[Rev. 11/21/2013 11:12:23
AM--2013]
CHAPTER 375A - TAX ON ESTATES
IMPOSITION, PAYMENT AND COLLECTION OF TAX
General Provisions
NRS 375A.010 Definitions.
NRS 375A.015 “Decedent”
and “transferor” defined.
NRS 375A.025 “Federal
credit” defined.
NRS 375A.030 “Gross
estate” defined.
NRS 375A.035 “Nonresident”
and “nonresident decedent” defined.
NRS 375A.040 “Personal
representative” defined.
NRS 375A.045 “Resident”
and “resident decedent” defined.
NRS 375A.050 “Taxable
estate” defined.
NRS 375A.055 “Transfer”
defined.
NRS 375A.060 “Transferee”
defined.
Imposition of Tax
NRS 375A.100 Amount
of tax.
NRS 375A.105 Determination
of federal credit attributable to property situated in Nevada.
Payments and Determinations
NRS 375A.150 Return:
Personal representative required to file; time for filing; regulations.
NRS 375A.155 Return:
Extension of time for filing.
NRS 375A.160 Filing
of amended return; additional tax.
NRS 375A.165 Determination
of federal estate tax due: Personal representative to give notice of
determination; additional tax.
NRS 375A.170 Penalty
for failure to file timely return.
NRS 375A.175 Determination
of tax upon failure to file return or upon filing of false or fraudulent
return.
NRS 375A.180 Determination
of deficiency: Generally.
NRS 375A.185 Determination
of deficiency: Correction of erroneous determination.
NRS 375A.190 Determination
of deficiency: Notice of determination.
NRS 375A.195 Determination
of deficiency: Appeal; action for modification of tax.
NRS 375A.200 Liability
for tax; time for payment.
NRS 375A.205 Interest
on delinquent payments.
NRS 375A.210 Payment
to be applied to interest, penalty and tax.
NRS 375A.215 Bond
for payment of tax.
NRS 375A.220 Refund
of overpayment.
NRS 375A.225 Interest
on overpayment.
Collection of Tax
NRS 375A.300 Action
to enforce claim for tax.
NRS 375A.305 Tax
becomes lien on estate of decedent; personal liability for failure to pay tax;
attachment and expiration of lien.
NRS 375A.310 Warrant
for enforcement of lien; levy and sale.
NRS 375A.315 Fees,
commissions and expenses for enforcement of lien.
NRS 375A.320 Writ
of execution for enforcement of judgment.
NRS 375A.325 Time
for commencement of proceedings for collection.
NRS 375A.330 Certificate
of Department prima facie evidence in proceeding for collection.
NRS 375A.335 Action
to prevent or enjoin collection of tax barred.
NRS 375A.340 Suits
for collection in other states authorized; suits for collection by officials of
other states authorized.
NRS 375A.345 Remedies
of State cumulative; no election of remedies.
INTERSTATE COMPROMISE OF DEATH TAXES (UNIFORM ACT)
NRS 375A.400 Short
title.
NRS 375A.405 “State”
defined.
NRS 375A.410 Compromise
of tax with personal representative where residency of decedent in dispute.
NRS 375A.415 Interstate
agreement of compromise authorized; contents and filing of agreement; time for
payment of tax after filing.
NRS 375A.420 Interpretation
of provisions.
INTERSTATE ARBITRATION OF DEATH TAXES (UNIFORM ACT)
NRS 375A.450 Short
title.
NRS 375A.455 Definitions.
NRS 375A.460 Interstate
agreement for submission of controversy to board of arbitrators authorized
where domicile of decedent in dispute; selection of board.
NRS 375A.465 Hearings
of board.
NRS 375A.470 Powers
of board relating to hearings.
NRS 375A.475 Determination
of domicile of decedent.
NRS 375A.480 Board
to act by majority vote.
NRS 375A.485 Determination,
record and agreement to be filed with taxing authorities.
NRS 375A.490 Interest
for nonpayment of taxes.
NRS 375A.495 Compromise
by parties to agreement not precluded.
NRS 375A.500 Compensation
and expenses of board.
NRS 375A.505 Reciprocal
application.
NRS 375A.510 Interpretation
of provisions.
DETERMINATION OF DOMICILE BY ARBITRATION: ALTERNATIVE METHOD
NRS 375A.600 Definitions.
NRS 375A.605 “Board”
defined.
NRS 375A.610 “Death
tax” defined.
NRS 375A.615 “Executor”
defined.
NRS 375A.620 “Interested
person” defined.
NRS 375A.625 “State”
defined.
NRS 375A.630 “Taxing
official” defined.
NRS 375A.635 Election
to invoke provisions; notice of election; effect of executor’s rejection or
failure to reject election.
NRS 375A.640 Agreement
of compromise authorized.
NRS 375A.645 Domicile
to be determined pursuant to provisions in absence of agreement.
NRS 375A.650 Board
of arbitration to be appointed.
NRS 375A.655 Hearings
of board.
NRS 375A.660 Powers
of board relating to hearings.
NRS 375A.665 Rules
of evidence applicable.
NRS 375A.670 Determination
of domicile; failure to render determination.
NRS 375A.675 Compensation
and expenses of board.
NRS 375A.680 Determination
and record to be filed with taxing authorities.
NRS 375A.685 Compromise
of tax with executor and taxing officials.
NRS 375A.690 Interest
and penalty for nonpayment of tax.
DISTRIBUTION OF PROCEEDS
NRS 375A.700 Deposit
of proceeds.
NRS 375A.705 Money
received by Nevada System of Higher Education: Separate accounting; investment;
expenditure.
