oil that is:

39-4 (a) Imported or refined by the United States, its unincorporated

39-5 agencies and instrumentalities, or any incorporated agency or

39-6 instrumentality of the United States wholly owned by the United States or

39-7 by a corporation wholly owned by the United States;

39-8 (b) Exported from [the] this state;

39-9 (c) Imported or refined by railroad companies for use in locomotive

39-10 engines;

39-11 (d) Being transported through [the] this state in interstate commerce; or

39-12 (e) Used as fuel for jet or turbine-powered aircraft.

39-13 [4.] 3. The fee is payable on or before the 25th day of each calendar

39-14 month for those products subject to the fee that are handled during the

39-15 preceding calendar month. The department shall prescribe by regulation

39-16 the manner of payment of the fee and for this purpose may reasonably

39-17 classify the persons liable for payment. The department may, in collecting

39-18 the
39-19 fee, employ any administrative power conferred upon it by chapter 365 of

39-20 NRS [.

39-21 5.] or sections 2 to 45, inclusive, of this act.

39-22 4. The expenses incurred by the department in performing its duties

39-23 under NRS 590.700 to 590.920, inclusive, are a charge against the fund.

39-24 Sec. 110. NRS 366.394, 366.395, 366.3955, 366.396, 366.405,

39-25 366.510, 366.560, 366.570, 366.580, 366.590, 366.600, 366.610, 366.620,

39-26 366.630 and 366.640 are hereby repealed.

39-27 Sec. 111. The regulations adopted by the department of taxation

39-28 pursuant to NRS 365.110 are void. The legislative counsel shall remove

39-29 those regulations from the Nevada Administrative Code as soon as

39-30 practicable after July 1, 1999.

39-31 Sec. 112. The amendatory provisions of this act do not apply to

39-32 offenses that were committed before July 1, 1999.

39-33 Sec. 113. 1. This section and sections 1 to 47, inclusive, 49 to 112,

39-34 inclusive, and 114 of this act become effective on July 1, 1999.

39-35 2. Section 48 of this act becomes effective at 12:01 a.m. on July 1,

39-36 1999.

39-37 Sec. 114. In preparing the 1999 reprint of the Nevada Revised

39-38 Statutes with respect to any section which is not amended by this act or is

39-39 further amended by another act, and in the Nevada Administrative Code,

39-40 the legislative counsel shall appropriately correct:

39-41 1. Any references concerning the collection of the taxes imposed by

39-42 chapters 365 and 366 of NRS from references to the department of taxation

39-43 to references to the department of motor vehicles and public safety.

40-1 2. Any references concerning an exporter or supplier of motor vehicle

40-2 fuel in chapter 365 of NRS.

 

40-3 LEADLINES OF REPEALED SECTIONS

 

40-4 366.394 Dishonored checks.

40-5 366.395 Interest and penalties on default; when return or

40-6 statement deemed delinquent.

40-7 366.3955 Waiver of penalties and interest for late return or

40-8 payment; written claim required.

40-9 366.396 Agreement for payment of delinquent taxes, interest or

40-10 penalties; regulations of department.

40-11 366.405 Additional or estimated assessment of special fuel tax:

40-12 Interest; penalties; notice; redeterminations.

40-13 366.510 Remittances: Time for payment; addition of penalties.

40-14 366.560 Suit for tax: Duty of attorney general or district attorney.

40-15 366.570 Suit for tax: Attachment.

40-16 366.580 Evidentiary effect of verified claim of department.

40-17 366.590 Lien of tax: Nature and operation; time of attachment;

40-18 department to give notice to interest holders before seizure of vehicle;

40-19 hearing.

40-20 366.600 Duration of lien.

40-21 366.610 Priority of lien.

40-22 366.620 Transfer of motor vehicle subject to lien: Issuance of

40-23 certificate that lien has been removed.

40-24 366.630 Notice to persons controlling credits or other property of

40-25 delinquent user; transfer or disposition prohibited; persons notified to

40-26 advise department of such credits and property.

40-27 366.640 Remedies cumulative; election of remedies.

~