NRS374.402. Deferral of payment of tax on certain sales of eligible property.

      1.  A person may apply to the Office of Economic Development for a deferment of the payment of the tax on the sale of eligible property for a sales price of $1,000,000 or more for use by the person in a business in this State. If a purchase is made outside of the State from a retailer who is not registered with the Department, an application for a deferment must be made in advance or, if the purchase has been made, within 60 days after the date on which the tax is due. If a purchase is made in this State from a retailer who is registered with the Department and to whom the tax is paid, an application must be made within 60 days after the payment of the tax. If the application for a deferment is approved, the taxpayer is eligible for a refund of the tax paid.

      2.  The Office of Economic Development shall certify the person’s eligibility for a deferment pursuant to this section if:

      (a) The person meets the eligibility requirements set forth in NRS 360.750 for a partial abatement of the taxes imposed on the person pursuant to this chapter;

      (b) The purchase is consistent with the State Plan for Economic Development developed by the Executive Director of the Office pursuant to subsection 2 of NRS 231.053; and

      (c) The Office determines that:

             (1) The deferment is a significant factor in the decision of the person to locate or expand a business in this State; and

             (2) The eligible property will be retained at the location of the person’s business in this State until at least the date which is 5 years after the date on which the Office certifies the person’s eligibility for the deferment.

Ê Upon certification, the Office shall immediately forward the deferment to the Nevada Tax Commission.

      3.  Upon receipt of such a certification, the Nevada Tax Commission shall verify the sale, the price paid, the date of the sale and the applicable period for payment of the deferred tax. It may require security for the payment in an amount which does not exceed the amount of tax deferred.

      4.  If the Office of Economic Development certifies a person’s eligibility for a deferment pursuant to this section:

      (a) Payment of the total amount of tax due on the sale of the eligible property must be deferred without interest for the 60-month period beginning on the date the Office makes that certification; and

      (b) Payment of the tax must be made in each month, beginning not later than the date which is 1 year after the date on which the Office makes that certification, at a rate which is at least sufficient to result in payment of the total obligation within the period described in paragraph (a).

      5.  The Nevada Tax Commission shall adopt regulations governing:

      (a) The aggregation of related purchases which are made to expand a business, establish a new business, or renovate or replace eligible property; and

      (b) The period within which such purchases may be aggregated.

      6.  As used in this section, “eligible property” does not include any of the following capital assets:

      (a) Buildings or the structural components of buildings;

      (b) Equipment used by a public utility;

      (c) Equipment used for medical treatment;

      (d) Machinery or equipment used in mining; or

      (e) Machinery or equipment used in gaming.

      (Added to NRS by 1985, 2024; A 1989, 215; 2011, 3468; 2013, 27th Special Session, 19)