[Rev. 11/22/2013 10:23:42 AM--2013]
[NAC-680B Revised Date: 1-10]
CHAPTER 680B - INSURANCE: FEES AND TAXES
FILING REQUIREMENTS
680B.005 “Commissioner” defined.
680B.010 Submission of form for assessing fees; time for action by Commissioner.
680B.020 Forms for a new policy.
680B.030 Submitting several types of forms; form for waiver or other amendment.
680B.040 Filing of rates.
680B.050 Filing to conform to new law.
680B.070 Submission in response to request by Commissioner.
680B.090 Resubmission of disapproved form; fees not refundable; credit for overpayment.
680B.095 Fees: Payment by electronic transfer.
GENERAL TAX ON PREMIUMS
680B.150 Definitions.
680B.160 “Ad valorem credit” defined.
680B.170 “Executive Director” defined.
680B.180 “Fifty percent credit” defined.
680B.190 “Net direct premiums and net direct considerations written during the preceding calendar quarter” defined.
680B.200 Illustration of proper application of NRS 680B.032.
680B.210 Application of fifty percent credit and ad valorem credit against tax imposed for privilege of transacting business in this State.
680B.220 Application of fifty percent credit if home office or regional home office in Nevada.
680B.230 Application of ad valorem credit if home office or regional home office in Nevada.
680B.240 Failure to satisfy requirements for credits for maintaining home office; payment of deficiency and interest.
680B.250 Credit against tax imposed in succeeding calendar year.
FILING REQUIREMENTS
NAC 680B.005 “Commissioner” defined. As used in this chapter, unless the context otherwise requires, “Commissioner” means the Commissioner of Insurance.
(Supplied in codification)
NAC 680B.010 Submission of form for assessing fees; time for action by Commissioner. (NRS 679B.130)
1. An insurer who submits a form for an insurance policy, rate, rider or endorsement or a broker who submits a memorandum of open lines insurance or brokers affidavit of surplus lines insurance to the Commissioner must complete and submit with that form a copy of the Commissioner’s form for assessing fees or the Commissioner will not consider the submission to be complete.
2. If the form being submitted is one upon which the Commissioner by law has a limited time to act, the time for the Commissioner to act does not begin to run until the appropriate filing fee is paid and the submission is complete.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.020 Forms for a new policy. (NRS 679B.130) In submitting the forms for a new policy, an insurer may, for a single filing fee, include any number of filings of rates and of forms for riders and endorsements which are necessary to carry out a complete program for the sale of the policy.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.030 Submitting several types of forms; form for waiver or other amendment. (NRS 679B.130)
1. In submitting under one letter of transmittal several types of forms which amend previously approved policies, an insurer must pay the appropriate filing fee for each type of form.
2. For the purpose of assessing a filing fee, the form for a waiver or other amendment to a policy is equivalent to a rider or endorsement.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.040 Filing of rates. (NRS 679B.130)
1. In submitting the rates for a policy previously approved by the Commissioner, an insurer may include any number of changes to the rates and to the classifications and rules for the rates for a single filing fee.
2. For the purpose of assessing a filing fee:
(a) An application which is submitted to the Commissioner pursuant to NAC 686B.520 for consent to charge an insured a different rate for a specific risk than the rate previously approved by the Commissioner constitutes the filing of a rate.
(b) Any filing with the Commissioner of schedules of premiums, dues, fees or other charges pursuant to chapter 686B, 690A, 695B or 695C of NRS is a filing of rates.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84; A 12-15-94; R120-07, 1-30-2008)
NAC 680B.050 Filing to conform to new law. (NRS 679B.130) An insurer may file any number of forms for a single filing fee in order to comply with a new law requiring changes in coverage if the forms are so identified in the letter of transmittal that accompanies the submission.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.070 Submission in response to request by Commissioner. (NRS 679B.130) A broker, insurer or group of insurers which submits information to the Commissioner in response to a specific request by him will not be charged a filing fee even if the information is in the form of a policy, rate or rider, an endorsement or other amendment to a policy, or an affidavit of surplus lines insurance or a memorandum of open lines insurance, if the submission is identified in the letter of transmittal as being made in response to the Commissioner’s request.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.090 Resubmission of disapproved form; fees not refundable; credit for overpayment. (NRS 679B.130)
1. If the Commissioner disapproves a form which has been filed by an insurer, any resubmission of that form must be accompanied by the appropriate fee.
2. A fee which is paid to the Commissioner when a form is filed is not refundable except that the Commissioner will give an insurer credit against fees assessed in subsequent filings if it has paid fees in excess of those required by law.
(Added to NAC by Comm’r of Insurance, eff. 1-19-84)
NAC 680B.095 Fees: Payment by electronic transfer. (NRS 679B.130, 679B.136) Any fees required to be paid for filing forms with the Commissioner may be paid in accordance with the program adopted by the State Treasurer that provides for the electronic transfer of money for the payment of money owed.
