Senate Bill No. 156–Senators Shaffer, Care and Titus

 

February 15, 2001

____________

 

Referred to Committee on Taxation

 

SUMMARY—Makes various changes concerning exemptions from property and vehicle privilege taxes for veterans. (BDR 32‑124)

 

FISCAL NOTE:            Effect on Local Government: Yes.

                                    Effect on the State: Yes.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to taxation; increasing and providing for the adjustment of the amount of the exemptions from property and vehicle privilege taxes for veterans and veterans’ organizations; increasing the maximum amount that the state treasurer may accept from certain persons for credit to the veterans’ home account; 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 361.090 is hereby amended to read as follows:

1-2    361.090  1.  The property, to the extent of [$1,000] $2,000 assessed

1-3  valuation, of any actual bona fide resident of the State of Nevada who:

1-4    (a) Has served a minimum of 90 days on active duty, who was assigned

1-5  to active duty at some time between April 21, 1898, and June 15, 1903, or

1-6  between April 6, 1917, and November 11, 1918, or between December 7,

1-7  1941, and December 31, 1946, or between June 25, 1950, and January 31,

1-8  1955;

1-9    (b) Has served a minimum of 90 continuous days on active duty none of

1-10  which was for training purposes, who was assigned to active duty at some

1-11  time between January 1, 1961, and May 7, 1975; or

1-12    (c)Has served on active duty in connection with carrying out the

1-13  authorization granted to the President of the United States in Public Law

1-14  102-1,

1-15  and who received, upon severance from service, an honorable discharge or

1-16  certificate of satisfactory service from the Armed Forces of the United

1-17  States, or who, having so served, is still serving in the Armed Forces of the

1-18  United States, is exempt from taxation.

1-19    2.  For the purpose of this section, the first [$1,000] $2,000 assessed

1-20  valuation of property in which such a person has any interest shall be

1-21  deemed the property of that person.

2-1    3.  The exemption may be allowed only to a claimant who files an

2-2  affidavit with his claim for exemption on real property pursuant to NRS

2-3  361.155. The affidavit may be filed at any time by a person claiming

2-4  exemption from taxation on personal property.

2-5    4.  The affidavit must be made before the county assessor or a notary

2-6  public and filed with the county assessor. It must state that the affiant is an

2-7  actual bona fide resident of the State of Nevada who meets all the other

2-8  requirements of subsection 1 and that the exemption is claimed in no other

2-9  county in this state. After the filing of the original affidavit, the county

2-10  assessor shall mail a form for:

2-11    (a) The renewal of the exemption; and

2-12    (b) The designation of any amount to be credited to the veterans’ home

2-13  account,

2-14  to the person each year following a year in which the exemption was

2-15  allowed for that person. The form must be designed to facilitate its return

2-16  by mail by the person claiming the exemption.

2-17    5.  Persons in actual military service are exempt during the period of

2-18  such service from filing annual affidavits of exemption , and the county

2-19  assessors shall continue to grant exemption to such persons on the basis of

2-20  the original affidavits filed. In the case of any person who has entered the

2-21  military service without having previously made and filed an affidavit of

2-22  exemption, the affidavit may be filed in his behalf during the period of

2-23  such service by any person having knowledge of the facts.

2-24    6.  Before allowing any veteran’s exemption pursuant to the provisions

2-25  of this chapter, the county assessor of each of the several counties of this

2-26  state shall require proof of status of the veteran, and for that purpose shall

2-27  require production of an honorable discharge or certificate of satisfactory

2-28  service or a certified copy thereof, or such other proof of status as may be

2-29  necessary.

2-30    7.  If any person files a false affidavit or produces false proof to the

2-31  county assessor[,] and , as a result of the false affidavit or false proof , a

2-32  tax exemption is allowed to a person not entitled to the exemption, he is

2-33  guilty of a gross misdemeanor.

2-34    8.  Beginning with the 2002-2003 fiscal year, the monetary amounts

2-35  in subsections 1 and 2 must be adjusted for each fiscal year by adding to

2-36  each amount the product of the amount multiplied by the percentage

2-37  increase in the Consumer Price Index (All Items) from December 2000 to

2-38  the December preceding the fiscal year for which the adjustment is

2-39  calculated.

2-40    Sec. 2.  NRS 361.0905 is hereby amended to read as follows:

2-41    361.0905  1.  Any person who qualifies for an exemption pursuant to

2-42  NRS 361.090 may, in lieu of claiming his exemption:

2-43    (a) Pay to the county assessor all or any portion of the amount by which

2-44  the tax would be reduced if he claimed his exemption; and

2-45    (b) Direct the county assessor to deposit that amount for credit to the

2-46  veterans’ home account established pursuant to NRS 417.145.

2-47    2.  Any person who wishes to waive his exemption pursuant to this

2-48  section shall designate the amount to be credited to the account on a form

2-49  provided by the Nevada tax commission.

