Assembly Bill No. 53–Assemblyman Collins

 

Prefiled January 29, 2001

 

____________

 

Referred to Committee on Taxation

 

SUMMARY—Repeals business tax under certain conditions. (BDR 32‑830)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: Yes.

 

~

 

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; repealing the business tax under certain conditions; 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 360.225 is hereby amended to read as follows:

1-2    360.225  1.  During the course of an investigation undertaken pursuant

1-3  to NRS 360.130 of a person claiming:

1-4    (a) A partial abatement of property taxes pursuant to NRS 361.0687;

1-5    (b) [An exemption from taxes upon the privilege of doing business in

1-6  this state pursuant to NRS 364A.170;

1-7    (c)] A deferral of the payment of taxes on the sale of capital goods

1-8  pursuant to NRS 372.397 or 374.402; or

1-9    [(d)] (c) An abatement of taxes on the gross receipts from the sale,

1-10  storage, use or other consumption of eligible machinery or equipment

1-11  pursuant to NRS 374.357,

1-12  the department shall investigate whether the person meets the eligibility

1-13  requirements for the abatement, partial abatement, exemption or deferral

1-14  that the person is claiming.

1-15    2.  If the department finds that the person does not meet the eligibility

1-16  requirements for the abatement, exemption or deferral which the person is

1-17  claiming, the department shall report its findings to the commission on

1-18  economic development and take any other necessary actions.

1-19    Sec. 2.  NRS 360.300 is hereby amended to read as follows:

1-20    360.300  1.  If a person fails to file a return or the department is not

1-21  satisfied with the return or returns of any tax, contribution or premium or

1-22  amount of tax, contribution or premium required to be paid to the state by

1-23  any person, in accordance with the applicable provisions of this chapter,


2-1  chapter 362, [364A,] 369, 370, 372, 372A, 374, 377, 377A or 444A of

2-2  NRS, NRS 482.313, or chapter 585 or 680B of NRS as administered or

2-3  audited by the department, it may compute and determine the amount

2-4  required to be paid upon the basis of:

2-5    (a) The facts contained in the return;

2-6    (b) Any information within its possession or that may come into its

2-7  possession; or

2-8    (c) Reasonable estimates of the amount.

2-9    2.  One or more deficiency determinations may be made with respect to

2-10  the amount due for one or for more than one period.

2-11    3.  In making its determination of the amount required to be paid, the

2-12  department shall impose interest on the amount of tax determined to be

2-13  due, calculated at the rate and in the manner set forth in NRS 360.417,

2-14  unless a different rate of interest is specifically provided by statute.

2-15    4.  The department shall impose a penalty of 10 percent in addition to

2-16  the amount of a determination that is made in the case of the failure of a

2-17  person to file a return with the department.

2-18    5.  When a business is discontinued, a determination may be made at

2-19  any time thereafter within the time prescribed in NRS 360.355 as to

2-20  liability arising out of that business, irrespective of whether the

2-21  determination is issued before the due date of the liability.

2-22    Sec. 3.  NRS 360.412 is hereby amended to read as follows:

2-23    360.412  If the department believes that the collection of any amount of

2-24  sales or use tax [, business tax] or other excise due pursuant to this Title,

2-25  NRS 482.313 or chapter 585 of NRS will be jeopardized by delay, [it] the

2-26  department shall make a determination of the amount required to be

2-27  collected and serve notice of the determination upon the person against

2-28  whom it is made.

2-29    Sec. 4.  NRS 360.417 is hereby amended to read as follows:

2-30    360.417  Except as otherwise provided in NRS 360.232 and 360.320,

2-31  and unless a different penalty or rate of interest is specifically provided by

2-32  statute, any person who fails to pay any tax provided for in chapter 362,

2-33  [364A,] 369, 370, 372, 374, 377, 377A, 444A or 585 of NRS, or the fee

2-34  provided for in NRS 482.313, to the state or a county within the time

2-35  required [,] shall pay a penalty of not more than 10 percent of the amount

2-36  of the tax or fee which is owed, as determined by the department, in

2-37  addition to the tax or fee, plus interest at the rate of 1 percent per month, or

2-38  fraction of a month, from the last day of the month following the period for

2-39  which the amount or any portion of the amount should have been reported

2-40  until the date of payment. The amount of any penalty imposed must be

2-41  based on a graduated schedule adopted by the Nevada tax commission

2-42  which takes into consideration the length of time the tax or fee remained

2-43  unpaid.

2-44    Sec. 5.  NRS 360.419 is hereby amended to read as follows:

2-45    360.419  1.  If the executive director or a designated hearing officer

2-46  finds that the failure of a person to make a timely return or payment of a

2-47  tax imposed pursuant to NRS 361.320 or chapter 361A, 376A, 377 or

2-48  377A of NRS, or by chapter 362, [364A,] 369, 370, 372, 372A, 374, 375A

2-49  or 375B of NRS [,] is the result of circumstances beyond his control and


3-1  occurred despite the exercise of ordinary care and without intent, the

3-2  department may relieve him of all or part of any interest or penalty or both.

3-3    2.  A person seeking this relief must file with the department a

3-4  statement under oath setting forth the facts upon which he bases his claim.

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

3-6    (a) The name of the person to whom relief was granted; and

3-7    (b) The amount of the relief.

3-8    4.  The executive director or a designated hearing officer shall act upon

3-9  the request of a taxpayer seeking relief pursuant to NRS 361.4835 which is

3-10  deferred by a county treasurer or county assessor.

3-11    Sec. 6.  NRS 360.510 is hereby amended to read as follows:

3-12    360.510  1.  If any person is delinquent in the payment of any tax or

3-13  fee administered by the department or if a determination has been made

3-14  against him which remains unpaid, the department may:

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

3-16  determination became final; or

3-17    (b) Not later than 5 years after the last recording of an abstract of

3-18  judgment or of a certificate constituting a lien for tax owed,

3-19  give a notice of the delinquency and a demand to transmit personally or by

3-20  registered or certified mail to any person, including, without limitation, any

3-21  officer or department of this state or any political subdivision or agency of

3-22  this state, who has in his possession or under his control any credits or

3-23  other personal property belonging to the delinquent [,] taxpayer, or owing

3-24  any debts to the delinquent taxpayer or person against whom a

3-25  determination has been made which remains unpaid, or owing any debts to

3-26  the delinquent taxpayer or that person. In the case of any state officer,

3-27  department or agency, the notice must be given to the officer, department

3-28  or agency before the department presents the claim of the delinquent

3-29  taxpayer to the state controller.