NRS 375A.710 Committee
on the Estate Tax Account for the Endowment of the Nevada System of Higher
Education: Creation; composition; terms of members; duties.
ADMINISTRATION
NRS 375A.800 Power
of Department to adopt regulations.
NRS 375A.805 Conduct
of hearings by Department.
NRS 375A.810 Powers
of Department relating to hearings.
NRS 375A.815 Power
of Department to issue subpoenas.
NRS 375A.820 District
court may compel compliance with subpoena.
NRS 375A.825 Examination
of witnesses.
NRS 375A.830 Fees
and expenses of witnesses.
NRS 375A.840 Employment
of attorney or other person by Department.
NRS 375A.845 Department
exempt from payment of fees; undertaking not to be required.
NRS 375A.850 Copies
of chapter to be distributed by Department.
JURISDICTION OF DISTRICT COURT TO HEAR AND DETERMINE DISPUTES
RELATING TO TAX
NRS 375A.880 Jurisdiction
where decedent a resident of Nevada.
NRS 375A.885 Jurisdiction
where decedent not a resident of Nevada.
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IMPOSITION, PAYMENT AND COLLECTION OF TAX
General Provisions
NRS 375A.010 Definitions. As
used in NRS 375A.010 to 375A.345,
inclusive, unless the context otherwise requires, the words and terms defined
in NRS 375A.015 to 375A.060,
inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1987, 2099)
NRS 375A.015 “Decedent” and “transferor” defined. “Decedent”
or “transferor” means any person by or from whom a transfer is made, and
includes any testator, intestate, grantor, bargainor, vendor, assignor, donor,
joint tenant or insured.
(Added to NRS by 1987, 2099)
NRS 375A.025 “Federal credit” defined. “Federal
credit” means the maximum amount of the credit against the federal estate tax
for state death taxes allowed by 26 U.S.C. § 2011, in respect to a decedent’s
taxable estate.
(Added to NRS by 1987, 2100)
NRS 375A.030 “Gross estate” defined. “Gross
estate” has the meaning ascribed to “gross estate” in 26 U.S.C. § 2031.
(Added to NRS by 1987, 2100)
NRS 375A.035 “Nonresident” and “nonresident decedent” defined. “Nonresident” or “nonresident decedent” means
a decedent who was domiciled outside of Nevada at the time of his or her death.
(Added to NRS by 1987, 2100)
NRS 375A.040 “Personal representative” defined. “Personal
representative” means the personal representative of the decedent or, if there
is no personal representative appointed, qualified and acting within this
state, any person who is in actual or constructive possession of any property
included in the gross estate of the decedent.
(Added to NRS by 1987, 2100)
NRS 375A.045 “Resident” and “resident decedent” defined. “Resident” or “resident decedent” means a
decedent who was domiciled in Nevada at the time of his or her death.
(Added to NRS by 1987, 2100)
NRS 375A.050 “Taxable estate” defined. “Taxable
estate” means the “taxable estate” as defined in 26 U.S.C. § 2051.
(Added to NRS by 1987, 2100)
NRS 375A.055 “Transfer” defined. “Transfer”
includes the passage of any property, or any interest therein or income
therefrom, in possession or enjoyment, present or future, in trust or
otherwise.
(Added to NRS by 1987, 2100)
NRS 375A.060 “Transferee” defined. “Transferee”
means any person to whom a transfer is made, and includes any legatee, devisee,
heir, next of kin, grantee, donee, vendee, assignee, successor, survivor or
beneficiary.
(Added to NRS by 1987, 2100)
Imposition of Tax
NRS 375A.100 Amount of tax. A
tax is hereby imposed on the transfer of the taxable estate of a:
1. Resident decedent in the amount of the
maximum credit allowable against the federal estate tax for the payment of
state death taxes on all:
(a) Real and tangible personal property of the
decedent, or any interest therein, having a situs in this state at the time of
death; and
(b) Intangible personal property of the decedent,
or any interest therein, within or outside this state or otherwise subject to
the jurisdiction of this state at the time of death.
2. Nonresident decedent in the amount of
the maximum credit allowable against the federal estate tax for the payment of
state death taxes on:
(a) All real and tangible personal property of
the decedent, or any interest therein, having a situs in this state at the time
of death; and
(b) If the decedent is a nonresident of the
United States, all intangible personal property, or any interest therein, in
this state at the time of death, including all stock of a corporation organized
under the laws of Nevada or which has its principal place of business or does
the major part of its business in Nevada or of a federal corporation or
national bank which has its principal place of business or does the major part
of its business in Nevada, except:
(1) Savings accounts in savings and loan
associations operating under the authority of the Division of Financial
Institutions of the Department of Business and Industry or the Federal Home
Loan Bank; and
(2) Bank deposits, unless those deposits
are held and used in connection with a business conducted or operated, in whole
or in part, in Nevada.
(Added to NRS by 1987, 27; A 1991, 152; 1993, 1578)
NRS 375A.105 Determination of federal credit attributable to property
situated in Nevada. If a decedent
leaves property having a situs in this state, and leaves other property having
a situs in another state, the portion of the federal credit which is
attributable to the property having a situs in Nevada must be determined in the
following manner:
1. For the purpose of apportioning the
federal credit, the gross value of the property must be that value finally
determined for the purposes of the federal estate tax.
2. The federal credit must be multiplied
by the percentage which the gross value of property having a situs in Nevada
bears to the gross value of the entire estate subject to federal estate tax.
3. The product determined pursuant to
subsection 2 must be the portion of the federal credit which is attributable to
property having a situs in Nevada.
