requires two-thirds majority vote (§ 1)                                                                                                                 

                                                                                                  

 

Assembly Bill No. 339–Assemblyman Collins

 

March 17, 2003

____________

 

Referred to Committee on Taxation

 

SUMMARY—Increases business tax. (BDR 32‑79)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: No.

 

~

 

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

 

AN ACT relating to taxation; increasing the tax on the privilege of conducting business in this state; 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 364A.140 is hereby amended to read as

1-2  follows:

1-3  364A.140  1.  A tax is hereby imposed upon the privilege of

1-4  conducting business in this state. Except as otherwise provided in

1-5  this section, the tax for each calendar quarter is due on the last day

1-6  of the quarter and must be paid on or before the last day of the

1-7  month immediately following the quarter on the basis of the total

1-8  number of equivalent full-time employees employed by the business

1-9  in the quarter.

1-10      2.  If the tax required to be paid by a business for a calendar

1-11  quarter pursuant to subsection 1 is less than [$25,] $35, the business

1-12  may submit a written request to the Department to pay the tax

1-13  annually for each calendar quarter of a fiscal year ending June 30.

1-14  Upon approval of the request, the tax becomes due on the last day of

1-15  the fiscal year and must be paid on or before the last day of July

1-16  immediately following the fiscal year. If a business ceases operation

1-17  before the end of the fiscal year, the tax becomes due on the date on

1-18  which the business ceases its operation and must be paid on or

1-19  before the last day of the month immediately following the calendar

1-20  quarter in which the business ceases its operation. A business may

2-1  continue to pay the tax annually until the Department withdraws its

2-2  approval for the annual payment. The Department may withdraw its

2-3  approval at any time if it determines that the tax due for any

2-4  calendar quarter is at least [$25.] $35.

2-5  3.  The total number of equivalent full-time employees

2-6  employed by a business in a quarter must be calculated pursuant to

2-7  NRS 364A.150.

2-8  4.  Except as otherwise provided in NRS 364A.152 and

2-9  364A.170, the amount of tax due for a business for each calendar

2-10  quarter is [$25] $35 for each equivalent full-time employee

2-11  employed by the business in the quarter.

2-12      5.  Each business shall file a return on a form prescribed by the

2-13  Department with each remittance of the tax. If the payment due is

2-14  greater than $1,000, the payment must be made by direct deposit at

2-15  a bank or credit union in which the State has an account, unless the

2-16  Department waives this requirement pursuant to regulations adopted

2-17  by the Commission. The return must include:

2-18      (a) If the tax is paid quarterly, a statement of the number of

2-19  equivalent full-time employees employed by the business in the

2-20  preceding quarter and any other information the Department

2-21  determines is necessary.

2-22      (b) If the tax is paid annually, a statement of the number of

2-23  equivalent full-time employees employed by the business for each

2-24  calendar quarter of the preceding fiscal year and any other

2-25  information the Department determines is necessary.

2-26      6.  The Commission shall adopt regulations concerning the

2-27  payment of the tax imposed pursuant to this section by direct

2-28  deposit.

2-29      Sec. 2.  NRS 364A.330 is hereby amended to read as follows:

2-30      364A.330  1.  If any amount in excess of [$25] $35 has been

2-31  illegally determined, either by the person filing the return or by the

2-32  Department, the Department shall certify this fact to the State Board

2-33  of Examiners, and the latter shall authorize the cancellation of the

2-34  amount upon the records of the Department.

2-35      2.  If an amount not exceeding [$25] $35 has been illegally

2-36  determined, either by the person or business filing a return or by the

2-37  Department, the Department without certifying this fact to the State

2-38  Board of Examiners, shall authorize the cancellation of the amount

2-39  upon the records of the Department.

2-40      Sec. 3.  This act becomes effective on July 1, 2003.

 

2-41  H