3-30    2.  A state officer, department or agency which receives such a notice

3-31  may satisfy any debt owed to it by that person before it honors the notice of

3-32  the department.

3-33    3.  After receiving the demand to transmit, the person notified by the

3-34  demand may not transfer or otherwise dispose of the credits, other personal

3-35  property, or debts in his possession or under his control at the time he

3-36  received the notice until the department consents to a transfer or other

3-37  disposition.

3-38    4.  Every person notified by a demand to transmit shall, within 10 days

3-39  after receipt of the demand to transmit, inform the department of, and

3-40  transmit to the department all such credits, other personal property, or

3-41  debts in his possession, under his control or owing by him within the time

3-42  and in the manner requested by the department. Except as otherwise

3-43  provided in subsection 5, no further notice is required to be served to that

3-44  person.

3-45    5.  If the property of the delinquent taxpayer consists of a series of

3-46  payments owed to him, the person who owes or controls the payments shall

3-47  transmit the payments to the department until otherwise notified by the

3-48  department. If the debt of the delinquent taxpayer is not paid within 1 year

3-49  after the department issued the original demand to transmit, the department


4-1  shall issue another demand to transmit to the person responsible for making

4-2  the payments informing him to continue to transmit payments to the

4-3  department or that his duty to transmit the payments to the department has

4-4  ceased.

4-5    6.  If the notice of the delinquency seeks to prevent the transfer or other

4-6  disposition of a deposit in a bank or credit union or other credits or

4-7  personal property in the possession or under the control of a bank, credit

4-8  union or other depository institution, the notice must be delivered or mailed

4-9  to the branch or office of the bank, credit union or other depository

4-10  institution at which the deposit is carried or at which the credits or personal

4-11  property is held.

4-12    7.  If any person notified by the notice of the delinquency makes any

4-13  transfer or other disposition of the property or debts required to be withheld

4-14  or transmitted, to the extent of the value of the property or the amount of

4-15  the debts thus transferred or paid, he is liable to the state for any

4-16  indebtedness due pursuant to this chapter, or chapter 362, [364A,] 369,

4-17  370, 372, 372A, 374, 377, 377A or 444A of NRS, NRS 482.313, or chapter

4-18  585 or 680B of NRS from the person with respect to whose obligation the

4-19  notice was given if solely by reason of the transfer or other disposition the

4-20  state is unable to recover the indebtedness of the person with respect to

4-21  whose obligation the notice was given.

4-22    Sec. 7.  NRS 360.750 is hereby amended to read as follows:

4-23    360.750  1.  A person who intends to locate or expand a business in

4-24  this state may apply to the commission on economic development for a

4-25  partial abatement of one or [more] both of the taxes imposed on the new or

4-26  expanded business pursuant to chapter 361 [, 364A] or 374 of NRS.

4-27    2.  The commission on economic development shall approve an

4-28  application for a partial abatement if the commission makes the following

4-29  determinations:

4-30    (a) The business is consistent with:

4-31      (1) The state plan for industrial development and diversification that

4-32  is developed by the commission pursuant to NRS 231.067; and

4-33      (2) Any guidelines adopted pursuant to the state plan.

4-34    (b) The applicant has executed an agreement with the commission

4-35  which states that the business will, after the date on which a certificate of

4-36  eligibility for the abatement is issued pursuant to subsection 5, continue in

4-37  operation in this state for a period specified by the commission, which

4-38  must be at least 5 years, and will continue to meet the eligibility

4-39  requirements set forth in this subsection. The agreement must bind the

4-40  successors in interest of the business for the specified period.

4-41    (c) The business is registered pursuant to the laws of this state or the

4-42  applicant commits to obtain a valid business license and all other permits

4-43  required by the county, city or town in which the business operates.

4-44    (d) Except as otherwise provided in NRS 361.0687, if the business is a

4-45  new business in a county or city whose population is 50,000 or more, the

4-46  business meets at least two of the following requirements:

4-47      (1) The business will have 75 or more full-time employees on the

4-48  payroll of the business by the fourth quarter that it is in operation.


5-1       (2) Establishing the business will require the business to make a

5-2  capital investment of at least $1,000,000 in this state.

5-3       (3) The average hourly wage that will be paid by the new business to

5-4  its employees in this state is at least 100 percent of the average statewide

5-5  hourly wage as established by the employment security division of the

5-6  department of employment, training and rehabilitation on July 1 of each

5-7  fiscal year and:

5-8         (I) The business will provide a health insurance plan for all

5-9  employees that includes an option for health insurance coverage for

5-10  dependents of the employees; and

5-11        (II) The cost to the business for the benefits the business provides

5-12  to its employees in this state will meet the minimum requirements for

5-13  benefits established by the commission by regulation pursuant to

5-14  subsection 9.

5-15    (e) Except as otherwise provided in NRS 361.0687, if the business is a

5-16  new business in a county or city whose population is less than 50,000, the

5-17  business meets at least two of the following requirements:

5-18      (1) The business will have 25 or more full-time employees on the

5-19  payroll of the business by the fourth quarter that it is in operation.

5-20      (2) Establishing the business will require the business to make a

5-21  capital investment of at least $250,000 in this state.

5-22      (3) The average hourly wage that will be paid by the new business to

5-23  its employees in this state is at least 100 percent of the average statewide

5-24  hourly wage as established by the employment security division of the

5-25  department of employment, training and rehabilitation on July 1 of each

5-26  fiscal year and:

5-27        (I) The business will provide a health insurance plan for all

5-28  employees that includes an option for health insurance coverage for

5-29  dependents of the employees; and

5-30        (II) The cost to the business for the benefits the business provides

5-31  to its employees in this state will meet the minimum requirements for

5-32  benefits established by the commission by regulation pursuant to

5-33  subsection 9.

