Senate Bill No. 444–Senator O’Donnell

March 15, 1999

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Referred to Committee on Transportation

 

SUMMARY—Revises provisions governing distribution of certain fees charged by short-term lessors of motor vehicles. (BDR 43-1692)

FISCAL NOTE: Effect on Local Government: No.

Effect on the State or on Industrial Insurance: No.

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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 motor vehicles; revising the provisions governing the distribution of certain fees charged by short-term lessors of motor vehicles; providing for a home or regional office credit; and providing other matters properly relating thereto.

 

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

1-1 Section 1. NRS 482.313 is hereby amended to read as follows:

1-2 482.313 1. Upon the lease of a passenger car by a short-term lessor

1-3 in this state, the short-term lessor shall charge and collect from the short-

1-4 term lessee a fee of 6 percent of the total amount for which the passenger

1-5 car was leased, excluding any taxes or other fees imposed by a

1-6 governmental entity. The amount of the fee must be indicated in the lease

1-7 agreement.

1-8 2. On or before January 31 of each year, the short-term lessor shall:

1-9 (a) File with the department of taxation and the department of motor

1-10 vehicles and public safety, on a form prescribed by the department of

1-11 taxation, a report indicating the total amount of [:

1-12 (1) Fees] fees collected by the short-term lessor during the

1-13 immediately preceding year pursuant to this section; and

1-14 [(2) Vehicle licensing fees and taxes paid by the short-term lessor

1-15 during the immediately preceding year pursuant to this chapter.]

1-16 (b) Remit to the department of taxation [:

1-17 (1) One-third of] the fees collected by the short-term lessor during the

1-18 immediately preceding year pursuant to this section . [; and

2-1 (2) Of the remainder of those fees, any amount in excess of the total

2-2 amount of vehicle licensing fees and taxes paid by the short-term lessor

2-3 during the immediately preceding year pursuant to this chapter.]

2-4 3. Except as otherwise provided in this section, a short-term lessor

2-5 that uses any building in this state as the home office of the short-term

2-6 lessor or as a regional home office, as defined in subsection 4, is entitled

2-7 to the following credits against the fee otherwise required by this section

2-8 to be paid to the state:

2-9 (a) An amount equal to 50 percent of the aggregate amount of the fee

2-10 as determined pursuant to subsection 1; and

2-11 (b) An amount equal to the full amount of licensing fees and taxes

2-12 paid by the short-term lessor during the immediately preceding year

2-13 pursuant to this chapter.

2-14 These credits must not reduce the amount of the fees payable to less than

2-15 20 percent of the fees otherwise payable to the state by the short-term

2-16 lessor pursuant to subsection 2.

2-17 4. For the purposes of this section, a "regional home office" means

2-18 an office of the short-term lessor performing for an area covering two or

2-19 more states, with a minimum of 25 employees on its office staff, the

2-20 supervision and servicing of the business of the short-term lessor.

2-21 5. The short-term lessor shall on or before March 1 of each year

2-22 furnish proof to the satisfaction of the executive director of the

2-23 department of taxation, on forms furnished by or acceptable to the

2-24 executive director, as to his entitlement to the reduction of the fees

2-25 required to be remitted to the state pursuant to this section.

2-26 6. The department of taxation shall deposit all money received from

2-27 short-term lessors pursuant to the provisions of this section with the state

2-28 treasurer for credit to the state general fund.

2-29 [4.] 7. To ensure compliance with this section, the department of

2-30 taxation may audit the records of a short-term lessor.

2-31 [5.] 8. The provisions of this section do not limit or affect the payment

2-32 of any taxes or fees imposed pursuant to the provisions of this chapter.

2-33 [6.] 9. The department of motor vehicles and public safety shall, upon

2-34 request, provide to the department of taxation any information in its records

2-35 relating to a short-term lessor that the department of taxation considers

2-36 necessary to collect the fee required by this section.

2-37 [7.] 10.  As used in this section, "vehicle licensing fees and taxes"

2-38 means:

2-39 (a) The fees paid by a short-term lessor for the registration of, and
2-40 the issuance of certificates of title for, the passenger cars leased by him;

2-41 and

3-1 (b) The basic and supplemental privilege taxes paid by the short-term

3-2 lessor with regard to those passenger cars.

3-3 Sec. 2. This act becomes effective on July 1, 1999.

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