(Added to NRS by 1987, 2100)
Payments and Determinations
NRS 375A.150 Return: Personal representative required to file; time for
filing; regulations.
1. The personal representative of every
estate subject to the tax imposed by NRS 375A.100
who is required to file a federal estate tax return shall file with the
Department on or before the federal estate tax return is required to be filed,
any documentation concerning the amount due which is required by the
Department.
2. The Department shall adopt regulations
to require sufficient documentation of the amount due pursuant to this chapter.
(Added to NRS by 1987, 2100)
NRS 375A.155 Return: Extension of time for filing. If
the personal representative has obtained an extension of time for filing the
federal estate tax return, the filing required by NRS
375A.150 must be similarly extended until the end of the period granted in
the extension of time for the federal estate tax return. A true copy of the
federal extension must be filed with the Department.
(Added to NRS by 1987, 2101)
NRS 375A.160 Filing of amended return; additional tax. If the personal representative files an
amended federal estate tax return, he or she shall immediately file with the
Department an amended return with a true copy of the amended federal estate tax
return. If the personal representative is required to pay an additional tax
under NRS 375A.100 pursuant to the amended return,
he or she shall pay that additional tax, together with any interest as provided
in NRS 375A.205, at the same time the amended
return is filed.
(Added to NRS by 1987, 2101)
NRS 375A.165 Determination of federal estate tax due: Personal representative
to give notice of determination; additional tax. Upon
final determination of the federal estate tax due, the personal representative
shall, within 60 days after that determination, give written notice of it to
the Department. If any additional tax is due under NRS
375A.100 by reason of this determination, the personal representative shall
pay the tax, together with interest as provided in NRS
375A.205, at the same time he or she files the notice.
(Added to NRS by 1987, 2101)
NRS 375A.170 Penalty for failure to file timely return. If the return provided for in NRS 375A.150 is not filed within the time specified
in that section or the extension specified in NRS
375A.155, then the personal representative shall pay, except as otherwise
provided in NRS 360.232 and 360.320, and in addition to the interest
provided in NRS 375A.205, a penalty equal to 5
percent of the tax due, as finally determined, for each month or portion of a
month during which that failure to file continues, not exceeding 25 percent in
the aggregate, unless it is shown that there was reasonable cause for the
failure to file. If a similar penalty for failure to file timely the federal
estate tax return is waived, that waiver shall be deemed to constitute
reasonable cause for purposes of this section.
(Added to NRS by 1987, 2101; A 1999, 2500)
NRS 375A.175 Determination of tax upon failure to file return or upon filing
of false or fraudulent return. In
the case of a false or fraudulent return or failure to file a return, the
Department may determine the tax at any time.
(Added to NRS by 1987, 2101)
NRS 375A.180 Determination of deficiency: Generally.
1. In a case not involving a false or
fraudulent return or failure to file a return, if the Department determines at
any time after the tax is due, but not later than 4 years after the return is
filed unless a longer period is provided by federal law, that the tax disclosed
in any return required to be filed by NRS 375A.015
to 375A.345, inclusive, is less than the tax
disclosed by its examination, a deficiency must be determined. That
determination may also be made within such time after the expiration of the
period as may be agreed upon in writing between the Department and the personal
representative.
2. For purposes of this section, a return
filed before the last day prescribed by law for filing that return must be
considered as filed on that last day.
(Added to NRS by 1987, 2101; A 1991, 1408)
NRS 375A.185 Determination of deficiency: Correction of erroneous
determination. If a deficiency has
been determined in an erroneous amount, the Department may, within 3 years
after the erroneous determination was made, set aside the determination or
issue an amended determination in the correct amount.
(Added to NRS by 1987, 2101)
NRS 375A.190 Determination of deficiency: Notice of determination. The Department shall give notice of the
deficiency determined, together with any penalty for failure to file a return,
by personal service or by mail to the person filing the return at the address
stated in the return, or, if no return is filed, to the person liable for the
tax. Copies of the notice of deficiency may in the same manner be given to such
other persons as the Department deems advisable.
(Added to NRS by 1987, 2102)
NRS 375A.195 Determination of deficiency: Appeal; action for modification of
tax. If it is claimed that a
deficiency has been determined in an erroneous amount, any person who is liable
for the tax may appeal the determination to the Nevada Tax Commission pursuant
to NRS 360.245. If the person who is
liable for the tax is aggrieved by the decision of the Commission on appeal,
the person may, within 3 years after the determination was made, bring an
action against the State of Nevada in the district court having jurisdiction
over the estate to have the tax modified in whole or in part.
(Added to NRS by 1987, 2102; A 1999, 2500)
NRS 375A.200 Liability for tax; time for payment. The
tax imposed by NRS 375A.100:
1. Must be paid by the personal
representative to the extent of assets subject to his or her control. Liability
for payment of the tax continues until the tax is paid.
2. Is due on the date of the decedent’s
death.
3. Is delinquent at the expiration of 9
months from the date on which it becomes due, if not paid within that time.
(Added to NRS by 1987, 2102)
NRS 375A.205 Interest on delinquent payments.
1. The tax imposed by NRS 375A.100 does not bear interest if it is paid
before the date on which it otherwise becomes delinquent. Except as otherwise
provided in NRS 360.232 and 360.320, if the tax is paid after that
date, the tax bears interest at the rate set by the Executive Director, from
the date it became delinquent until it is paid.
2. The Executive Director shall set and
maintain the rate of interest for late payments at the highest rate permissible
pursuant to Section 4 of Article 10
of the Nevada Constitution.