5-34    (f) If the business is an existing business, the business meets at least two

5-35  of the following requirements:

5-36      (1) The business will increase the number of employees on its payroll

5-37  by 10 percent more than it employed in the immediately preceding fiscal

5-38  year or by six employees, whichever is greater.

5-39      (2) The business will expand by making a capital investment in this

5-40  state in an amount equal to at least 20 percent of the value of the tangible

5-41  property possessed by the business in the immediately preceding fiscal

5-42  year. The determination of the value of the tangible property possessed by

5-43  the business in the immediately preceding fiscal year must be made by the:

5-44        (I) County assessor of the county in which the business will

5-45  expand, if the business is locally assessed; or

5-46        (II) Department, if the business is centrally assessed.

5-47      (3) The average hourly wage that will be paid by the existing

5-48  business to its new employees in this state is at least 100 percent of the

5-49  average statewide hourly wage as established by the employment security


6-1  division of the department of employment, training and rehabilitation on

6-2  July 1 of each fiscal year and:

6-3         (I) The business will provide a health insurance plan for all new

6-4  employees that includes an option for health insurance coverage for

6-5  dependents of the employees; and

6-6         (II) The cost to the business for the benefits the business provides

6-7  to its new employees in this state will meet the minimum requirements for

6-8  benefits established by the commission by regulation pursuant to

6-9  subsection 9.

6-10    3.  Notwithstanding the provisions of subsection 2, the commission on

6-11  economic development may:

6-12    (a) Approve an application for a partial abatement by a business that

6-13  does not meet the requirements set forth in paragraph (d), (e) or (f) of

6-14  subsection 2;

6-15    (b) Make the requirements set forth in paragraph (d), (e) or (f) of

6-16  subsection 2 more stringent; or

6-17    (c) Add additional requirements that a business must meet to qualify for

6-18  a partial abatement,

6-19  if the commission determines that such action is necessary.

6-20    4.  If a person submits an application to the commission on economic

6-21  development pursuant to subsection 1, the commission shall provide notice

6-22  to the governing body of the county and the city or town, if any, in which

6-23  the person intends to locate or expand a business. The notice required

6-24  pursuant to this subsection must set forth the date, time and location of the

6-25  hearing at which the commission will consider the application.

6-26    5.  If the commission on economic development approves an

6-27  application for a partial abatement, the commission shall immediately

6-28  forward a certificate of eligibility for the abatement to:

6-29    (a) The department;

6-30    (b) The Nevada tax commission; and

6-31    (c) If the partial abatement is from the property tax imposed pursuant to

6-32  chapter 361 of NRS, the county treasurer.

6-33    6.  An applicant for a partial abatement pursuant to this section or an

6-34  existing business whose partial abatement is in effect shall, upon the

6-35  request of the executive director of the commission on economic

6-36  development, furnish the executive director with copies of all records

6-37  necessary to verify that the applicant meets the requirements of subsection

6-38  2.

6-39    7.  If a business whose partial abatement has been approved pursuant to

6-40  this section and is in effect ceases:

6-41    (a) To meet the requirements set forth in subsection 2; or

6-42    (b) Operation before the time specified in the agreement described in

6-43  paragraph (b) of subsection 2,

6-44  the business shall repay to the department or, if the partial abatement was

6-45  from the property tax imposed pursuant to chapter 361 of NRS, to the

6-46  county treasurer, the amount of the exemption that was allowed pursuant to

6-47  this section before the failure of the business to comply unless the Nevada

6-48  tax commission determines that the business has substantially complied

6-49  with the requirements of this section. Except as otherwise provided in NRS


7-1  360.232 and 360.320, the business shall, in addition to the amount of the

7-2  exemption required to be paid pursuant to this subsection, pay interest on

7-3  the amount due at the rate most recently established pursuant to NRS

7-4  99.040 for each month, or portion thereof, from the last day of the month

7-5  following the period for which the payment would have been made had the

7-6  partial abatement not been approved until the date of payment of the tax.

7-7    8.  A county treasurer:

7-8    (a) Shall deposit any money that he receives pursuant to subsection 7 in

7-9  one or more of the funds established by a local government of the county

7-10  pursuant to NRS 354.611, 354.6113 or 354.6115; and

7-11    (b) May use the money deposited pursuant to paragraph (a) only for the

7-12  purposes authorized by NRS 354.611, 354.6113 and 354.6115.

7-13    9.  The commission on economic development:

7-14    (a) Shall adopt regulations relating to:

7-15      (1) The minimum level of benefits that a business must provide to its

7-16  employees if the business is going to use benefits paid to employees as a

7-17  basis to qualify for a partial abatement; and

7-18      (2) The notice that must be provided pursuant to subsection 4.

7-19    (b) May adopt such other regulations as the commission on economic

7-20  development determines to be necessary to carry out the provisions of this

7-21  section.

7-22    10.  The Nevada tax commission:

7-23    (a) Shall adopt regulations regarding:

7-24      (1) The capital investment that a new business must make to meet the

7-25  requirement set forth in paragraph (d) or (e) of subsection 2; and

7-26      (2) Any security that a business is required to post to qualify for a

7-27  partial abatement pursuant to this section.

7-28    (b) May adopt such other regulations as the Nevada tax commission

7-29  determines to be necessary to carry out the provisions of this section.

7-30    11.  An applicant for an abatement who is aggrieved by a final decision

7-31  of the commission on economic development may petition for judicial

7-32  review in the manner provided in chapter 233B of NRS.

7-33    Sec. 8.  NRS 244.335 is hereby amended to read as follows:

7-34    244.335  1.  Except as otherwise provided in subsection 2, the board

7-35  of county commissioners may:

7-36    (a) Regulate all character of lawful trades, callings, industries,

7-37  occupations, professions and business conducted in its county outside of

7-38  the limits of incorporated cities and towns.

7-39    (b) Except as otherwise provided in NRS 244.3359 and 576.128, fix,

7-40  impose and collect a license tax for revenue or for regulation, or [for both

7-41  revenue and regulation,] both, on such trades, callings, industries,

7-42  occupations, professions and business.