(Added to NAC by Comm’r of Insurance by R115-02, eff. 3-18-2003)
GENERAL TAX ON PREMIUMS
NAC 680B.150 Definitions. (NRS 360.090, 680B.027) As used in NAC 680B.150 to 680B.250, inclusive, unless the context otherwise requires, the words and terms defined in NAC 680B.160 to 680B.190, inclusive, have the meanings ascribed to them in those sections.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.160 “Ad valorem credit” defined. (NRS 360.090, 680B.027) “Ad valorem credit” means the credit set forth in paragraph (b) of subsection 1 of NRS 680B.050.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.170 “Executive Director” defined. (NRS 360.090, 680B.027) “Executive Director” means the Executive Director of the Department of Taxation.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.180 “Fifty percent credit” defined. (NRS 360.090, 680B.027) “Fifty percent credit” means the credit set forth in paragraph (a) of subsection 1 of NRS 680B.050.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.190 “Net direct premiums and net direct considerations written during the preceding calendar quarter” defined. (NRS 360.090, 680B.027) “Net direct premiums and net direct considerations written during the preceding calendar quarter” means those net direct premiums and net direct considerations written during the same quarter for which each quarterly report and payment is due pursuant to the provisions of NRS 680B.032.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.200 Illustration of proper application of NRS 680B.032. (NRS 360.090, 680B.027, 680B.032) The following example is given to illustrate the proper application of NRS 680B.032. If an insurer writes $500,000 of net direct premiums and net direct considerations during the quarter that runs from January 1 to March 31 of a calendar year and the insurer is required to file quarterly reports and make quarterly payments pursuant to the provisions of NRS 680B.032, the insurer shall file its quarterly report and make its quarterly payment of taxes on that $500,000 by April 30 of that same calendar year.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.210 Application of fifty percent credit and ad valorem credit against tax imposed for privilege of transacting business in this State. (NRS 360.090, 680B.027, 680B.050)
1. Except as otherwise provided in NAC 680B.240, an insurer who has established to the satisfaction of the Executive Director that it meets all the requirements set forth in NRS 680B.050 and 680B.055 may apply:
(a) The fifty percent credit; and
(b) The ad valorem credit,
Ê against the tax imposed by NRS 680B.027.
2. Such an insurer shall apply these credits pursuant to the provisions of NAC 680B.220 to 680B.250, inclusive.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.220 Application of fifty percent credit if home office or regional home office in Nevada. (NRS 360.090, 680B.027, 680B.050) Except as otherwise provided in NAC 680B.240, an insurer who has established to the satisfaction of the Executive Director that the insurer meets all the requirements set forth in NRS 680B.050 and 680B.055 and wishes to apply the fifty percent credit shall:
1. If the insurer is required to file quarterly reports and make quarterly payments pursuant to NRS 680B.032, reduce by 50 percent the amount of the tax required to be paid on net direct premiums and net direct considerations written during the preceding calendar quarter when the insurer files the quarterly reports and makes the quarterly payments pursuant to the provisions of NRS 680B.032.
2. If the insurer is not required to file quarterly reports and make quarterly payments pursuant to the provisions of NRS 680B.032, reduce by 50 percent the aggregate amount of the tax required to be paid on net direct premiums and net direct considerations written during the immediately preceding calendar year when the insurer files the annual report and makes the annual payment pursuant to the provisions of NRS 680B.030.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.230 Application of ad valorem credit if home office or regional home office in Nevada. (NRS 360.090, 680B.027, 680B.050)
1. Except as otherwise provided in NAC 680B.240, an insurer who has established to the satisfaction of the Executive Director that it meets all the requirements set forth in NRS 680B.050 and 680B.055 and wishes to apply the ad valorem credit shall reduce the amount of tax the insurer is required to pay pursuant to NRS 680B.027 by the amount of the ad valorem credit when the insurer files the annual report and makes the annual payment pursuant to the provisions of NRS 680B.030.
2. An insurer who is required to file quarterly reports and make quarterly payments pursuant to the provisions of NRS 680B.032 may not reduce the amount of tax the insurer is required to pay pursuant to NRS 680B.027 by the amount of the ad valorem credit or any portion of that amount when the insurer files the quarterly reports and makes the quarterly payments pursuant to the provisions of NRS 680B.032.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.240 Failure to satisfy requirements for credits for maintaining home office; payment of deficiency and interest. (NRS 360.090, 680B.027, 680B.050)
1. If an insurer fails to satisfy the requirements of NRS 680B.050 or 680B.055 for the entire year for which the credits for maintaining a home office in this State are claimed, the insurer is not entitled to any credit for that entire calendar year.
2. If the Nevada Tax Commission, the Department of Taxation or a court of competent jurisdiction determines that an insurer who applied the fifty percent credit when the insurer filed a quarterly report and made a quarterly payment pursuant to the provisions of NRS 680B.032 has subsequently failed to satisfy the requirements of NRS 680B.050 or 680B.055 during the same calendar year in which the insurer made the quarterly payment, the insurer shall remit to the Department of Taxation:
(a) The difference between the amount the insurer set forth as the quarterly payment in the quarterly report filed with the Department of Taxation and the amount the insurer would have owed for the quarterly payment if the insurer had not applied the fifty percent credit and any other amount that the Nevada Tax Commission, the Department of Taxation or a court of competent jurisdiction determines to be a deficiency; and
(b) All applicable interest owed for failure to pay the full amount in a timely manner. Such interest must be based on the difference between the amount the insurer set forth as the quarterly payment in the quarterly report filed with the Department of Taxation and the amount the insurer would have owed for the quarterly payment if the insurer had not applied the fifty percent credit and any other amount that the Nevada Tax Commission, the Department of Taxation or a court of competent jurisdiction determines to be a deficiency.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)
NAC 680B.250 Credit against tax imposed in succeeding calendar year. (NRS 360.090, 680B.027, 680B.050) If an insurer is not entitled to a certain amount of the fifty percent credit or the ad valorem credit because it would reduce the amount of tax payable to less than 20 percent of the tax otherwise payable for that year pursuant to the provisions of NRS 680B.027, the insurer may not carry forward that amount of either credit for use as a credit against the tax imposed by NRS 680B.027 in a succeeding calendar year.
(Added to NAC by Tax Comm’n by R006-98, eff. 11-20-98)