NAC: CHAPTER 360A - ADMINISTRATION OF CERTAIN TAXES AND FEES ON FUELS

[Rev. 5/24/2022 9:36:40 PM]

[NAC-360A Revised Date: 1-14]

CHAPTER 360A - ADMINISTRATION OF CERTAIN TAXES AND FEES ON FUELS

GENERAL PROVISIONS

360A.010 “Good cause” defined.

PAYMENT OF TAXES, FEES, INTEREST AND PENALTIES

360A.150 Submission of method of payment dishonored as result of error or fault of financial institution.

360A.160 Waiver or reduction of interest or penalty.

360A.170 Agreement for payment in installments: Prerequisites; compliance with previous agreement.

360A.180 Agreement for payment in installments: Duties of taxpayer before execution by Department.

DETERMINATION OF DEFICIENT PAYMENT

360A.190 Offsetting of overpayments: “Careless reporting” interpreted.

360A.200 Petition for redetermination: General requirements; request for oral hearing; withdrawal.

360A.210 Petition for redetermination: Request for extension of time to file.

360A.220 Appeal of decision of Department: “Aggrieved by a decision of the Department” interpreted.

DETERMINATION OF JEOPARDIZED TAXES AND FEES

360A.250 “Days” interpreted.

360A.260 Petition for reconsideration: Amount and form of security.

PROCEDURES FOR COLLECTION AND ENFORCEMENT

360A.300 Written notice of intention to lock and seal place of business.

GENERAL PROVISIONS

NAC 360A.010 “Good cause” defined. (NRS 360A.020) As used in this chapter, unless the context otherwise requires, “good cause” means a circumstance that is beyond the control of a taxpayer and occurs despite the exercise of ordinary care and without willful neglect. The term includes, without limitation:

1. A fire, earthquake, flood or other act of God;

2. Theft that is documented by a law enforcement agency; or

3. The death or serious illness of the taxpayer, a great-grandparent, grandparent, parent, brother, sister, daughter, son, spouse, grandchild or great-grandchild of the taxpayer or his or her agent whose job or duty it is to collect, account for or pay to the Department a tax or fee imposed by chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005; A by R065-12, 11-1-2012)

PAYMENT OF TAXES, FEES, INTEREST AND PENALTIES

NAC 360A.150 Submission of method of payment dishonored as result of error or fault of financial institution. (NRS 360A.020)

1. If a check or other method of payment submitted to the Department for payment of any tax or fee required by chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840 is returned to the Department or otherwise dishonored upon presentation for payment as the result of the error or fault of a financial institution, the Department:

(a) Will not charge or collect the additional fee as set forth in NRS 360A.040; and

(b) Will deem a subsequent payment of the tax or fee to have been received as of the date of receipt of the erroneously dishonored payment.

2. The taxpayer has the burden of proving that the payment was returned or otherwise dishonored as the result of the error or fault of the financial institution.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.160 Waiver or reduction of interest or penalty. (NRS 360A.020, 360A.070)

1. A taxpayer who wishes to obtain relief from all or part of any interest or penalty, or both, must file an application with the Department. The application must:

(a) Comply with the provisions of NRS 360A.070; and

(b) Except as otherwise provided in this section, be filed in writing with the Department within 30 days after the date on which the tax is paid or the notice of the deficiency determination is served on the taxpayer. If the notice of the deficiency determination is served by mail, the period for filing the application is extended by 3 days.

2. Except as otherwise provided in this section, the Director or a hearing officer designated by the Director will review each application to determine whether good cause exists to grant relief for all or part of any interest or penalty, or both.

3. If the Director or his or her designee finds that the taxpayer’s delinquent payment was proximately caused by earthquake, fire, flood or other act of God and the payment was made as soon as reasonably possible thereafter, the full amount of any penalty and interest imposed on the delinquent payment will be waived.