(Added to NRS by 1987, 2102; A 1999, 2501)
NRS 375A.210 Payment to be applied to interest, penalty and tax. Every payment received by the Department on
the tax imposed by NRS 375A.100 must be applied:
1. To any interest due on the tax;
2. To any penalty; and
3. If there is any balance, to the tax
itself,
Ê in that
order.
(Added to NRS by 1987, 2102)
NRS 375A.215 Bond for payment of tax.
1. If any personal representative fails to
pay any tax imposed by NRS 375A.100 for which he
or she is liable before the date the tax becomes delinquent, he or she must, on
motion of the Department, be required by the district court having jurisdiction
over the estate to execute a bond to the State of Nevada in an amount equal to
twice the amount of the tax, with such sureties as the court may approve,
conditioned for the payment of the tax, plus interest on the tax at the rate of
interest set by the Executive Director pursuant to NRS
375A.205 commencing on the date the tax became delinquent, unless otherwise
provided in NRS 360.232 or 360.320. The bond must be executed within
a certain time to be fixed by the court and specified in the bond.
2. The bond must be filed in the office of
the clerk of the court, and a certified copy must be immediately transmitted to
the Department.
3. If the bond is not filed within 20 days
after the date of the filing of the order requiring it, the letters of the
personal representative affected must be revoked upon motion of the Department.
(Added to NRS by 1987, 2102; A 1999, 2501)
NRS 375A.220 Refund of overpayment.
1. Whenever the Department determines that
an overpayment of the tax due under NRS 375A.100
has been made, the person making payment is entitled to a refund of the amount
erroneously paid on presentation of proof satisfactory to the Department that
the person is entitled to a refund.
2. An application for the refund must be
made to the Department within 1 year after the date the federal estate tax has
been finally determined.
3. On proof satisfactory to the Department
that the applicant is entitled to a refund, the Department shall refund that
amount plus interest as provided by NRS 375A.225.
4. The amount of the refund must be paid
from the Estate Tax Account in the State General Fund.
(Added to NRS by 1987, 2103)
NRS 375A.225 Interest on overpayment. Interest
must be paid upon any overpayment of the tax due under NRS
375A.100 at the rate of interest set by the Executive Director pursuant to NRS 375A.205. Except as otherwise provided in NRS 360.320, the interest must be allowed
from the date on which payment of the tax would have become delinquent, if not
paid, or the date of actual payment, whichever is later, to a date preceding
the date of the refund by not more than 30 days, as determined by the
Department.
(Added to NRS by 1987, 2103; A 1999, 2501)
Collection of Tax
NRS 375A.300 Action to enforce claim for tax. The
State may enforce its claim for any tax imposed by NRS
375A.100 and enforce the lien of the tax by a civil action in any court of
competent jurisdiction against any person liable for the tax or against any
property subject to the lien.
(Added to NRS by 1987, 2103)
NRS 375A.305 Tax becomes lien on estate of decedent; personal liability for
failure to pay tax; attachment and expiration of lien.
1. The tax imposed by NRS 375A.100 becomes a lien upon the gross estate of
the decedent on the date of death and remains as such until the tax, interest
and penalties owed to the State are paid or the lien is otherwise discharged.
2. If the tax is not paid when due, the
person who had possession of the property of the gross estate on the date of
death of the decedent is personally liable for the tax. If the person who is
liable for the tax transfers property of the gross estate to a bona fide
purchaser or holder of a security interest, the lien imposed by subsection 1
attaches at the moment of the transfer to all of the property of the person who
is liable for the tax including property the person acquires after the
transfer, except the property which is transferred to a bona fide purchaser or
a holder of a security interest. The lien does not attach to any property
transferred to a bona fide purchaser or a holder of a security interest but it
attaches to the consideration received for the property by the person who is
liable for the tax.
3. If the lien is not extinguished or
otherwise released or discharged, it expires 10 years after the date a
determination of deficiency is issued if, within that period, no notice of the
lien has been recorded or filed as provided in NRS 360.450.
4. Except as otherwise provided in this
section, the provisions of NRS 360.420
to 360.560, inclusive, apply to the
lien.
(Added to NRS by 1987, 2103; A 1989, 1500)
NRS 375A.310 Warrant for enforcement of lien; levy and sale. At any time within 10 years after a person is
delinquent in the payment of any tax, interest or penalty, or within 10 years
after the last recording or filing of a notice of a lien for taxes, the Department
may issue a warrant for the enforcement of any liens and for the collection of
any amount required to be paid to the State. The warrant must be directed to
any sheriff and has the same effect as a writ of execution. The warrant must be
levied and sale made pursuant to it in the same manner and with the same effect
as a levy of and sale pursuant to a writ of execution.
(Added to NRS by 1987, 2104)
NRS 375A.315 Fees, commissions and expenses for enforcement of lien.
1. The Department may pay or advance to
the sheriff the same fees, commissions and expenses for his or her services as
are provided by law for similar services pursuant to a writ of execution. The
Department, and not the court, shall approve the fees for publication in a
newspaper.
2. The fees, commissions and expenses are
obligations of the person required to pay the tax, interest or penalty and may
be collected from that person by virtue of the warrant or in any manner
provided for the collection of the tax.
(Added to NRS by 1987, 2104)
NRS 375A.320 Writ of execution for enforcement of judgment.
1. At any time after a tax imposed by NRS 375A.100 is delinquent, the Department may have a
writ of execution issued for the enforcement of any judgment rendered in
respect to the tax.
2. The writ must be executed against any
property of the person liable for payment of the tax, or against any property
subject to the lien for the tax.