3-1    3.  The county assessor shall deposit any money received pursuant to

3-2  this section with the state treasurer for credit to the veterans’ home account

3-3  established pursuant to NRS 417.145. The state treasurer shall not accept

3-4  more than a total of [$1,000,000] $2,000,000 for credit to the account

3-5  pursuant to this section and NRS 371.1035 during any fiscal year.

3-6    Sec. 3.  NRS 361.091 is hereby amended to read as follows:

3-7    361.091  1.  A bona fide resident of the State of Nevada who has

3-8  incurred a permanent service-connected disability and has been honorably

3-9  discharged from the Armed Forces of the United States, or his surviving

3-10  spouse, is entitled to a disabled veteran’s exemption.

3-11    2.  The amount of exemption is based on the total percentage of

3-12  permanent service-connected disability. The maximum allowable

3-13  exemption for total permanent disability is the first [$10,000] $20,000

3-14  assessed valuation. A person with a permanent service-connected disability

3-15  of:

3-16    (a) Eighty to 99 percent, inclusive, is entitled to an exemption of

3-17  [$7,500] $15,000 assessed value.

3-18    (b) Sixty to 79 percent, inclusive, is entitled to an exemption of [$5,000]

3-19  $10,000 assessed value.

3-20  For the purposes of this section, any property in which an applicant has any

3-21  interest is deemed to be the property of the applicant.

3-22    3.  The exemption may be allowed only to a claimant who has filed an

3-23  affidavit with his claim for exemption on real property pursuant to NRS

3-24  361.155. The affidavit may be made at any time by a person claiming an

3-25  exemption from taxation on personal property.

3-26    4.  The affidavit must be made before the county assessor or a notary

3-27  public and be submitted to the county assessor. It must be to the effect that

3-28  the affiant is a bona fide resident of the State of Nevada, that he meets all

3-29  the other requirements of subsection 1 and that he does not claim the

3-30  exemption in any other county within this state. After the filing of the

3-31  original affidavit, the county assessor shall mail a form for renewal of the

3-32  exemption to the person each year following a year in which the exemption

3-33  was allowed for that person. The form must be designed to facilitate its

3-34  return by mail by the person claiming the exemption.

3-35    5.  Before allowing any exemption pursuant to the provisions of this

3-36  section, the county assessor shall require proof of the applicant’s status,

3-37  and for that purpose shall require him to produce an original or certified

3-38  copy of:

3-39    (a) An honorable discharge or other document of honorable separation

3-40  from the Armed Forces of the United States which indicates the total

3-41  percentage of his permanent service-connected disability;

3-42    (b) A certificate of satisfactory service which indicates the total

3-43  percentage of his permanent service-connected disability; or

3-44    (c)A certificate from the Department of Veterans Affairs or any other

3-45  military document which shows that he has incurred a permanent service-

3-46  connected disability and which indicates the total percentage of that

3-47  disability, together with a certificate of honorable discharge or satisfactory

3-48  service.

4-1    6.  A surviving spouse claiming an exemption pursuant to this section

4-2  must file with the county assessor an affidavit declaring that:

4-3    (a) The surviving spouse was married to and living with the disabled

4-4  veteran for the 5 years preceding his death;

4-5    (b) The disabled veteran was eligible for the exemption at the time of

4-6  his death or would have been eligible if he had been a resident of the State

4-7  of Nevada;

4-8    (c)The surviving spouse has not remarried; and

4-9    (d) The surviving spouse is a bona fide resident of the State of
Nevada.

4-10  The affidavit required by this subsection is in addition to the certification

4-11  required pursuant to subsections 4 and 5. After the filing of the original

4-12  affidavit required by this subsection, the county assessor shall mail a form

4-13  for renewal of the exemption to the person each year following a year in

4-14  which the exemption was allowed for that person. The form must be

4-15  designed to facilitate its return by mail by the person claiming the

4-16  exemption.

4-17    7.  If a tax exemption is allowed under this section, the claimant is not

4-18  entitled to an exemption under NRS 361.090.

4-19    8.  If any person makes a false affidavit or produces false proof to the

4-20  county assessor or a notary public[,] and , as a result of the false affidavit

4-21  or false proof, the person is allowed a tax exemption to which he is not

4-22  entitled, he is guilty of a gross misdemeanor.

4-23    9.  Beginning with the 2002-2003 fiscal year, the monetary amount in

4-24  subsection 2 must be adjusted for each fiscal year by adding to the

4-25  amount the product of the amount multiplied by the percentage increase

4-26  in the Consumer Price Index (All Items) from December 2000 to the

4-27  December preceding the fiscal year for which the adjustment is

4-28  calculated.