7-43    2.  The county license boards have the exclusive power in their

7-44  respective counties to regulate entertainers employed by an entertainment

7-45  by referral service and the business of conducting a dancing hall, escort

7-46  service, entertainment by referral service or gambling game or device

7-47  permitted by law, outside of an incorporated city. The county license

7-48  boards may fix, impose and collect license taxes for revenue or for


8-1  regulation, or [for both revenue and regulation,] both, on such employment

8-2  and businesses.

8-3    3.  [No license to engage in any type of business may be granted unless

8-4  the applicant for the license signs an affidavit affirming that the business

8-5  has complied with the provisions of chapter 364A of NRS. The county

8-6  license board shall provide upon request an application for a business

8-7  license pursuant to chapter 364A of NRS.

8-8    4.]  No license to engage in business as a seller of tangible personal

8-9  property may be granted unless the applicant for the license presents

8-10  written evidence that:

8-11    (a) The department of taxation has issued or will issue a permit for this

8-12  activity, and this evidence clearly identifies the business by name; or

8-13    (b) Another regulatory agency of the state has issued or will issue a

8-14  license required for this activity.

8-15    [5.] 4.  Any license tax levied [for the purposes of] pursuant to NRS

8-16  244.3358 or 244A.597 to 244A.655, inclusive, constitutes a lien upon the

8-17  real and personal property of the business upon which the tax was levied

8-18  until the tax is paid. The lien has the same priority as a lien for general

8-19  taxes. The lien must be enforced in the following manner:

8-20    (a) By recording in the office of the county recorder, within 6 months

8-21  after the date on which the tax became delinquent or was otherwise

8-22  determined to be due and owing, a notice of the tax lien containing the

8-23  following:

8-24      (1) The amount of tax due and the appropriate year;

8-25      (2) The name of the record owner of the property;

8-26      (3) A description of the property sufficient for identification; and

8-27      (4) A verification by the oath of any member of the board of county

8-28  commissioners or the county fair and recreation board; and

8-29    (b) By an action for foreclosure against the property in the same manner

8-30  as an action for foreclosure of any other lien, commenced within 2 years

8-31  after the date of recording of the notice of the tax lien, and accompanied by

8-32  appropriate notice to other lienholders.

8-33    [6.] 5.  The board of county commissioners may delegate the authority

8-34  to enforce liens from taxes levied [for the purposes of] pursuant to NRS

8-35  244A.597 to 244A.655, inclusive, to the county fair and recreation board.

8-36  If the authority is so delegated, the board of county commissioners shall

8-37  revoke or suspend the license of a business upon certification by the county

8-38  fair and recreation board that the license tax has become delinquent [,] and

8-39  shall not reinstate the license until the tax is paid. Except as otherwise

8-40  provided in NRS 244.3357, all information concerning license taxes levied

8-41  by an ordinance authorized by this section or other information concerning

8-42  the business affairs or operation of any licensee obtained as a result of the

8-43  payment of such license taxes or as the result of any audit or examination

8-44  of the books by any authorized employee of a county fair and recreation

8-45  board of the county for any license tax levied [for the purpose of] pursuant

8-46  to NRS 244A.597 to 244A.655, inclusive, is confidential and must not be

8-47  disclosed by any member, officer or employee of the county fair and

8-48  recreation board or the county imposing the license tax unless the

8-49  disclosure is authorized by the affirmative action of a majority of the


9-1  members of the appropriate county fair and recreation board. Continuing

9-2  disclosure may be so authorized under an agreement with the department

9-3  of taxation for the exchange of information concerning taxpayers.

9-4    Sec. 9.  NRS 268.095 is hereby amended to read as follows:

9-5    268.095  1.  The city council or other governing body of each

9-6  incorporated city in this state, whether organized under general law or

9-7  special charter, may:

9-8    (a) Except as otherwise provided in NRS 268.0968 and 576.128, fix,

9-9  impose and collect for revenues or for regulation, or both, a license tax on

9-10  all character of lawful trades, callings, industries, occupations, professions

9-11  and businesses conducted within its corporate limits.

9-12    (b) Assign the proceeds of any one or more of such license taxes to the

9-13  county within which the city is situated [for the purpose or purposes of

9-14  making] to make the proceeds available to the county:

9-15      (1) As a pledge as additional security for the payment of any general

9-16  obligation bonds issued pursuant to NRS 244A.597 to 244A.655, inclusive;

9-17      (2) For redeeming any general obligation bonds issued pursuant to

9-18  NRS 244A.597 to 244A.655, inclusive;

9-19      (3) For defraying the costs of collecting or otherwise administering

9-20  any such license tax so assigned, of the county fair and recreation board

9-21  and of officers, agents and employees hired thereby, and of incidentals

9-22  incurred thereby;

9-23      (4) For operating and maintaining recreational facilities under the

9-24  jurisdiction of the county fair and recreation board;

9-25      (5) For improving, extending and bettering recreational facilities

9-26  authorized by NRS 244A.597 to 244A.655, inclusive; and

9-27      (6) For constructing, purchasing or otherwise acquiring such

9-28  recreational facilities.

9-29    (c) Pledge the proceeds of any tax imposed on the revenues from the

9-30  rental of transient lodging pursuant to this section for the payment of any

9-31  general obligations issued by the city for a purpose authorized by the City

9-32  Bond Law, NRS 268.672 to 268.740, inclusive.

9-33    (d) Use the proceeds of any tax imposed pursuant to this section on the

9-34  revenues from the rental of transient lodging:

9-35      (1) To pay the principal, interest or any other indebtedness on any

9-36  general or special obligations issued by the city pursuant to the City Bond

9-37  Law, NRS 268.672 to 268.740, inclusive;

9-38       (2) For the expense of operating or maintaining, or both, any facilities

9-39  of the city; and

9-40      (3) For any other purpose for which other money of the city may be

9-41  used.

9-42    2.  The proceeds of any tax imposed pursuant to this section that are

9-43  pledged for the repayment of general obligations may be treated as

9-44  “pledged revenues” for the purposes of NRS 350.020.