3. The Department must not be charged a
fee for the issuance of execution of the writ.
(Added to NRS by 1987, 2104)
NRS 375A.325 Time for commencement of proceedings for collection. Proceedings for the collection of any tax
imposed by NRS 375A.100 may be commenced at any
time after the tax is due and within 10 years after the time a determination of
deficiency is issued.
(Added to NRS by 1987, 2104; A 1995, 1090)
NRS 375A.330 Certificate of Department prima facie evidence in proceeding for
collection. In any proceeding for
the enforcement of the tax imposed by NRS 375A.100,
a certificate by the Department showing the amount due is prima facie evidence
of:
1. The imposition of the tax;
2. The fact that it is due; and
3. Compliance by the Department with all
the provisions of this chapter in relation to the computation and determination
of the tax.
(Added to NRS by 1987, 2104)
NRS 375A.335 Action to prevent or enjoin collection of tax barred. No injunction or other legal or equitable
process must issue in any suit, action or proceeding in any court against this
state or any officer of this state to prevent or enjoin the collection of any
tax imposed by NRS 375A.100.
(Added to NRS by 1987, 2104)
NRS 375A.340 Suits for collection in other states authorized; suits for
collection by officials of other states authorized. The
Department may bring suits in the courts of other states to collect taxes
payable under this chapter. An official of another state which extends a like
comity to this state may sue for the collection of similar taxes in the courts
of this state. A certificate by the secretary of state of another state, under
the great seal of that state, that an official thereof has authority to collect
its estate or other transfer taxes is conclusive evidence of the authority of
that official in any suit for the collection of those taxes in any court of
this state.
(Added to NRS by 1987, 2104)
NRS 375A.345 Remedies of State cumulative; no election of remedies. The remedies of the State for the enforcement
of the tax imposed by NRS 375A.100 are cumulative,
and no action taken by the Department or any other state officer or agency
constitutes an election by the State or any of its officers to pursue any
remedy to the exclusion of any other remedy for which provision is made.
(Added to NRS by 1987, 2105)
INTERSTATE COMPROMISE OF DEATH TAXES (UNIFORM ACT)
NRS 375A.400 Short title. NRS 375A.400 to 375A.420,
inclusive, may be cited as the Uniform Act on Interstate Compromise of Death
Taxes.
(Added to NRS by 1987, 2105)
NRS 375A.405 “State” defined. As
used in NRS 375A.400 to 375A.420,
inclusive, unless the context otherwise requires, “state” means any state,
territory or possession of the United States, and the District of Columbia.
(Added to NRS by 1987, 2105)
NRS 375A.410 Compromise of tax with personal representative where residency
of decedent in dispute. The
Department may compromise with the personal representative the tax, including
any interest and penalty thereon, payable on the estate of any decedent who it
is claimed was not a resident of this state at the time of his or her death.
(Added to NRS by 1987, 2105)
NRS 375A.415 Interstate agreement of compromise authorized; contents and
filing of agreement; time for payment of tax after filing. If the Department claims that a decedent was
domiciled in this state at the time of his or her death and the taxing
authorities of another state or states make a like claim on behalf of their
state or states, the Department may enter into a written agreement of
compromise with the other taxing authorities and the executor or administrator
that a certain sum will be accepted in full satisfaction of any and all death
taxes imposed by this state, including any interest to the date of filing the
agreement. The agreement must also fix the amount to be accepted by the other
states in full satisfaction of death taxes. The executor or administrator is
hereby authorized to make that agreement. Either the Department or the executor
or administrator shall file the agreement, or a duplicate, with the Department.
The tax shall be deemed conclusively fixed as provided in the agreement. Unless
the tax is paid within 90 days after filing the agreement, interest accrues
upon the amount fixed in the agreement but the time between the decedent’s
death and the filing must not be included in computing the interest.
(Added to NRS by 1987, 2105)
NRS 375A.420 Interpretation of provisions. NRS 375A.400 to 375A.420,
inclusive, must be so interpreted and construed as to effectuate its general
purpose to make uniform the law of those states which enact them.
(Added to NRS by 1987, 2105)
INTERSTATE ARBITRATION OF DEATH TAXES (UNIFORM ACT)
NRS 375A.450 Short title. NRS 375A.450 to 375A.510,
inclusive, may be cited as the Uniform Act on Interstate Arbitration of Death
Taxes.
(Added to NRS by 1987, 2105)
NRS 375A.455 Definitions. As
used in NRS 375A.450 to 375A.510,
inclusive, unless the context otherwise requires:
1. “Board” means the board of arbitrators
selected pursuant to NRS 375A.460.
2. “State” means any state, territory or
possession of the United States, and the District of Columbia.
(Added to NRS by 1987, 2105)
NRS 375A.460 Interstate agreement for submission of controversy to board of
arbitrators authorized where domicile of decedent in dispute; selection of
board. If the Department claims
that a decedent was domiciled in this state at the time of his or her death and
the taxing authorities of another state or states make a like claim on behalf
of their state or states, the Department may enter into a written agreement
with the other taxing authorities and with the executor or administrator to
submit the controversy to the decision of a board consisting of one or any
uneven number of arbitrators. The executor or administrator is hereby
authorized to make the agreement. The parties to the agreement shall select the
arbitrator or arbitrators.
(Added to NRS by 1987, 2105)
NRS 375A.465 Hearings of board. The
board shall hold hearings at such times and places as it may determine, upon
reasonable notice to the parties to the agreement, all of whom are entitled to
be heard, to present evidence and to examine and cross-examine witnesses.