4. If the Director or his or her designee finds that the taxpayer’s delinquent payment was proximately caused by theft, the serious illness of the taxpayer, a member of his or her family or his or her agent whose job or duty it is to collect, account for or pay the tax, or other similar cause which was not directly related to the actions of the taxpayer or his or her agent, and that payment was made as soon as reasonably possible thereafter:

(a) The penalty for the delinquent payment is:

(1) Not more than 2 percent of the tax if the payment is not more than 2 days late;

(2) Not more than 4 percent of the tax if the payment is more than 2 but not more than 5 days late;

(3) Not more than 6 percent of the tax if the payment is more than 5 but not more than 10 days late;

(4) Not more than 8 percent of the tax if the payment is more than 10 but not more than 15 days late; and

(5) Not more than 10 percent of the tax if the payment is more than 15 days late.

(b) The interest on the delinquent payment will be reduced by an amount equal to the rate of reduction of the penalty applied by the Department pursuant to paragraph (a).

(c) If the total of the penalty and interest after any reduction calculated pursuant to paragraphs (a) and (b) equals $5 or less, the penalty and interest will be waived completely.

5. The Department will not consider an application to waive or reduce a penalty or interest, or both, filed pursuant to NRS 360A.070 if the final delinquency determination includes a penalty imposed pursuant to:

(a) NRS 360A.120 for negligence or intentional disregard of any applicable provision of chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840, or the regulations of the Department adopted pursuant thereto; or

(b) NRS 360A.130 for fraud or an intent to evade the payment of a tax or fee required by chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840, or the regulations of the Department adopted pursuant thereto.

6. The provisions of this section do not apply to a taxpayer who has entered into an agreement with the Department pursuant to NRS 360A.080 and NAC 360A.170 and 360A.180.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.170 Agreement for payment in installments: Prerequisites; compliance with previous agreement. (NRS 360A.020, 360A.080)

1. A taxpayer who wishes to enter into an agreement with the Department to pay a tax, fee, interest or penalty in installments pursuant to NRS 360A.080 must:

(a) Submit a written request to the Department;

(b) Submit sufficient accurate information to enable the Department to determine whether to enter into the agreement; and

(1) Comply with the provisions of all applicable laws and regulations of the Department during the period in which the agreement is in effect, including, without limitation, reporting and payment requirements;

(2) Make all payments by cashier’s check, electronic funds transfer, traveler’s check, money order or cash; and

(3) Waive any right to a hearing pursuant to NRS 360A.180.

2. The Department may refuse to enter into an agreement with a taxpayer to pay a tax, fee, interest or penalty in installments if the taxpayer has not complied with a previous agreement with the Department.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.180 Agreement for payment in installments: Duties of taxpayer before execution by Department. (NRS 360A.020, 360A.080)

1. If the Department offers to enter into an agreement with a taxpayer to pay a tax, fee, interest or penalty in installments pursuant to NRS 360A.080, the taxpayer must, before the Department will execute the agreement, submit to the Department:

(a) The initial payment set forth in the terms of the agreement; and

(b) A personal guarantee of payment in full given by:

(1) The taxpayer, in his or her individual capacity, if the taxpayer is the sole responsible person; or

(2) For all other taxpayers, two responsible persons in their individual capacities.

2. As used in this section, “responsible person” includes:

(a) An officer or employee of a corporation; or

(b) A member or employee of a partnership or limited-liability company,

Ê whose job or duty it is to collect, account for or pay to the Department a tax imposed by chapter 365, 366 or 373 of NRS or NRS 590.120 or 590.840.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

DETERMINATION OF DEFICIENT PAYMENT

NAC 360A.190 Offsetting of overpayments: “Careless reporting” interpreted. (NRS 360A.020, 360A.110)

1. As used in NRS 360A.110, the term “careless reporting” includes, without limitation:

(a) Any alteration of the dates of fueling, types of fuel or amounts of fuel on a tax return;

(b) Underreporting or nonreporting of the sale of fuel; and

2. The term does not include the filing of an amended tax return or the submission of amended data that reflects additions to or corrections of data originally submitted.

