Senate Bill No. 223

Senate Bill No. 223-Senator Porter

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AN ACT relating to taxation; exempting leaded racing fuel from certain taxes on motor vehicle fuel; reducing the rate of taxation on aviation fuel; authorizing counties to impose a tax on aviation fuel; and providing other matters properly relating thereto.

[Approved June 12, 1997]

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

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Section 1. NRS 365.170 is hereby amended to read as follows:
365.170 1. Every dealer shall, not later than the 25th day of each calendar month:
(a) Render to the department a statement of all motor vehicle fuel and fuel for jet or turbine-powered aircraft sold, distributed or used by him in the State of Nevada, as well as all such fuel sold, distributed or used in this state by a purchaser thereof upon which sale, distribution or use the dealer has assumed liability for the tax thereon [under] pursuant to NRS 365.020, during the preceding calendar month; and
(b) Pay an excise tax on:
(1) All fuel for jet or turbine-powered aircraft in the amount of 1 cent per gallon, plus any amount imposed by the county in which the fuel is sold, distributed or used pursuant to NRS 365.203;
(2) Aviation fuel in the amount of [10.5] 2 cents per gallon [;] , plus any amount imposed by the county in which the fuel is sold, distributed or used pursuant to NRS 365.203; and
(3) All other motor vehicle fuel in the amount of 17.65 cents per gallon,
so sold, distributed or used, in the manner and within the time prescribed in this chapter.
2. A dealer shall hold the amount of all taxes collected pursuant to this chapter in a separate account in trust for the state.
3. The department for good cause may extend for not more than 30 days the time for making any report or return required [under] pursuant to this chapter. The extension may be granted at any time if:
(a) A request therefor has been filed with the department within or before the period for which the extension may be granted; and
(b) A remittance of the estimated tax is made when due.
4. Any report, return, remittance to cover a payment or claim for credit or refund required by this chapter which is transmitted through the United States mail shall be deemed filed or received by the department on the date shown by the post office cancellation mark stamped upon the envelope containing it, or on the date it was mailed if proof satisfactory to the department establishes that the document or remittance was timely deposited in the United States mail properly addressed to the department.
Sec. 2. NRS 365.203 is hereby amended to read as follows:
365.203 1. A board of county commissioners may by ordinance, but not as in a case of emergency, [after receiving the approval of a majority of the registered voters of the county voting on the question at a primary, general or special election,] impose a tax of not more than [4] :
(a) Four cents per gallon on fuel for jet or turbine-powered aircraft sold, distributed or used in the county [.] , after receiving the approval of a majority of the registered voters of the county voting on the question at a primary, general or special election; and
(b) Eight cents per gallon on aviation fuel.
A county may combine this question with questions submitted pursuant to NRS 244.3351, 278.710, 371.045 or 377A.020, or any combination thereof.
2. A special election may be held only if the board of county commissioners determines, by a unanimous vote, that an emergency exists. The determination made by the board is conclusive unless it is shown that the board acted with fraud or a gross abuse of discretion. An action to challenge the determination made by the board must be commenced within 15 days after the board's determination is final. As used in this subsection, "emergency" means any unexpected occurrence or combination of occurrences which requires immediate action by the board of county commissioners to prevent or mitigate a substantial financial loss to the county or to enable the board to provide an essential service to the residents of the county.
3. A tax imposed pursuant to this section must be imposed on all taxpayers at the same rate. The county shall not allow any discounts, exemptions or other variance of the rate of the tax for any taxpayer except for the state or a political subdivision of the state.
4. Collection of the tax imposed pursuant to this section must not commence earlier than the first day of the second calendar month after adoption of the ordinance imposing the tax.
Sec. 3. NRS 365.210 is hereby amended to read as follows:
365.210 1. No county, city or other political subdivision or municipal corporation may levy or collect any excise, privilege or occupation tax upon or measured by the receipt, storage, sale, distribution, transportation or use of motor vehicle fuel, fuel for jet or turbine-powered aircraft or any other inflammable or combustible liquids except:
(a) The county motor vehicle fuel tax authorized by chapter 373 of NRS.
(b) A tax on fuel for jet or turbine-powered aircraft authorized by NRS 365.203.
(c) A tax on aviation fuel authorized by NRS 365.203.
(d) Any motor vehicle fuel taxation in effect on January 1, 1935, in any city or town.
[(d)] (e) County and city business license taxes where otherwise authorized by law, except as otherwise provided in subsection 2.
2. After March 25, 1991, no county, city or other political subdivision or municipal corporation responsible for the operation of an airport may impose a new tax or fee upon the sale or distribution of fuel for jet or turbine-powered aircraft except:
(a) A tax on fuel for jet or turbine-powered aircraft authorized by NRS 365.203.
(b) Any fuel flowage fee imposed upon aircraft or organizations servicing aircraft in lieu of rent for use of the terminal, landing fees or other airport charges.
Sec. 4. NRS 365.220 is hereby amended to read as follows:
365.220The provisions of this chapter requiring the payment of excise taxes do not apply to any of the following:
1. Motor vehicle fuel so long as it remains in interstate or foreign commerce.
2. Motor vehicle fuel or fuel for jet or turbine-powered aircraft exported from this state by a dealer.
3. Motor vehicle fuel or fuel for jet or turbine-powered aircraft sold to the United States Government for official use of the United States Armed Forces.
4. Motor vehicle fuel or fuel for jet or turbine-powered aircraft distributed, or delivered on the order of the owner, to a dealer who has furnished security in the amount prescribed in NRS 365.290 and who has established to the satisfaction of the department that the security is sufficient to ensure payment of all excise taxes as they may become due to the state from him under this chapter. Every dealer who claims an exemption shall report the distributions to the department in such detail as the department may require . [; otherwise,] If he does not do so, the exemption granted in this subsection is void and all fuel is considered distributed in this state subject fully to the provisions of this chapter.
5. Leaded racing fuel. As used in this subsection, "leaded racing fuel" means motor vehicle fuel that contains lead and is produced for motor vehicles that are designed and built for racing and not for operation on a public highway.
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