Nevada Revised Statutes Affidavit by tnz60668

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									   STATE OF NEVADA
DEPARTMENT OF TAXATION
Automotive
 Industry
      LAWS GOVERNING AUTO
            INDUSTRY
Two of the main chapters of the Nevada Revised Statutes
  and Nevada Administrative Code discussed today are:

• Chapter 372: Sales and Use
  Taxes

• Chapter 482: Motor Vehicles and Trailers:
   Licensing, Registration, Sales and Leases

Also referenced will be chapter 374, Local School Support
  Tax
        Automobile Industry
The Department of Taxation administers the
sales/use tax laws and regulations while the
       Department of Motor Vehicles
       (DMV) administers laws and
regulations governing the licensing, selling,
titling and other related issues involving
vehicles which are required to be
licensed to drive on a public highway
(NRS 482.135)
        Automobile Industry
The Department of Taxation looks to some
 of the definitions contained in NRS
 Chapter 482 for guidance in making
 determinations of taxability.
          Automobile Industry
Some useful sources of information can be found
  at:
DMV main website: http://www.dmvnv.com/index.htm

DMV Registration/Title Guide:
 http://www.dmvnv.com/pdfforms/regtitle.pdf

Department of Taxation: http://www.tax.state.nv.us

Statutes and Nevada Administrative Code at
  http://www.leg.state.nv.us/law1.cfm
        Automobile Industry
Laws affecting automobile industry
• Trade Ins
• Trade down
• Dealer Special Plates – they are gone
   Automobile Industry - Sales
• NRS 372.025, “Gross Receipts” is a
  primary statute describing what is included
  in gross receipts and what is not included:
• Included
     All receipts, cash, property
     Manufacturer’s discounts, or rebates
     Mandatory warranties
     Services that are part of the sale
   Automobile Industry - Sales
• NRS 372.025, “Gross Receipts” - what is
  not included:
    Dealer issued discounts
    Luxury Tax imposed by the U.S.Government
    Drive-away permit costs
    Optional Warranties
    Automobile Industry-Sales
•Sales to Military:      Generally taxable
• Sales to Students:     Generally taxable
• Sales to Native Americans: Generally taxable
• Sales to Snowbirds:    Sometimes taxable
•Sales to Active Nevada National Guard
members:                       Generally exempt
   Automobile Industry – Taxable
               Sales
•Tire Sales
•Smog fees
•Doc(ument) fees
•Parts Sales
•Repairs
•Shop Supplies
                       Tire Tax
A fee for the sale of a new tire is
 subject to a“Tire Tax” of $1.00 per
tire sold. (NRS 444A)
A tire for a vehicle includes a tire for
a motorized vehicle that is 12 inches or larger
Vehicle is defined as any device which may be
transported upon land
A retailer of tire sales must be registered with the
Department of Taxation
                            Tire Tax
The fee does NOT include:
• Recapped or used tires which are sold again
• Any tires included in the sale of a new or used vehicle, unless the
  tires are sold in a separate transaction.


“Vehicle” does not include:
   a.   Devices moved by human or electrical power
   b.   Commercial coaches (NRS 489.062)
   c.   Electric personal assistive mobility devices (NRS 482.029
   d.   Mobile homes (NRS 489.120)
                 Tire Tax
•The return is due monthly
•Remit 95% of total fees collected
•The retailer keeps 5% of the fee
•The retailer must retain their records for
 four years
Example
 of the
Tire Tax
Return
      Automobile Industry-Sales
Giveaway cars in casino promotions

 Transaction between dealership & casino
              =      Nevada sale

    Casino posts contest rules-winner pays tax
              = Winner paying Casino tax burden
              = Nevada sale
     Automobile Industry - Sales
Trade-Ins are reportable at full county tax
rate (Clark County = 8.1% as of 7/1/2009)

