Senate Bill No. 472–Committee on Taxation

 

(On Behalf of the Office of Veterans’ Services)

 

March 25, 2003

____________

 

Referred to Committee on Taxation

 

SUMMARY—Establishes method for determining total percentage of permanent service-related disability for purposes of calculating disabled veteran’s exemption from property tax. (BDR 32‑523)

 

FISCAL NOTE:  Effect on Local Government: Yes.

                           Effect on the State: Yes.

 

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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; establishing the method for determining the total percentage of permanent service-related disability for the purposes of calculating the disabled veteran’s exemption from the property tax; 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 361.091 is hereby amended to read as follows:

1-2  361.091  1.  A bona fide resident of the State of Nevada who

1-3  has incurred a permanent service-connected disability and has been

1-4  honorably discharged from the Armed Forces of the United States,

1-5  or his surviving spouse, is entitled to a disabled veteran’s

1-6  exemption.

1-7  2.  The amount of exemption is based on the total percentage of

1-8  permanent service-connected disability. The maximum allowable

1-9  exemption for total permanent disability is:

1-10      (a) For Fiscal Year 2001-2002, the first $12,500 assessed

1-11  valuation;

1-12      (b) For Fiscal Year 2002-2003, the first $15,000 assessed

1-13  valuation; and

2-1  (c) For Fiscal Year 2003-2004, the first $17,500 assessed

2-2  valuation.

2-3  3.  A person with a permanent service-connected disability of:

2-4  (a) Eighty to 99 percent, inclusive, is entitled to:

2-5       (1) For Fiscal Year 2001-2002, an exemption of $9,375

2-6  assessed value;

2-7       (2) For Fiscal Year 2002-2003, an exemption of $11,250

2-8  assessed value; and

2-9       (3) For Fiscal Year 2003-2004, an exemption of $13,125

2-10  assessed value.

2-11      (b) Sixty to 79 percent, inclusive, is entitled to:

2-12          (1) For Fiscal Year 2001-2002, an exemption of $6,250

2-13  assessed value;

2-14          (2) For Fiscal Year 2002-2003, an exemption of $7,500

2-15  assessed value; and

2-16          (3) For Fiscal Year 2003-2004, an exemption of $8,750

2-17  assessed value.

2-18  For the purposes of this section, any property in which an applicant

2-19  has any interest is deemed to be the property of the applicant.

2-20      4.  The exemption may be allowed only to a claimant who has

2-21  filed an affidavit with his claim for exemption on real property

2-22  pursuant to NRS 361.155. The affidavit may be made at any time by

2-23  a person claiming an exemption from taxation on personal property.

2-24      5.  The affidavit must be made before the county assessor or a

2-25  notary public and be submitted to the county assessor. It must be to

2-26  the effect that the affiant is a bona fide resident of the State of

2-27  Nevada, that he meets all the other requirements of subsection 1 and

2-28  that he does not claim the exemption in any other county within this

2-29  state. After the filing of the original affidavit, the county assessor

2-30  shall mail a form for renewal of the exemption to the person each

2-31  year following a year in which the exemption was allowed for that

2-32  person. The form must be designed to facilitate its return by mail by

2-33  the person claiming the exemption.

2-34      6.  Before allowing any exemption pursuant to the provisions of

2-35  this section, the county assessor shall require proof of the

2-36  applicant’s status, and for that purpose shall require him to produce

2-37  an original or certified copy of:

2-38      (a) An honorable discharge or other document of honorable

2-39  separation from the Armed Forces of the United States which

2-40  indicates the total percentage of his permanent service-connected

2-41  disability;

2-42      (b) A certificate of satisfactory service which indicates the total

2-43  percentage of his permanent service-connected disability; or

2-44      (c) A certificate from the Department of Veterans Affairs or any

2-45  other military document which shows that he has incurred a

3-1  permanent service-connected disability and which indicates the total

3-2  percentage of that disability, together with a certificate of honorable

3-3  discharge or satisfactory service.

3-4  7.  A surviving spouse claiming an exemption pursuant to this

3-5  section must file with the county assessor an affidavit declaring that:

3-6  (a) The surviving spouse was married to and living with the

3-7  disabled veteran for the 5 years preceding his death;

3-8  (b) The disabled veteran was eligible for the exemption at the

3-9  time of his death or would have been eligible if he had been a

3-10  resident of the State of Nevada;

3-11      (c) The surviving spouse has not remarried; and

3-12      (d) The surviving spouse is a bona fide resident of the State of

3-13  Nevada.

3-14  The affidavit required by this subsection is in addition to the

3-15  certification required pursuant to subsections 5 and 6. After the

3-16  filing of the original affidavit required by this subsection, the county

3-17  assessor shall mail a form for renewal of the exemption to the

3-18  person each year following a year in which the exemption was

3-19  allowed for that person. The form must be designed to facilitate its

3-20  return by mail by the person claiming the exemption.

3-21      8.  If a tax exemption is allowed under this section, the claimant

3-22  is not entitled to an exemption under NRS 361.090.

3-23      9.  If any person makes a false affidavit or produces false proof

3-24  to the county assessor or a notary public, and as a result of the false

3-25  affidavit or false proof, the person is allowed a tax exemption to

3-26  which he is not entitled, he is guilty of a gross misdemeanor.