9-45    3.  [No license to engage in any type of business may be granted unless

9-46  the applicant for the license signs an affidavit affirming that the business

9-47  has complied with the provisions of chapter 364A of NRS. The city

9-48  licensing agency shall provide upon request an application for a business

9-49  license pursuant to chapter 364A of NRS.


10-1    4.]  No license to engage in business as a seller of tangible personal

10-2  property may be granted unless the applicant for the license presents

10-3  written evidence that:

10-4    (a) The department of taxation has issued or will issue a permit for this

10-5  activity, and this evidence clearly identifies the business by name; or

10-6    (b) Another regulatory agency of the state has issued or will issue a

10-7  license required for this activity.

10-8    [5.] 4.  Any license tax levied under the provisions of this section

10-9  constitutes a lien upon the real and personal property of the business upon

10-10  which the tax was levied until the tax is paid. The lien has the same priority

10-11  as a lien for general taxes. The lien must be enforced in the following

10-12  manner:

10-13  (a) By recording in the office of the county recorder, within 6 months

10-14  [following] after the date on which the tax became delinquent or was

10-15  otherwise determined to be due and owing, a notice of the tax lien

10-16  containing the following:

10-17     (1) The amount of tax due and the appropriate year;

10-18     (2) The name of the record owner of the property;

10-19     (3) A description of the property sufficient for identification; and

10-20     (4) A verification by the oath of any member of the board of county

10-21  commissioners or the county fair and recreation board; and

10-22  (b) By an action for foreclosure against such property in the same

10-23  manner as an action for foreclosure of any other lien, commenced within 2

10-24  years after the date of recording of the notice of the tax lien [,] and

10-25  accompanied by appropriate notice to other lienholders.

10-26  [6.] 5.  The city council or other governing body of each incorporated

10-27  city may delegate the power and authority to enforce such liens to the

10-28  county fair and recreation board. If the authority is so delegated, the

10-29  governing body shall revoke or suspend the license of a business upon

10-30  certification by the board that the license tax has become delinquent [,] and

10-31  shall not reinstate the license until the tax is paid. Except as otherwise

10-32  provided in NRS 268.0966, all information concerning license taxes levied

10-33  by an ordinance authorized by this section or other information concerning

10-34  the business affairs or operation of any licensee obtained as a result of the

10-35  payment of those license taxes or as the result of any audit or examination

10-36  of the books of the city by any authorized employee of a county fair and

10-37  recreation board for any license tax levied [for the purpose of] pursuant to

10-38  NRS 244A.597 to 244A.655, inclusive, is confidential and must not be

10-39  disclosed by any member, official or employee of the county fair and

10-40  recreation board or the city imposing the license tax unless the disclosure is

10-41  authorized by the affirmative action of a majority of the members of the

10-42  appropriate county fair and recreation board. Continuing disclosure may be

10-43  so authorized under an agreement with the department of taxation for the

10-44  exchange of information concerning taxpayers.

10-45  [7.] 6.  The powers conferred by this section are in addition and

10-46  supplemental to, and not in substitution for, and the limitations imposed by

10-47  this section do not affect the powers conferred by, any other law. No part

10-48  of this section repeals or affects any other law or any part thereof, it being


11-1  intended that this section provide a separate method of accomplishing its

11-2  objectives, and not an exclusive one.

11-3    Sec. 10.  NRS 459.3824 is hereby amended to read as follows:

11-4    459.3824  1.  The owner of a regulated facility shall pay to the

11-5  division an annual fee based on the fiscal year. The annual fee for each

11-6  facility is the sum of a base fee set by the state environmental commission

11-7  and any additional fee imposed by the commission pursuant to subsection

11-8  2. The annual fee must be prorated and may not be refunded.

11-9    2.  The state environmental commission may impose an additional fee

11-10  upon the owner of a regulated facility in an amount determined by the

11-11  commission to be necessary to enable the division to carry out its duties

11-12  pursuant to NRS 459.380 to 459.3874, inclusive. The additional fee must

11-13  be based on a graduated schedule adopted by the commission which takes

11-14  into consideration the quantity of hazardous substances located at each

11-15  facility.

11-16  3.  After the payment of the initial annual fee, the division shall send

11-17  the owner of a regulated facility a bill in July for the annual fee for the

11-18  fiscal year then beginning which is based on the applicable reports for the

11-19  preceding year.

11-20  4.  [The owner of a regulated facility shall submit, with any payment

11-21  required by this section, the number assigned by the department of

11-22  taxation, for the imposition and collection of taxes pursuant to chapter

11-23  364A of NRS, to the business for which the payment is made.

11-24  5.]  All fees collected pursuant to this section and penalties collected

11-25  pursuant to NRS 459.3833, 459.3834 and 459.3874, and any interest

11-26  earned thereon, must be deposited with the state treasurer for credit to the

11-27  fund for precaution against chemical accidents, which is hereby created as

11-28  a special revenue fund.

11-29  Sec. 11.  NRS 612.265 is hereby amended to read as follows:

11-30  612.265  1.  Except as otherwise provided in this section, information

11-31  obtained from any employing unit or person pursuant to the administration

11-32  of this chapter and any determination as to the benefit rights of any person

11-33  is confidential and may not be disclosed or be open to public inspection in

11-34  any manner which would reveal the person’s or employing unit’s identity.

11-35  2.  Any claimant or his legal representative is entitled to information

11-36  from the records of the division, to the extent necessary for the proper

11-37  presentation of his claim in any proceeding pursuant to this chapter. A

11-38  claimant or an employing unit is not entitled to information from the

11-39  records of the division for any other purpose.

11-40  3.  Subject to such restrictions as the administrator may by regulation

11-41  prescribe, the information obtained by the division may be made available

11-42  to:

11-43  (a) Any agency of this or any other state or any federal agency charged

11-44  with the administration or enforcement of laws relating to unemployment

11-45  compensation, public assistance, workers’ compensation or labor and

11-46  industrial relations, or the maintenance of a system of public employment

11-47  offices;

11-48  (b) Any state or local agency for the enforcement of child support;

11-49  (c) The Internal Revenue Service of the Department of the Treasury;


12-1    (d) The department of taxation; and

12-2    (e) The state contractors’ board in the performance of its duties to

12-3  enforce the provisions of chapter 624 of NRS.