Trade-Downs (Trade-in allowance reportable limited to amount of
new vehicle purchase) (Example: New vehicle purchase: $15,000
Trade-down amount: $20,000. Trade-in allowed on sales/use tax return =
$15,000)
  NEVADA DEPT OF TAXATION                                                              Permit No.:
VEHICLE/VESSEL TRADE-IN/TRADE-DOWN
SUPPLEMENTAL REPORTING FORM
Mail Original with your Sales/Use Tax Return                                         FOR DEPARTMENT USE ONLY   NOTE: This form
                                                                                                               is no longer
Due on or before
                                                                                                               needed for a
                                                                                                               VEHICLE trade-
                                                                   For month ending
                                                                                                               in; however,
                                                        TRADE IN                                               trade-in of a
                  RATE                         COUNTY TRADE IN VALUE
1. County Rate 6.5%                                                          Calc Tax @ 4.5%
                                                                                                               vessel will require
2. County Rate 6.75%                                                         Calc Tax @ 4.75%                  use of this form.
3. County Rate 7%                                                            Calc Tax @ 5%
4. County Rate 7.125%                                                        Calc Tax @ 5.125%                 Trade-ins of
5. County Rate 7.25%                                                         Calc Tax @ 5.25%
6. County Rate 7.375%                                                        Calc Tax @ 5.375%                 vessels do not get
7. County Rate 7.5%                                                          Calc Tax @ 5.5%                   the full tax credit;
                                                                                        Sub Total
                                                             Less .5% Collection Allowance                     in using this form
                                                                       (A) Total Allowance
             Subtract (A) from Line 25 of your regular Sales/Use Tax Return
                                                                                                               to record a vessel
   TRADE DOWN (use when vehicle/vessel sold is worth less than vehicle/vessel taken in trade)                  trade-in, use the
1. Selling Price of New Vehicle/Vessel
2. Selling Price of New Vehicle/Vessel                                                                         full county tax rate
3. Selling Price of New Vehicle/Vessel                                                                         less 2%.
                                                                                        Sub Total
                                                                                       Tax @ 2%                (Example: Clark
                                                             Less .5% Collection Allowance
                                                                                                               County full tax
                                                                       (B) Total Allowance
                                   Add (B) to Line 25 of your regular Sales/Use Tax Return                     rate as of
   SIGNATURE                                                          PHONE NUMBER
                                                                                                               7/1/2009 is 8.1%.
   PRINT NAME                                                         FEDERAL ID OR SOCIAL SECURITY NUMBER
                                                                                                               Vessels trade-in
   TITLE                                                              DATE
                                                                                                               tax rate is 6.1%)
          Trade-In Transaction
• Current reporting requirements
               …………..as of 1/1/2007
   Trade-In Transaction:

     Car sale……………………………………………….$20,000
           report in Column   A of sales tax return
      Trade-in……………………………………………….$10,000
           report in Column B of sales tax return
   Trade-Down Transactions
• Reporting requirements
               ………………..as                           of   1/1/2007
  Trade-DownTransaction:

    Car sale……………………………………………….$20,000
         report in Column   A of sales tax return
    Trade-in……………………………………………….$25,000
         report   only $20,000 in Column B of sales tax return
   Automobile Industry - Sales
• Unwinds – Not Taxable



• Repossessions – Taxable



• Lemon Law returns - Taxable
  Automobile Industry-Leases
• Leases
     True lease: NAC 372.070(1)(2)
     Capitalized Cost Reduction
     First Payment
           Other advance
           payments all taxable
        Automobile Industry-
           Exempt Sales
Exempt Sales to:
  – State of Nevada
  – U. S. Government
  – Government fees (title fees, luxury tax)
  – Religious or charitable organizations
  – Resale
  – Out of State
  – Active members of the Nevada National
    Guard & Family
NEVADA DEPARTMENT OF TAXATION
AFFIDAVIT OF PURCHASER

                                (EXECUTE WITH SPECIAL DRIVE AWAY PERMIT)
                        THIS FORM IS NOT VALID UNLESS ALL INFORMATION IS OBTAINED


I/We,                                                                 certify that I/we purchased on

the following      vehicle          vessel from
                 (Check type)


Year:                                       Make:                                         Model:

VIN/HULL#:

I/We further certify that I/we are not residents of Nevada and the described vehicle/vessel is not for storage, use or
consumption in the State of Nevada, except for its transportation from this State within the 15 days provided for in the
Special Drive-Away permit issued at the time of sale.


