Under existing law, financial institutions, mining businesses and other employers are required to pay an excise tax (the modified business tax) on wages paid by them. (NRS 363A.130, 363B.110) Sections 1-4 of this bill establish a credit against the modified business tax equal to an amount which is approved by the Department of Taxation and which must not exceed the amount of any donation of money made by a taxpayer to an organization that provides grants to hospitals in this State that establish a new residency training or postdoctoral fellowship program in primary care or an underserved specialty. Under sections 2 and 4 of this bill, the total credits authorized and approved by the Department of Taxation for fiscal year 2023-2024 must not exceed $4,000,000, and this limit is increased each year by 3 percent of the amount approved for the previous fiscal year. Section 7 of this bill provides that an organization receiving a donation for which a tax credit was approved: (1) must provide grants to public or private institutions, including, without limitation, that establish new residency training or postdoctoral fellowship programs in primary care or underserved specialties; and (2) may receive gifts, grants and donations from any source to establish a new residency training or postdoctoral fellowship program in primary care or an underserved specialty. Section 7 requires a recipient of a grant to repay the grant to the organization if, within 36 months after receipt of the grant, the recipient has not established a new residency training or postdoctoral fellowship program in primary care or an underserved specialty. Section 8 of this bill requires an organization that receives a donation for which a tax credit is approved to report to the Nevada Health Service Corps established at the University of Nevada School of Medicine: (1) certain identifying information for the organization; (2) the total relevant donations, gifts and grants received by the organization in the preceding calendar year; (3) the total dollar amount of such donations, gifts and grants; (4) the total number of recipients which received a grant from the organization in the preceding calendar year; (5) the total dollar amount of such grants made to recipients; and (6) certain information concerning such recipients, including, without limitation, the progress made in establishing a new residency training or postdoctoral fellowship program.

Statutes affected:
As Introduced: 363A.130, 363B.110
BDR: 363A.130, 363B.110