(Added to NAC by Dep’t of Motor Veh. by R150-08, eff. 12-17-2008)

NAC 360A.200 Petition for redetermination: General requirements; request for oral hearing; withdrawal. (NRS 360A.020, 360A.160, 360A.170, 360A.180)

1. Except as otherwise provided in NAC 360A.210, a taxpayer who receives notice of a deficiency determination pursuant to NRS 360A.140 and wishes to obtain a redetermination must file a petition for a redetermination with the Department within 30 days after being served with the notice.

2. A petition for a redetermination must comply with NRS 360A.170 and must be submitted:

(a) On a form provided by the Department; or

(b) In the form of a letter. The letter must include:

(1) Sufficient information to give notice to the Department that the taxpayer is disputing the deficiency determination;

(2) The name of the taxpayer;

(3) The account number assigned to the taxpayer by the Department; and

(4) The amount of the tax, penalty or interest that is in dispute.

3. A taxpayer who wishes an oral hearing pursuant to NRS 360A.180 must request such a hearing in the petition.

4. A taxpayer who files a petition for redetermination may withdraw the petition at any time by submitting a written request, in the form of a letter, to the Department.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.210 Petition for redetermination: Request for extension of time to file. (NRS 360A.020, 360A.160)

1. A taxpayer who receives notice of a deficiency determination pursuant to NRS 360A.140 and wishes to obtain a redetermination, but is unable to file a petition for a redetermination with the Department as set forth in NAC 360A.200, may request an extension of time to file the petition.

2. The request for an extension of time must:

(a) Be in writing;

(b) Be filed with the Department within 30 days after the taxpayer is served with the notice of deficiency determination; and

(c) Set forth the circumstances the taxpayer believes constitute good cause for the taxpayer’s failure to timely file his or her petition for redetermination.

3. The Department will grant a request for an extension of time if:

(a) The request complies with the provisions of this section and NRS 360A.160; and

(b) The Department determines that there is good cause for the taxpayer’s failure to timely file his or her petition.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.220 Appeal of decision of Department: “Aggrieved by a decision of the Department” interpreted. (NRS 360A.020, 360A.180) As used in NRS 360A.180, the Department will interpret the term “aggrieved by a decision of the Department” to mean affected by any decision of the Department which has an adverse impact on a petitioner including, without limitation, the assessment of monetary damages assessed by the Department and any other decision that may be appealed.

(Added to NAC by Dep’t of Motor Veh. by R150-08, eff. 12-17-2008)

DETERMINATION OF JEOPARDIZED TAXES AND FEES

NAC 360A.250 “Days” interpreted. (NRS 360A.020, 360A.240, 360A.250) The Department interprets the term “days” as used in NRS 360A.240 and 360A.250 to mean business days.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

NAC 360A.260 Petition for reconsideration: Amount and form of security. (NRS 360A.020, 360A.250)

1. A taxpayer who is required to deposit security with the Department to petition for a reconsideration pursuant to NRS 360A.230, 360A.240 and 360A.250 must deposit an amount equal to the amount set forth in the deficiency determination.

2. The security may be in the form of:

(a) A surety bond;

(b) A cash payment; or

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)

PROCEDURES FOR COLLECTION AND ENFORCEMENT

NAC 360A.300 Written notice of intention to lock and seal place of business. (NRS 360A.020, 360A.365) If the Department intends to lock and seal the place of business of a person for violating any provision of NRS 360A.365, the Department will provide the person with written notice not less than 10 business days before the day and time the Department intends to lock and seal the business. The notice may be served personally or by mail in the manner set forth in NRS 360A.365.

(Added to NAC by Dep’t of Motor Veh. by R101-05, eff. 10-31-2005)