                       Signature of Purchaser                                                          Signature of Purchaser


                        Name of Purchaser                                                                Name of Purchaser


                       Address of Purchaser                                                             Address of Purchaser


                       Drivers License Number                 State                                   Drivers License Number           State


                       Social Security Number                                                         Social Security Number




  **This form is for use only by non-residents of the State of Nevada. If you are a member of the armed services
  stationed in the State of Nevada or you are a student attending a Nevada school, the affidavit does not apply
  since the vehicle/vessel will be used in the State of Nevada. Attn retailers: Failure to verify non-residency may
  result in assessment of tax, penalty and interest.**



On                                      ,                                                                , identified to be the person(s)
                Date                                            Purchaser(s)

named above appeared before me and affirmed, under penalty of perjury, that the above statements are true.



                                                                                                 Notary Public Signature


                                                                               County                                                   State
                        (Notary Seal)

                                                                      Dealership Representative                            Title            Date
                                                                      (Authorized Signature)


                                   THIS FORM IS NOT VALID UNLESS ALL INFORMATION IS OBTAINED
                                                  (Dealers Representative Must Also Sign Form)
             NEVADA DEPT OF TAXATION
            OUT-OF-STATE DELIVERY OF MOTOR VEHICLE AFFIDAVIT

            I hereby certify, under penalty of perjury under the laws of the state of Nevada, that I delivered the following
            vehicle/vessel:


Delivery
            Year                   Make                                      Model                                     Serial Number




Affidavit   to

            on
                                    Name of Purchaser
                                                                               at

                                                                    on behalf of
                                                                                                     Out Of State Location - City & State



                                           Date                                                            Name of Selling Dealer


            Signed:
                                       Signature of Person Making Delivery                                                                  Date

            Relationship to Dealership (e.g., salesman, employee, partner, or owner)


            I hereby certify that I took delivery of the following vehicle/vessel:
            Year                   Make                                      Model                                     Serial Number




            on                                                at
                                           Date                                                      Out Of State Location - City & State


            from                                                               for
                             Person Making Delivery of Vehicle                                           Name of Employer/Dealer

            I further certify that I  have       do not have a residence in Nevada where I permanently reside and that this
            vehicle was purchased for use outside the State of Nevada at
            Street Address                                                                    City                                St               Zip Code




            Signed:
                                                    Signature of Purchaser                                                                   Date


            Driver’s License No.:                                                                                Issuing State:
            Subscribed and sworn before me on this                                   day of                                                          , 20
            in and for the County of
            State of


                                                                                                                     Notary Public
                                                                                                              (Must be in State of delivery)



                                                                                                                 My Commission Expires



                                           (seal)
Nevada residents are not allowed
      Drive-away permits

• Beware of Drive-away permits to these
  states
• Oregon
• Montana
• Delaware
• Alaska
• New Hampshire
    Automobile Industry – Use Tax
• Giveaway items
• Self-use items purchased ex-tax
• Internet ex-tax purchases for self use
• Vehicles placed in service for
  use by dealership
• Parts for company vehicles
       RECORDS TO BE KEPT
•   Purchase invoices
•   Sales journals
•   General ledgers
•   Deal files
•   Affidavits and Drive–away permits
Must keep records for four (4)
 years
   Electronic Filing Requirements
• Effective July 1, 2008…..
  All payments of money for taxes, interest,
  penalties or other obligations in the
  aggregate amount to $10,000 or more
  MUST be made by electronic transfer….*
For more information and to register and pay your taxes, go to:


           http://www.nevadatax.nv.gov/web
*SB 517, 2007 Legislative Session
          Written Response
Most tax issues can be addressed by the
Department of Taxation. Please be advised
that any responses to inquires made to the
Department are only binding if put in writing,
such as Nevada Revised Statutes,
Administrative Code, Nevada Tax Notes, or
in written correspondence.
   DEPARTMENT OF TAXATION
      Contact Information
                Our offices are open Monday-Friday
                         8:00 AM – 5:00 PM
                      Contact our Call Center at
                           1-866-962-3707
                         (closed during lunch)



Southern Nevada:                         Carson City:
Grant Sawyer Office Building             1550 College Parkway
555 E. Washington Avenue                 Suite 115
Suite 1300                               Carson City, NV 89706-7937
Las Vegas, NV 89101
          OR
2550 Paseo Verde Parkway                 Reno:
Suite 180                                4600 Kietzke Lane
Henderson, NV 89074                      Building L, Suite 235
                                         Reno, NV 89502

								
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