(Added to NRS by 1987, 2106)
NRS 375A.470 Powers of board relating to hearings. The
board may administer oaths, take testimony, subpoena and require the attendance
of witnesses and the production of books, papers and documents and issue
commissions to take testimony. Subpoenas may be signed by any member of the
board. In case of failure to obey a subpoena, any judge of a court of record of
this state, upon application by the board, may make an order requiring
compliance with the subpoena, and the court may punish failure to obey the
order as a contempt.
(Added to NRS by 1987, 2106)
NRS 375A.475 Determination of domicile of decedent. The
board shall, by majority vote, determine the domicile of the decedent at the
time of his or her death. This determination is final for purposes of imposing
and collecting death taxes but for no other purpose.
(Added to NRS by 1987, 2106)
NRS 375A.480 Board to act by majority vote. Except
as provided in NRS 375A.470 in respect of the
issuance of subpoenas, all questions arising in the course of the proceeding
must be determined by majority vote of the board.
(Added to NRS by 1987, 2106)
NRS 375A.485 Determination, record and agreement to be filed with taxing
authorities. The Department, the
board or the executor or administrator shall file the determination of the
board as to domicile, the record of the board’s proceedings and the agreement
or a duplicate of the agreement entered into pursuant to NRS 375A.460, with the authority having jurisdiction
to determine the death taxes in the state determined to be the domicile, and
shall file copies of all of those documents with the authorities that would
have been empowered to determine the death taxes in each of the other states
involved.
(Added to NRS by 1987, 2106)
NRS 375A.490 Interest for nonpayment of taxes. If
it is determined by the board that the decedent died domiciled in this state,
interest, if otherwise imposed by law, for nonpayment of death taxes between
the date of the agreement and of filing of the determination of the board as to
domicile, must not exceed 12 percent per annum.
(Added to NRS by 1987, 2106)
NRS 375A.495 Compromise by parties to agreement not precluded. The provisions of NRS
375A.450 to 375A.510, inclusive, do not
prevent a written compromise at any time, if otherwise lawful, by all parties
to the agreement made pursuant to NRS 375A.460,
fixing the amounts to be accepted by this and any other state involved in full
satisfaction of death taxes.
(Added to NRS by 1987, 2106)
NRS 375A.500 Compensation and expenses of board. The
compensation and expenses of the members of the board and its employees may be
agreed upon among those members and the executor or administrator, and if they
cannot agree shall be fixed by the probate court of the state determined by the
board to be the domicile of the decedent. The amounts so agreed upon or fixed
shall be deemed an expense of administration and are payable by the executor or
administrator.
(Added to NRS by 1987, 2106)
NRS 375A.505 Reciprocal application. NRS 375A.450 to 375A.510,
inclusive, apply only to cases in which each of the states involved has a law
identical with or substantially similar to NRS
375A.450 to 375A.510, inclusive.
(Added to NRS by 1987, 2107)
NRS 375A.510 Interpretation of provisions. NRS 375A.450 to 375A.510,
inclusive, must be so interpreted and construed as to effectuate its general
purpose to make uniform the law of those states which enact them.
(Added to NRS by 1987, 2107)
DETERMINATION OF DOMICILE BY ARBITRATION: ALTERNATIVE
METHOD
NRS 375A.600 Definitions. As
used in NRS 375A.600 to 375A.690,
inclusive, unless the context otherwise requires, the words and terms defined
in NRS 375A.605 to 375A.630,
inclusive, have the meanings ascribed to them in those sections.
(Added to NRS by 1987, 2107)
NRS 375A.605 “Board” defined. “Board”
means a board of arbitration appointed pursuant to NRS
375A.650.
(Added to NRS by 1987, 2107)
NRS 375A.610 “Death tax” defined. “Death
tax” means any tax levied by a state on account of the transfer or shifting of
economic benefits in property at death, or in contemplation thereof, or
intended to take effect in possession or enjoyment at or after death, whether
denominated an “inheritance tax,” “transfer tax,” “succession tax,” “estate
tax,” “death duty,” “death dues” or otherwise.
(Added to NRS by 1987, 2107)
NRS 375A.615 “Executor” defined. “Executor”
means an executor of the will or administrator of the estate of the decedent,
but does not include an ancillary administrator or administrator with the will
annexed if an executor named in the will has been appointed and has qualified
in another state.
(Added to NRS by 1987, 2107)
NRS 375A.620 “Interested person” defined. “Interested
person” means any person who may be entitled to receive, or who has received,
any property or interest which may be required to be considered in computing
the death tax of any state involved.
(Added to NRS by 1987, 2107)
NRS 375A.625 “State” defined. “State”
means any state, territory or possession of the United States, or the District
of Columbia.
(Added to NRS by 1987, 2107)
NRS 375A.630 “Taxing official” defined. “Taxing
official” means the Department or the designated taxing authority of a
reciprocal state.
(Added to NRS by 1987, 2107)
NRS 375A.635 Election to invoke provisions; notice of election; effect of
executor’s rejection or failure to reject election.
1. If this state and one or more other
states each claims that it was the domicile of a decedent at his or her death,
at any time before the commencement of legal action for determination of
domicile within this state or within 60 days thereafter, any executor, or the
taxing official of any such state, may elect to invoke the provisions of NRS 375A.600 to 375A.690,
inclusive. The executor or taxing official shall send a notice of that election
by registered mail, return receipt requested, to the taxing official of each
such state and to each executor, ancillary administrator and interested person.