12-4  Information obtained in connection with the administration of the

12-5  employment service may be made available to persons or agencies for

12-6  purposes appropriate to the operation of a public employment service or a

12-7  public assistance program.

12-8    4.  Upon written request made by a public officer of a local

12-9  government, the administrator shall furnish from the records of the division

12-10  the name, address and place of employment of any person listed in the

12-11  records of employment of the division. The request must set forth the

12-12  social security number of the person about whom the request is made and

12-13  contain a statement signed by proper authority of the local government

12-14  certifying that the request is made to allow the proper authority to enforce a

12-15  law to recover a debt or obligation owed to the local government. The

12-16  information obtained by the local government is confidential and may not

12-17  be used or disclosed for any purpose other than the collection of a debt or

12-18  obligation owed to that local government. The administrator may charge a

12-19  reasonable fee for the cost of providing the requested information.

12-20  5.  The administrator may publish or otherwise provide information on

12-21  the names of employers, their addresses, their type or class of business or

12-22  industry, and the approximate number of employees employed by each

12-23  such employer [,] if the information released will assist unemployed

12-24  persons to obtain employment or will be generally useful in developing and

12-25  diversifying the economic interests of this state. Upon request by a state

12-26  agency which is able to demonstrate that its intended use of the information

12-27  will benefit the residents of this state, the administrator may, in addition to

12-28  the information listed in this subsection, disclose the number of employees

12-29  employed by each employer and the total wages paid by each employer.

12-30  The administrator may charge a fee to cover the actual costs of any

12-31  administrative expenses relating to the disclosure of this information to a

12-32  state agency. The administrator may require the state agency to certify in

12-33  writing that the agency will take all actions necessary to maintain the

12-34  confidentiality of the information and prevent its unauthorized disclosure.

12-35  6.  Upon request therefor the administrator shall furnish to any agency

12-36  of the United States charged with the administration of public works or

12-37  assistance through public employment [,] and may furnish to any state

12-38  agency similarly charged, the name, address, ordinary occupation and

12-39  employment status of each recipient of benefits and the recipient’s rights to

12-40  further benefits pursuant to this chapter.

12-41  7.  To further a current criminal investigation, the chief executive

12-42  officer of any law enforcement agency of this state may submit a written

12-43  request to the administrator that he furnish, from the records of the

12-44  division, the name, address and place of employment of any person listed

12-45  in the records of employment of the division. The request must set forth the

12-46  social security number of the person about whom the request is made and

12-47  contain a statement signed by the chief executive officer certifying that the

12-48  request is made to further a criminal investigation currently being

12-49  conducted by the agency. Upon receipt of such a request, the administrator


13-1  shall furnish the information requested. He may charge a fee to cover the

13-2  actual costs of any related administrative expenses.

13-3    8.  [In addition to the provisions of subsection 5, the administrator shall

13-4  provide lists containing the names and addresses of employers, the number

13-5  of employees employed by each employer and the total wages paid by each

13-6  employer to the department of taxation, upon request, for use in verifying

13-7  returns for the business tax. The administrator may charge a fee to cover

13-8  the actual costs of any related administrative expenses.

13-9    9.]  A private carrier that provides industrial insurance in this state shall

13-10  submit to the administrator a list containing the name of each person who

13-11  received benefits pursuant to chapters 616A to 616D, inclusive, or 617 of

13-12  NRS during the preceding month and request that he compare the

13-13  information so provided with the records of the division regarding persons

13-14  claiming benefits pursuant to chapter 612 of NRS for the same period. The

13-15  information submitted by the private carrier must be in a form determined

13-16  by the administrator and must contain the social security number of each

13-17  such person. Upon receipt of the request, the administrator shall make such

13-18  a comparison and, if it appears from the information submitted that a

13-19  person is simultaneously claiming benefits under chapter 612 of NRS and

13-20  under chapters 616A to 616D, inclusive, or 617 of NRS, the administrator

13-21  shall notify the attorney general or any other appropriate law enforcement

13-22  agency. The administrator shall charge a fee to cover the actual costs of

13-23  any related administrative expenses.

13-24  [10.] 9.  The administrator may request the Comptroller of the

13-25  Currency of the United States to cause an examination of the correctness of

13-26  any return or report of any national banking association rendered pursuant

13-27  to the provisions of this chapter [,] and may , in connection with the request

13-28  , transmit any such report or return to the Comptroller of the Currency of

13-29  the United States as provided in Section 3305(c) of the Internal Revenue

13-30  Code of 1954.

13-31  [11.] 10.  If any employee or member of the board of review, the

13-32  administrator or any employee of the administrator, in violation of the

13-33  provisions of this section, discloses information obtained from any

13-34  employing unit or person in the administration of this chapter, or if any

13-35  person who has obtained a list of applicants for work, or of claimants or

13-36  recipients of benefits pursuant to this chapter uses or permits the use of the

13-37  list for any political purpose, he is guilty of a gross misdemeanor.

13-38  [12.] 11.  All letters, reports or communications of any kind, oral or

13-39  written, from the employer or employee to each other or to the division or

13-40  any of its agents, representatives or employees are privileged and must not

13-41  be the subject matter or basis for any lawsuit if the letter, report or

13-42  communication is written, sent, delivered or prepared pursuant to the

13-43  requirements of this chapter.

13-44  Sec. 12.  NRS 616B.012 is hereby amended to read as follows:

13-45  616B.012  1.  Except as otherwise provided in this section and in NRS

13-46  616B.015, 616B.021 and 616C.205, information obtained from any insurer,

13-47  employer or employee is confidential and may not be disclosed or be open

13-48  to public inspection in any manner which would reveal the person’s

13-49  identity.


14-1    2.  Any claimant or his legal representative is entitled to information

14-2  from the records of the insurer [,] to the extent necessary for the proper

14-3  presentation of a claim in any proceeding under chapters 616A to 616D,

14-4  inclusive, or chapter 617 of NRS.