4-29    Sec. 4.  NRS 361.095 is hereby amended to read as follows:

4-30    361.095  1.  The funds, furniture, paraphernalia and regalia owned and

4-31  used exclusively by any post of any national organization of [ex-service

4-32  men or women] ex-servicemen or ex-servicewomen for the legitimate

4-33  purposes and customary objects of such posts [shall be] are exempt from

4-34  taxation, but such an exemption [shall in no case] must not exceed the sum

4-35  of [$5,000] $10,000 assessed valuation to any one post or organization

4-36  thereof.

4-37    2.  The buildings, with their fixtures and the lots of ground on which

4-38  they stand, used for its legitimate purposes and necessary thereto, of any

4-39  such organization [shall be] are exempt from taxation, but when any such

4-40  property is used for purposes other than those of such an organization[,]

4-41  and a rent or other valuable consideration is received for its use, the

4-42  property so used [shall] must be taxed.

4-43    3.  Where any structure or parcel of land is used partly for the purposes

4-44  of such an organization and partly for rental purposes, the area used for

4-45  rental purposes [shall] must be assessed separately and that portion only

4-46  [shall] may be taxed.

4-47    4.  Beginning with the 2002-2003 fiscal year, the monetary amount in

4-48  subsection 1 must be adjusted for each fiscal year by adding to the

5-1  amount the product of the amount multiplied by the percentage increase

5-2  in the Consumer Price Index (All Items) from December 2000 to the

5-3  December preceding the fiscal year for which the adjustment is

5-4  calculated.

5-5    Sec. 5.  NRS 371.103 is hereby amended to read as follows:

5-6    371.103  1.  Vehicles, to the extent of [$1,000] $2,000 determined

5-7  valuation, registered by any actual bona fide resident of the State of

5-8  Nevada who:

5-9    (a) Has served a minimum of 90 days on active duty, who was assigned

5-10  to active duty at some time between April 21, 1898, and June 15, 1903, or

5-11  between April 6, 1917, and November 11, 1918, or between December 7,

5-12  1941, and December 31, 1946, or between June 25, 1950, and January 31,

5-13  1955;

5-14    (b) Has served a minimum of 90 continuous days on active duty none of

5-15  which was for training purposes, who was assigned to active duty at some

5-16  time between January 1, 1961, and May 7, 1975; or

5-17    (c)Has served on active duty in connection with carrying out the

5-18  authorization granted to the President of the United States in Public Law

5-19  102-1,

5-20  and who received, upon severance from service, an honorable discharge or

5-21  certificate of satisfactory service from the Armed Forces of the United

5-22  States, or who, having so served, is still serving in the Armed Forces of the

5-23  United States, is exempt from taxation.

5-24    2.  For the purpose of this section , the first [$1,000] $2,000 determined

5-25  valuation of vehicles in which such a person has any interest shall be

5-26  deemed to belong to that person.

5-27    3.  A person claiming the exemption shall file annually with the

5-28  department in the county where the exemption is claimed an affidavit

5-29  declaring that he is an actual bona fide resident of the State of Nevada who

5-30  meets all the other requirements of subsection 1[,] and that the exemption

5-31  is claimed in no other county in this state. The affidavit must be made

5-32  before the county assessor or a notary public. After the filing of the original

5-33  affidavit, the county assessor shall mail a form for:

5-34    (a) The renewal of the exemption; and

5-35    (b) The designation of any amount to be credited to the veterans’ home

5-36  account,

5-37  to the person each year following a year in which the exemption was

5-38  allowed for that person. The form must be designed to facilitate its return

5-39  by mail by the person claiming the exemption.

5-40    4.  Persons in actual military service are exempt during the period of

5-41  such service from filing annual affidavits of exemption , and the

5-42  department shall grant exemptions to those persons on the basis of the

5-43  original affidavits filed. In the case of any person who has entered the

5-44  military service without having previously made and filed an affidavit of

5-45  exemption, the affidavit may be filed in his behalf during the period of

5-46  such service by any person having knowledge of the facts.

5-47    5.  Before allowing any veteran’s exemption pursuant to the provisions

5-48  of this chapter, the department shall require proof of status of the veteran,

5-49  and for that purpose shall require production of an honorable discharge or

6-1  certificate of satisfactory service or a certified copy thereof, or such other

6-2  proof of status as may be necessary.

6-3    6.  If any person files a false affidavit or produces false proof to the

6-4  department[,] and , as a result of the false affidavit or false proof , a tax

6-5  exemption is allowed to a person not entitled to the exemption, he is guilty

6-6  of a gross misdemeanor.

6-7    7.   Beginning with the 2002-2003 fiscal year, the monetary amounts

6-8  in subsections 1 and 2 must be adjusted for each fiscal year by adding to

6-9  each amount the product of the amount multiplied by the percentage

6-10  increase in the Consumer Price Index (All Items) from December 2000 to

6-11  the December preceding the fiscal year for which the adjustment is

6-12  calculated.