2. Within 40 days after the receipt of the
notice of election, any executor may reject that election by sending a notice,
by registered mail, return receipt requested, to all persons originally
required to be sent a notice of election. When an election has been rejected by
an executor, no further proceedings must be had under NRS
375A.600 to 375A.690, inclusive. If the
election is not rejected within the 40-day period, the dispute as to death
taxes must be determined solely as provided in NRS
375A.600 to 375A.690, inclusive. No other
proceedings to determine or assess those death taxes must thereafter be
maintained in any court of this state or any other state.
(Added to NRS by 1987, 2107)
NRS 375A.640 Agreement of compromise authorized. If
an election is made and not rejected, the Department may enter into a written
agreement with the other taxing officials involved and with the executors to
accept a certain sum in full payment of any death taxes, together with interest
and penalties, that may be due this state. This agreement must fix the amount
to be paid the other states involved in the dispute.
(Added to NRS by 1987, 2108)
NRS 375A.645 Domicile to be determined pursuant to provisions in absence of
agreement. If it appears that an
agreement cannot be reached, as provided in NRS
375A.640, or if 1 year has elapsed from the date of the election without an
agreement having been reached, the domicile of the decedent at the time of his
or her death must be determined solely for the purposes of death taxes as
provided in NRS 375A.600 to 375A.690, inclusive.
(Added to NRS by 1987, 2108)
NRS 375A.650 Board of arbitration to be appointed. If
only this state and one other state are involved, the Department and the taxing
official of the other state shall each appoint a member of a board of
arbitration, and these members shall appoint the third member of the board. If
this state and more than one other state are involved, the taxing officials
thereof shall agree upon the authorities charged with the duty of administering
the laws relating to death taxes in three states not involved in the dispute
and each of these authorities shall appoint a member of the board of
arbitration. The board shall select one of its members as chair.
(Added to NRS by 1987, 2108)
NRS 375A.655 Hearings of board. The
board shall hold hearings at such places as are deemed necessary, upon
reasonable notice to the executors, ancillary administrators, all other
interested persons and the taxing officials of the states involved, all of whom
are entitled to be heard.
(Added to NRS by 1987, 2108)
NRS 375A.660 Powers of board relating to hearings. The
board may administer oaths, take testimony, subpoena witnesses and require
their attendance, require the production of books, papers and documents and
issue commissions to take testimony. Subpoenas may be issued by any member of
the board. Failure to obey a subpoena may be punished by any court of record in
the same manner as if the subpoena had been issued by that court.
(Added to NRS by 1987, 2108)
NRS 375A.665 Rules of evidence applicable. Whenever
practicable the board shall apply the rules of evidence then prevailing in the
federal courts under the Federal Rules of Evidence.
(Added to NRS by 1987, 2108)
NRS 375A.670 Determination of domicile; failure to render determination. The board shall determine the domicile of the
decedent at the time of his or her death. This determination is final and
conclusive and binds this state, and all of its judicial and administrative
officials on all questions concerning the domicile of the decedent for the
purpose of death taxes. If the board does not render a determination within 1
year from the time that it is fully constituted, all authority of the board
ceases and the bar to court proceedings set forth in NRS
375A.635 no longer exists.
(Added to NRS by 1987, 2108)
NRS 375A.675 Compensation and expenses of board. The
reasonable compensation and expenses of the members of the board and its
employees must be agreed upon among those members, the taxing officials involved
and the executors. If an agreement cannot be reached, compensation and expenses
must be determined by those taxing officials or, if they cannot agree, by the
appropriate probate court of the state determined to be the domicile. That
amount must be borne by the estate and shall be deemed an expense of
administration.
(Added to NRS by 1987, 2108)
NRS 375A.680 Determination and record to be filed with taxing authorities. The determination of the board and the record
of its proceedings must be filed with the authority having jurisdiction to
assess the death tax in the state determined to be the domicile of the decedent
and with the authorities which would have had jurisdiction to assess the death
tax in each of the other states involved if the decedent had been found to be
domiciled therein.
(Added to NRS by 1987, 2109)
NRS 375A.685 Compromise of tax with executor and taxing officials. Notwithstanding the commencement of a legal
action for determination of domicile within this state or the commencement of
an arbitration proceeding, the Department may in any case enter into a written
agreement with the other taxing officials involved and with the executors to
accept a certain sum in full payment of any death tax, together with interest and
penalties, that may be due this state at any time before that proceeding is
concluded. The agreement shall be deemed to fix the amount to be paid the other
states involved in the dispute. Upon the filing of the agreement with the
Department, an assessment must be made as provided in that agreement. The
assessment finally and conclusively fixes the amount of death tax due this
state. If the aggregate amount payable under the agreement or under an
agreement made in accordance with the provisions of NRS
375A.640 to the states involved is less than the minimum credit allowable
to the estate against the federal estate tax, the executor shall also pay to
this state the same percentage of the difference between that aggregate amount
and the amount of the credit as the amount payable to this state under the
agreement bears to the aggregate amount.
(Added to NRS by 1987, 2109)
NRS 375A.690 Interest and penalty for nonpayment of tax. Except as otherwise provided in NRS 360.232 and 360.320, if the board determines that a
decedent dies domiciled in this state, the total amount of interest and
penalties for nonpayment of the tax, between the date of the election and the
final determination of the board, must not exceed an amount determined by
applying the rate of interest set by the Executive Director pursuant to NRS 375A.205 to the amount of the taxes due.
(Added to NRS by 1987, 2109; A 1989, 594; 1999, 2501)
DISTRIBUTION OF PROCEEDS
NRS 375A.700 Deposit of proceeds.
1. The Department shall deposit all
payments received pursuant to NRS 375A.100 in the
State Treasury:
(a) For credit to the Estate Tax Account in the
State General Fund, an amount determined by the Department as necessary to pay
the costs of administration of this chapter and to refund any overpayments of
tax.