14-5    3.  The division and administrator are entitled to information from the

14-6  records of the insurer which is necessary for the performance of their

14-7  duties. The administrator may, by regulation, prescribe the manner in

14-8  which otherwise confidential information may be made available to:

14-9    (a) Any agency of this or any other state charged with the

14-10  administration or enforcement of laws relating to industrial insurance,

14-11  unemployment compensation, public assistance or labor law and industrial

14-12  relations;

14-13  (b) Any state or local agency for the enforcement of child support;

14-14  (c) The Internal Revenue Service of the Department of the Treasury;

14-15  (d) The department of taxation; and

14-16  (e) The state contractors’ board in the performance of its duties to

14-17  enforce the provisions of chapter 624 of NRS.

14-18  Information obtained in connection with the administration of a program of

14-19  industrial insurance may be made available to persons or agencies for

14-20  purposes appropriate to the operation of a program of industrial insurance.

14-21  4.  Upon written request made by a public officer of a local

14-22  government, an insurer shall furnish from its records the name, address and

14-23  place of employment of any person listed in its records. The request must

14-24  set forth the social security number of the person about whom the request

14-25  is made and contain a statement signed by proper authority of the local

14-26  government certifying that the request is made to allow the proper

14-27  authority to enforce a law to recover a debt or obligation owed to the local

14-28  government. The information obtained by the local government is

14-29  confidential and may not be used or disclosed for any purpose other than

14-30  the collection of a debt or obligation owed to that local government. The

14-31  insurer may charge a reasonable fee for the cost of providing the requested

14-32  information.

14-33  5.  To further a current criminal investigation, the chief executive

14-34  officer of any law enforcement agency of this state may submit to the

14-35  administrator a written request for the name, address and place of

14-36  employment of any person listed in the records of an insurer. The request

14-37  must set forth the social security number of the person about whom the

14-38  request is made and contain a statement signed by the chief executive

14-39  officer certifying that the request is made to further a criminal investigation

14-40  currently being conducted by the agency. Upon receipt of a request, the

14-41  administrator shall instruct the insurer to furnish the information requested.

14-42  Upon receipt of such an instruction, the insurer shall furnish the

14-43  information requested. The insurer may charge a reasonable fee to cover

14-44  any related administrative expenses.

14-45  6.  [Upon request by the department of taxation, the administrator shall

14-46  provide:

14-47  (a) Lists containing the names and addresses of employers; and


15-1    (b) Other information concerning employers collected and maintained

15-2  by the administrator or the division to carry out the purposes of chapters

15-3  616A to 616D, inclusive, or chapter 617 of NRS,

15-4  to the department for its use in verifying returns for the business tax. The

15-5  administrator may charge a reasonable fee to cover any related

15-6  administrative expenses.

15-7    7.]  Any person who, in violation of this section, discloses information

15-8  obtained from files of claimants or policyholders or obtains a list of

15-9  claimants or policyholders under chapters 616A to 616D, inclusive, or

15-10  chapter 617 of NRS and uses or permits the use of the list for any political

15-11  purposes, is guilty of a gross misdemeanor.

15-12  [8.] 7.  All letters, reports or communications of any kind, oral or

15-13  written, from the insurer, or any of its agents, representatives or employees

15-14  are privileged and must not be the subject matter or basis for any lawsuit if

15-15  the letter, report or communication is written, sent, delivered or prepared

15-16  pursuant to the requirements of chapters 616A to 616D, inclusive, or

15-17  chapter 617 of NRS.

15-18  Sec. 13.  NRS 616B.679 is hereby amended to read as follows:

15-19  616B.679  1.  Each application must include:

15-20  (a) The applicant’s name and title of his position with the employee

15-21  leasing company.

15-22  (b) The applicant’s age, place of birth and social security number.

15-23  (c) The applicant’s address.

15-24  (d) The business address of the employee leasing company.

15-25  (e) The business address of the resident agent of the employee leasing

15-26  company [,] if the applicant is not the resident agent.

15-27  (f) If the applicant is a:

15-28     (1) Partnership, the name of the partnership and the name, address,

15-29  age, social security number and title of each partner.

15-30     (2) Corporation, the name of the corporation and the name, address,

15-31  age, social security number and title of each officer of the corporation.

15-32  (g) Proof of:

15-33     (1) The payment of any [taxes required by chapter 364A of NRS.

15-34     (2) The payment of any] premiums for industrial insurance required

15-35  by chapters 616A to 617, inclusive, of NRS.

15-36     [(3)] (2) The payment of contributions or payments in lieu of

15-37  contributions required by chapter 612 of NRS.

15-38     [(4)] (3) Insurance coverage for any benefit plan from an insurer

15-39  authorized pursuant to Title 57 of NRS that is offered by the employee

15-40  leasing company to its employees.

15-41  (h) Any other information the administrator requires.

15-42  2.  Each application must be notarized and signed under penalty of

15-43  perjury:

15-44  (a) If the applicant is a sole proprietorship, by the sole proprietor.

15-45  (b) If the applicant is a partnership, by each partner.

15-46  (c) If the applicant is a corporation, by each officer of the corporation.

15-47  3.  An applicant shall submit to the administrator any change in the

15-48  information required by this section within 30 days after the change occurs.

15-49  The administrator may revoke the certificate of registration of an employee


16-1  leasing company which fails to comply with the provisions of NRS

16-2  616B.670 to 616B.697, inclusive.

16-3    4.  If an insurer cancels an employee leasing company’s policy, the

16-4  insurer shall immediately notify the administrator in writing. The notice

16-5  must comply with the provisions of NRS 687B.310 to 687B.355, inclusive,

16-6  and must be served personally on or sent by first-class mail or electronic

16-7  transmission to the administrator.

16-8    Sec. 14.  NRS 616B.691 is hereby amended to read as follows:

16-9    616B.691  1.  For the purposes of chapters [364A,] 612 and 616A to

16-10  617, inclusive, of NRS, an employee leasing company which complies

16-11  with the provisions of NRS 616B.670 to 616B.697, inclusive, shall be

16-12  deemed to be the employer of the employees it leases to a client company.

16-13  2.  An employee leasing company shall be deemed to be the employer

16-14  of its leased employees [for the purposes of sponsoring and maintaining] to

16-15  sponsor and maintain any benefit plans.

