NRS372.347. Claim of exemption: Information required; electronic system; identification system; records; liability for improper claim.

      1.  If a purchaser wishes to claim an exemption from the taxes imposed by this chapter, the retailer shall obtain such information from the purchaser as is required by the Department.

      2.  The Department shall, to the extent feasible, establish an electronic system for submitting a request for an exemption. A purchaser is not required to provide a signature to claim an exemption if the request is submitted electronically.

      3.  The Department may establish a system whereby a purchaser who is exempt from the payment of the taxes imposed by this chapter is issued an identification number that can be presented to the retailer at the time of sale.

      4.  A retailer shall maintain such records of exempt transactions as are required by the Department and provide those records to the Department upon request.

      5.  Except as otherwise provided in this subsection, a retailer who complies with the provisions of this section is not liable for the payment of any tax imposed by this chapter if the purchaser improperly claims an exemption. If the purchaser improperly claims an exemption, the purchaser is liable for the payment of the tax. The provisions of this subsection do not apply if the retailer:

      (a) Fraudulently fails to collect the tax;

      (b) Solicits a purchaser to participate in an unlawful claim of an exemption; or

      (c) Accepts a certificate of exemption from a purchaser who claims an entity-based exemption, the subject of the transaction sought to be covered by the certificate is actually received by the purchaser at a location operated by the seller, and the Department provides, and posts on a website or other Internet site that is operated or administered by or on behalf of the Department, a certificate of exemption which clearly and affirmatively indicates that the claimed exemption is not available.

      6.  As used in this section:

      (a) “Entity-based exemption” means an exemption based on who purchases the product or who sells the product, and which is not available to all.

      (b) “Retailer” includes a certified service provider, as that term is defined in NRS 360B.060, acting on behalf of a retailer who is registered pursuant to NRS 360B.200.

      (Added to NRS by 2003, 2362; A 2005, 1778; 2007, 2312; 2011, 2756)