6-13    Sec. 6.  NRS 371.1035 is hereby amended to read as follows:

6-14    371.1035  1.  Any person who qualifies for an exemption pursuant to

6-15  NRS 371.103 may, in lieu of claiming his exemption:

6-16    (a) Pay to the department all or any portion of the amount by which the

6-17  tax would be reduced if he claimed his exemption; and

6-18    (b) Direct the department to deposit that amount for credit to the

6-19  veterans’ home account established pursuant to NRS 417.145.

6-20    2.  Any person who wishes to waive his exemption pursuant to this

6-21  section shall designate the amount to be credited to the account on a form

6-22  provided by the department.

6-23    3.  The department shall deposit any money received pursuant to this

6-24  section with the state treasurer for credit to the veterans’ home account

6-25  established pursuant to NRS 417.145. The state treasurer shall not accept

6-26  more than a total [$1,000,000] of $2,000,000 for credit to the account

6-27  pursuant to this section and NRS 361.0905 during any fiscal year.

6-28    Sec. 7.  NRS 371.104 is hereby amended to read as follows:

6-29    371.104  1.  A bona fide resident of the State of Nevada who has

6-30  incurred a permanent service-connected disability and has been honorably

6-31  discharged from the Armed Forces of the United States, or his surviving

6-32  spouse, is entitled to a veteran’s exemption from the payment of vehicle

6-33  privilege taxes on vehicles of the following determined valuations:

6-34    (a) If he has a disability of 100 percent, the first [$10,000] $20,000 of

6-35  determined valuation;

6-36    (b) If he has a disability of 80 to 99 percent, inclusive, the first [$7,500]

6-37  $15,000 of determined valuation; or

6-38    (c)If he has a disability of 60 to 79 percent, inclusive, the first [$5,000]

6-39  $10,000 of determined valuation.

6-40    2.  For the purpose of this section, the first [$10,000] $20,000

6-41  determined valuation of vehicles in which an applicant has any interest

6-42  shall be deemed to belong entirely to that person.

6-43    3.  A person claiming the exemption shall file annually with the

6-44  department in the county where the exemption is claimed an affidavit

6-45  declaring that he is a bona fide resident of the State of Nevada who meets

6-46  all the other requirements of subsection 1[,] and that the exemption is

6-47  claimed in no other county within this state. After the filing of the original

6-48  affidavit, the county assessor shall mail a form for renewal of the

6-49  exemption to the person each year following a year in which the exemption

7-1  was allowed for that person. The form must be designed to facilitate its

7-2  return by mail by the person claiming the exemption.

7-3    4.  Before allowing any exemption pursuant to the provisions of this

7-4  section, the department shall require proof of the applicant’s status, and for

7-5  that purpose shall require production of:

7-6    (a) A certificate from the Department of Veterans Affairs that the

7-7  veteran has incurred a permanent service-connected disability, which

7-8  shows the percentage of that disability; and

7-9    (b) Any one of the following:

7-10      (1) An honorable discharge;

7-11      (2) A certificate of satisfactory service; or

7-12      (3) A certified copy of either of these documents.

7-13    5.  A surviving spouse claiming an exemption pursuant to this section

7-14  must file with the department in the county where the exemption is claimed

7-15  an affidavit declaring that:

7-16    (a) The surviving spouse was married to and living with the disabled

7-17  veteran for the 5 years preceding his death;

7-18    (b) The disabled veteran was eligible for the exemption at the time of

7-19  his death; and

7-20    (c)The surviving spouse has not remarried.

7-21  The affidavit required by this subsection is in addition to the certification

7-22  required pursuant to subsections 3 and 4. After the filing of the original

7-23  affidavit required by this subsection, the county assessor shall mail a form

7-24  for renewal of the exemption to the person each year following a year in

7-25  which the exemption was allowed for that person. The form must be

7-26  designed to facilitate its return by mail by the person claiming the

7-27  exemption.

7-28    6.  If a tax exemption is allowed under this section, the claimant is not

7-29  entitled to an exemption under NRS 371.103.

7-30    7.  If any person makes a false affidavit or produces false proof to the

7-31  department[,] and , as a result of the false affidavit or false proof, the

7-32  person is allowed a tax exemption to which he is not entitled, he is guilty of

7-33  a gross misdemeanor.

7-34    8.  Beginning with the 2002-2003 fiscal year, the monetary amounts

7-35  in subsections 1 and 2 must be adjusted for each fiscal year by adding to

7-36  each amount the product of the amount multiplied by the percentage

7-37  increase in the Consumer Price Index (All Items) from December 2000 to

7-38  the December preceding the fiscal year for which the adjustment is

7-39  calculated.

7-40    Sec. 8.  This act becomes effective on July 1, 2001.

 

7-41  H