16-16  3.  An employee leasing company shall not offer its employees any

16-17  self-funded insurance program. An employee leasing company shall not act

16-18  as a self-insured employer or be a member of an association of self-insured

16-19  public or private employers pursuant to chapters 616A to 616D, inclusive,

16-20  or chapter 617 of NRS or pursuant to Title 57 of NRS.

16-21  4.  If an employee leasing company fails to:

16-22  (a) Pay any contributions, premiums, forfeits or interest due; or

16-23  (b) Submit any reports or other information required,

16-24  pursuant to this chapter or chapter 612, 616A, 616C, 616D or 617 of NRS,

16-25  the client company is jointly and severally liable for the contributions,

16-26  premiums, forfeits or interest attributable to the wages of the employees

16-27  leased to it by the employee leasing company.

16-28  Sec. 15.  NRS 364A.010, 364A.020, 364A.030, 364A.040, 364A.050,

16-29  364A.060, 364A.070, 364A.080, 364A.090, 364A.100, 364A.110,

16-30  364A.120, 364A.130, 364A.135, 364A.140, 364A.150, 364A.151,

16-31  364A.152, 364A.1525, 364A.160, 364A.170, 364A.175, 364A.180,

16-32  364A.190, 364A.230, 364A.240, 364A.250, 364A.260, 364A.270,

16-33  364A.280, 364A.290, 364A.300, 364A.310, 364A.320, 364A.330,

16-34  364A.340 and 364A.350 are hereby repealed.

16-35  Sec. 16.  The provisions of this act do not apply to any rights,

16-36  requirements, penalties, procedures or proceedings relating to the

16-37  imposition, collection or payment of a tax due pursuant to chapter 364A of

16-38  NRS for any period ending before the effective date of this act.

16-39  Sec. 17.  Except as otherwise provided in section 16 of this act, the

16-40  regulations adopted by the Nevada tax commission pursuant to chapter

16-41  364A of NRS are void. The legislative counsel shall remove those

16-42  regulations from the Nevada Administrative Code as soon as practicable

16-43  after the effective date of this act.

16-44  Sec. 18.  This act becomes effective on:

16-45  1.  July 1, 2003, only if the Nevada Tax Fairness and Quality School

16-46  Funding Accountability Act is enacted by the 71st session of the Nevada

16-47  legislature and approved by the governor pursuant to section 2 of article 19

16-48  of the constitution of the State of Nevada;


17-1    2.  July 1, 2004, only if the Nevada Tax Fairness and Quality School

17-2  Funding Accountability Act is submitted to and approved by the voters at

17-3  the general election in 2002 pursuant to section 2 of article 19 of the

17-4  constitution of the State of Nevada; or

17-5    3.  The first day of the first calendar quarter immediately following the

17-6  effective date of a tax imposed on businesses generally, other than a sales

17-7  and use tax, by the 71st session of the Nevada legislature,

17-8  whichever occurs first.

 

 

17-9  LEADLINES OF REPEALED SECTIONS

 

 

17-10  364A.010  Definitions.

17-11  364A.020  “Business” defined.

17-12  364A.030  “Commission” defined.

17-13  364A.040  “Employee” defined.

17-14  364A.050  “Wages” defined.

17-15  364A.060  Regulations of Nevada tax commission.

17-16  364A.070  Maintenance and availability of records of business;

17-17   penalty.

17-18  364A.080  Examination of records by department; payment of

17-19   expenses of department for examination of records outside state.

17-20  364A.090  Authority of executive director to request information to

17-21   carry out chapter.

17-22  364A.100  Confidentiality of records and files of department.

17-23  364A.110  Business tax account: Deposits; refunds.

17-24  364A.120  Activities constituting business.

17-25  364A.130  Business license required; application for license;

17-26   activities constituting conduct of business.

17-27  364A.135  Revocation or suspension of business license for failure

17-28   to comply with statutes or regulations.

17-29  364A.140  Imposition, payment and amount of tax; filing and

17-30   contents of return.

17-31  364A.150  Calculation of total number of equivalent full-time

17-32   employees; exclusion of hours of certain employees with lower

17-33   incomes who received free child care from business.

17-34  364A.151  Exclusion of hours from calculation for employment of

17-35   pupil as part of program that combines work and study.

17-36  364A.152  Responsibility of operator of facility for trade shows or

17-37   conventions to pay tax on behalf of participants who do not have

17-38   business license; exception.

17-39  364A.1525  Requirements to qualify as organization created for

17-40   religious, charitable or educational purposes.

17-41  364A.160  Exemption for natural person with no employees during

17-42   calendar quarter.

17-43  364A.170  Partial abatement of tax on new or expanded business.


18-1    364A.175  Exemption for activities conducted pursuant to certain

18-2  contracts executed before July 1, 1991.

18-3    364A.180  Extension of time for payment; payment of interest

18-4   during period of extension.

18-5    364A.190  Payment of penalty or interest not required under

18-6   certain circumstances.

18-7    364A.230  Remedies of state are cumulative.

18-8    364A.240  Certification of excess amount collected; credit and

18-9   refund.

18-10  364A.250  Limitations on claims for refund or credit; form and

18-11   contents of claim; failure to file claim constitutes waiver; service of

18-12   notice of rejection of claim.

18-13  364A.260  Interest on overpayments; disallowance of interest.

18-14  364A.270  Injunction or other process to prevent collection of tax

18-15   prohibited; filing of claim condition precedent to maintaining action

18-16   for refund.

18-17  364A.280  Action for refund: Time to sue; venue of action; waiver.

18-18  364A.290  Right of appeal on failure of department to mail notice

18-19   of action on claim; allocation of judgment for claimant.

18-20  364A.300  Allowance of interest in judgment for amount illegally

18-21   collected.

18-22  364A.310  Standing to recover.

18-23  364A.320  Action for recovery of erroneous refund: Jurisdiction;

18-24   venue; prosecution by attorney general.

18-25  364A.330  Cancellation of illegal determination: Procedure;

18-26   limitation.

18-27  364A.340  Proof of subcontractor’s compliance with provisions of

18-28   chapter.

18-29  364A.350  Penalty for false or fraudulent returns, statements or

18-30   records.

 

~