Existing law imposes a basic tax for governmental services for the privilege of operating any vehicle upon the public highways of this State, which is collected by the Department of Motor Vehicles. (NRS 371.030, 482.260) Under existing law, the basic governmental services tax is 4 cents on each $1 of the valuation of the vehicle, and the valuation of the vehicle is 35 percent of the manufacturer's suggested retail price in Nevada with a reduction based on the age of the vehicle using a depreciation schedule set forth in existing law. (NRS 371.040, 371.050, 371.060) Senate Bill No. 429 of the 2009 Legislative Session (S.B. 429) increased the amount of governmental services taxes due annually for used vehicles by reducing the amount of depreciation allowed and increasing the minimum tax. Existing law allocates the revenue from this portion of the governmental services tax, with 25 percent of the proceeds allocated to the State General Fund and 75 percent of the proceeds allocated to the State Highway Fund. (NRS 482.182) Section 2 of this bill removes the allocation of these proceeds to the General Fund and, instead, requires the Department to direct that the entire amount of these proceeds be transferred to the State Highway Fund. Sections 1 and 3 of this bill make conforming changes to reflect that the entire amount of these proceeds must be transferred to the State Highway Fund.

Statutes affected:
As Introduced: 482.181, 482.182, 706.211
As Enrolled: 482.181, 482.182, 706.211
BDR: 482.181, 482.182, 706.211