(REPRINTED WITH ADOPTED AMENDMENTS)

 

Senate Bill No. 528–Committee on Taxation

 

March 26, 2001

____________

 

Referred to Committee on Taxation

 

SUMMARY—Clarifies provisions relating to taxation of medical devices sold to governmental entities. (BDR 32‑1134)

 

FISCAL NOTE:  Effect on Local Government: No.

                             Effect on the State: No.

 

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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; clarifying the provisions relating to the taxation of medical devices sold to governmental entities; 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. Chapter 372 of NRS is hereby amended by adding thereto a

1-2  new section to read as follows:

1-3    1.  In administering the provisions of NRS 372.325, the department

1-4  shall apply the exemption to the sale of a medical device to a

1-5  governmental entity that is exempt pursuant to that section without

1-6  regard to whether the person using the medical device or the

1-7  governmental entity that purchased the device is deemed to be the holder

1-8  of title to the device if:

1-9    (a) The medical device was ordered or prescribed by a provider of

1-10  health care, within his scope of practice, for use by the person to whom it

1-11  is provided;

1-12  (b) The medical device is covered by Medicaid or Medicare; and

1-13  (c) The purchase of the medical device is made pursuant to a contract

1-14  between the governmental entity that purchases the medical device and

1-15  the person who sells the medical device to the governmental entity.

1-16  2.  As used in this section:

1-17  (a) “Medicaid” means the program established pursuant to Title XIX

1-18  of the Social Security Act, 42 U.S.C. §§ 1396 et seq., to provide assistance

1-19  for part or all of the cost of medical care rendered on behalf of indigent

1-20  persons.

1-21  (b) “Medicare” means the program of health insurance for aged and

1-22  disabled persons established pursuant to Title XVIII of the Social

1-23  Security Act, 42 U.S.C. §§ 1395 et seq.

2-1    (c) “Provider of health care” means a physician licensed pursuant to

2-2  chapter 630, 630A or 633 of NRS, dentist, licensed nurse, dispensing

2-3  optician, optometrist, practitioner of respiratory care, registered physical

2-4  therapist, podiatric physician, licensed psychologist, licensed audiologist,

2-5  licensed speech pathologist, licensed hearing aid specialist, licensed

2-6  marriage and family therapist, chiropractor or doctor of Oriental

2-7  medicine in any form.

2-8    Sec. 2.  Chapter 374 of NRS is hereby amended by adding thereto a

2-9  new section to read as follows:

2-10  1.  In administering the provisions of NRS 374.330, the department

2-11  shall apply the exemption to the sale of a medical device to a

2-12  governmental entity that is exempt pursuant to that section without

2-13  regard to whether the person using the medical device or the

2-14  governmental entity that purchased the device is deemed to be the holder

2-15  of title to the device if:

2-16  (a) The medical device was ordered or prescribed by a provider of

2-17  health care, within his scope of practice, for use by the person to whom it

2-18  is provided;

2-19  (b) The medical device is covered by Medicaid or Medicare; and

2-20  (c) The purchase of the medical device is made pursuant to a contract

2-21  between the governmental entity that purchases the medical device and

2-22  the person who sells the medical device to the governmental entity.

2-23  2.  As used in this section:

2-24  (a) “Medicaid” means the program established pursuant to Title XIX

2-25  of the Social Security Act, 42 U.S.C. §§ 1396 et seq., to provide assistance

2-26  for part or all of the cost of medical care rendered on behalf of indigent

2-27  persons.

2-28  (b) “Medicare” means the program of health insurance for aged and

2-29  disabled persons established pursuant to Title XVIII of the Social

2-30  Security Act, 42 U.S.C. §§ 1395 et seq.

2-31  (c) “Provider of health care” means a physician licensed pursuant to

2-32  chapter 630, 630A or 633 of NRS, dentist, licensed nurse, dispensing

2-33  optician, optometrist, practitioner of respiratory care, registered physical

2-34  therapist, podiatric physician, licensed psychologist, licensed audiologist,

2-35  licensed speech pathologist, licensed hearing aid specialist, licensed

2-36  marriage and family therapist, chiropractor or doctor of Oriental

2-37  medicine in any form.

2-38    Sec. 3.  This act becomes effective upon passage and approval.

 

2-39  H