3-27      10.  As used in this section, “total percentage of permanent

3-28  service-connected disability” means:

3-29      (a) The percentage of disability used by the Department of

3-30  Veterans Affairs to calculate a disabled veteran’s disability

3-31  compensation; or

3-32      (b) The total percentage of permanent service-connected

3-33  unemployability assigned to the disabled veteran by the

3-34  Department of Veterans Affairs,

3-35  whichever is greater.

3-36      Sec. 2.  NRS 361.091 is hereby amended to read as follows:

3-37      361.091  1.  A bona fide resident of the State of Nevada who

3-38  has incurred a permanent service-connected disability and has been

3-39  honorably discharged from the Armed Forces of the United States,

3-40  or his surviving spouse, is entitled to a disabled veteran’s

3-41  exemption.

3-42      2.  The amount of exemption is based on the total percentage of

3-43  permanent service-connected disability. The maximum allowable

3-44  exemption for total permanent disability is the first $20,000 assessed

4-1  valuation. A person with a permanent service-connected disability

4-2  of:

4-3  (a) Eighty to 99 percent, inclusive, is entitled to an exemption of

4-4  $15,000 assessed value.

4-5  (b) Sixty to 79 percent, inclusive, is entitled to an exemption of

4-6  $10,000 assessed value.

4-7  For the purposes of this section, any property in which an applicant

4-8  has any interest is deemed to be the property of the applicant.

4-9  3.  The exemption may be allowed only to a claimant who has

4-10  filed an affidavit with his claim for exemption on real property

4-11  pursuant to NRS 361.155. The affidavit may be made at any time by

4-12  a person claiming an exemption from taxation on personal property.

4-13      4.  The affidavit must be made before the county assessor or a

4-14  notary public and be submitted to the county assessor. It must be to

4-15  the effect that the affiant is a bona fide resident of the State of

4-16  Nevada, that he meets all the other requirements of subsection 1 and

4-17  that he does not claim the exemption in any other county within this

4-18  state. After the filing of the original affidavit, the county assessor

4-19  shall mail a form for renewal of the exemption to the person each

4-20  year following a year in which the exemption was allowed for that

4-21  person. The form must be designed to facilitate its return by mail by

4-22  the person claiming the exemption.

4-23      5.  Before allowing any exemption pursuant to the provisions of

4-24  this section, the county assessor shall require proof of the

4-25  applicant’s status, and for that purpose shall require him to produce

4-26  an original or certified copy of:

4-27      (a) An honorable discharge or other document of honorable

4-28  separation from the Armed Forces of the United States which

4-29  indicates the total percentage of his permanent service-connected

4-30  disability;

4-31      (b) A certificate of satisfactory service which indicates the total

4-32  percentage of his permanent service-connected disability; or

4-33      (c) A certificate from the Department of Veterans Affairs or any

4-34  other military document which shows that he has incurred a

4-35  permanent service-connected disability and which indicates the total

4-36  percentage of that disability, together with a certificate of honorable

4-37  discharge or satisfactory service.

4-38      6.  A surviving spouse claiming an exemption pursuant to this

4-39  section must file with the county assessor an affidavit declaring that:

4-40      (a) The surviving spouse was married to and living with the

4-41  disabled veteran for the 5 years preceding his death;

4-42      (b) The disabled veteran was eligible for the exemption at the

4-43  time of his death or would have been eligible if he had been a

4-44  resident of the State of Nevada;

4-45      (c) The surviving spouse has not remarried; and

5-1  (d) The surviving spouse is a bona fide resident of the State of

5-2  Nevada.

5-3  The affidavit required by this subsection is in addition to the

5-4  certification required pursuant to subsections 4 and 5. After the

5-5  filing of the original affidavit required by this subsection, the county

5-6  assessor shall mail a form for renewal of the exemption to the

5-7  person each year following a year in which the exemption was

5-8  allowed for that person. The form must be designed to facilitate its

5-9  return by mail by the person claiming the exemption.

5-10      7.  If a tax exemption is allowed under this section, the claimant

5-11  is not entitled to an exemption under NRS 361.090.

5-12      8.  If any person makes a false affidavit or produces false proof

5-13  to the county assessor or a notary public, and as a result of the false

5-14  affidavit or false proof, the person is allowed a tax exemption to

5-15  which he is not entitled, he is guilty of a gross misdemeanor.

5-16      9.  Beginning with the 2005-2006 Fiscal Year, the monetary

5-17  amounts in subsection 2 must be adjusted for each fiscal year by

5-18  adding to the amount the product of the amount multiplied by the

5-19  percentage increase in the Consumer Price Index (All Items) from

5-20  December 2003 to the December preceding the fiscal year for which

5-21  the adjustment is calculated.

5-22      10.  As used in this section, “total percentage of permanent

5-23  service-connected disability” means:

5-24      (a) The percentage of disability used by the Department of

5-25  Veterans Affairs to calculate a disabled veteran’s disability

5-26  compensation; or

5-27      (b) The total percentage of permanent service-connected

5-28  unemployability assigned to the disabled veteran by the

5-29  Department of Veterans Affairs,

5-30  whichever is greater.

5-31      Sec. 3.  1.  This section and section 1 of this act become

5-32  effective on July 1, 2003.

5-33      2.  Section 2 of this act becomes effective on July 1, 2004.

 

5-34  H