Existing law provides an exemption from sales and use taxes on purchases of tangible personal property by members of the Nevada National Guard who are on active status and who are residents of this State and certain relatives of such members of the Nevada National Guard if the purchase occurs on the date on which Nevada Day is observed or the immediately following Saturday or Sunday. (NRS 372.7281, 374.7285) To claim this exemption from the tax on the purchase of tangible person property, existing law requires a person who is eligible for the exemption to obtain a letter of exemption from the Department of Taxation and to provide a copy of the letter to the retailer from whom the person purchases tangible person property. (NRS 372.7282, 374.7286) This bill revises the manner in which a member of the Nevada National Guard or a relative of a member of the Nevada National Guard claims this exemption. This bill removes the requirement that to claim the exemption, the person must provide a copy of the letter of exemption to the retailer. Instead, this bill requires: (1) a retailer to collect the tax on the purchase of tangible personal property that qualifies for the exemption under existing law; and (2) the person who claims the exemption to submit to the Department a request for a refund of the tax, a copy of the letter of exemption issued to the person and the receipt issued to the person by the retailer indicating that the person paid the tax. Under this bill, the Department is required to issue a refund of the tax to a person who submits the required information.

Statutes affected:
As Introduced: 372.7282, 374.7286
Reprint 1: 372.7282, 374.7286
As Enrolled: 372.7282, 374.7286