(b) For credit to the Estate Tax Account in the
Endowment Fund of the Nevada System of Higher Education, 50 percent of the
remainder after deducting the amount pursuant to paragraph (a).
(c) For credit to the Fund for School Improvement
created pursuant to NRS 387.032, 50
percent of the remainder after deducting the amount pursuant to paragraph (a).
2. The interest earned on the money in the
Estate Tax Account must be credited to the Account.
(Added to NRS by 1987, 27; A 1987, 2112; 1989, 2107; 1993, 397; 1997, 124; 1999, 2838; 2005, 365)
NRS 375A.705 Money received by Nevada System of Higher Education: Separate
accounting; investment; expenditure.
1. All money received by the Board of
Regents of the University of Nevada pursuant to paragraph (b) of subsection 1
of NRS 375A.700 must be accounted for separately
in the Endowment Fund of the Nevada System of Higher Education.
2. The money in the Estate Tax Account
must be invested pursuant to the same investment policies as the other money in
the Endowment Fund is invested. All interest and income earned on the money in
the Account must be credited to the Account.
3. The Board of Regents of the University
of Nevada may, upon approval by the Legislature when in regular session or by
the Interim Finance Committee when the Legislature is not in regular session,
expend any money in the Estate Tax Account.
(Added to NRS by 1987, 2110; A 1993, 398; 2003, 2621; 2005, 365)
NRS 375A.710 Committee on the Estate Tax Account for the Endowment of the
Nevada System of Higher Education: Creation; composition; terms of members;
duties.
1. There is hereby created the Committee
on the Estate Tax Account for the Endowment of the Nevada System of Higher
Education, composed of:
(a) Two members of the Board of Regents of the
University of Nevada, appointed by the Chair of the Board with the approval of
the other members.
(b) Two members who are administrators of the
Nevada System of Higher Education, appointed by the Chancellor of the Nevada
System of Higher Education.
(c) Two members who are members of the faculty of
the Nevada System of Higher Education, appointed by the faculty.
(d) One member who is a student, appointed by the
student governments of the Nevada System of Higher Education.
2. If any authority having the power to
appoint a member of the Committee ceases to exist, the Governor shall exercise
that power in a manner consistent with the intent of this section.
3. The member of the Committee who is
appointed pursuant to paragraph (d) of subsection 1 shall serve a term of 1
year. All other members of the Committee shall serve terms of 3 years.
4. The Committee shall make
recommendations to the Board of Regents of the University of Nevada concerning
the expenditure of the money in the Estate Tax Account in the Endowment Fund.
(Added to NRS by 1987, 2111; A 1993, 398; 2005, 366)
ADMINISTRATION
NRS 375A.800 Power of Department to adopt regulations. The Department may adopt regulations relating
to the administration and enforcement of this chapter, and may prescribe the
extent, if any, to which any regulation is applied to an estate without
retroactive effect.
(Added to NRS by 1987, 2109)
NRS 375A.805 Conduct of hearings by Department. The
Department may conduct a hearing at any time or place to determine whether a
tax is due under this chapter.
(Added to NRS by 1987, 2110)
NRS 375A.810 Powers of Department relating to hearings. For purposes of a hearing pursuant to NRS 375A.805, the Department has:
1. Jurisdiction to require the attendance
of any person who the Department may have reason to believe possesses knowledge
of any facts that will aid the Department in the determination of the tax; and
2. All the powers of a master of the
district court.
(Added to NRS by 1987, 2110)
NRS 375A.815 Power of Department to issue subpoenas. The
Department may issue subpoenas to:
1. Compel the attendance of any person or
the production of books and papers.
2. Determine the amount of any tax due
under this chapter.
(Added to NRS by 1987, 2110)
NRS 375A.820 District court may compel compliance with subpoena. On the filing by the Department of a petition
asking the court to do so, the district court of the county in which a hearing
is held may compel compliance with any subpoena issued by the Department.
(Added to NRS by 1987, 2110)
NRS 375A.825 Examination of witnesses. The
Department may examine and take the testimony under oath of any person at a
hearing concerning the determination of any tax due under this chapter.
(Added to NRS by 1987, 2110)
NRS 375A.830 Fees and expenses of witnesses. Any
person compelled to attend a hearing before the Department is entitled to fees
for attendance in an amount to be determined by the Department and to his or
her expenses of attendance. The fees and expenses are a part of the cost of
administering this chapter.
(Added to NRS by 1987, 2110)
NRS 375A.840 Employment of attorney or other person by Department. Whenever the Department is cited as a party to
any proceeding or action to determine any tax imposed by this chapter, or
whenever the Department deems it necessary for the better enforcement of this
chapter to secure evidence of the evasion of, or to commence or appear in any
proceeding or action to determine, any such tax, the Department may, with the
consent and approval of the Attorney General:
1. Employ any attorney or other person to
act for or represent the Department on the state’s behalf.
2. Incur any reasonable and necessary
expense for and incident to that employment.
(Added to NRS by 1987, 2110)
NRS 375A.845 Department exempt from payment of fees; undertaking not to be
required. The Department must not
be charged a fee for filing, recording or certifying any petition, lis pendens,
decree or order for taking any oath or acknowledgment, in any proceedings under
this chapter. No undertaking may be required from the Department or the State
in any such proceeding.
(Added to NRS by 1987, 2109)
NRS 375A.850 Copies of chapter to be distributed by Department. The Department shall, without charge,
distribute a copy of this chapter to any person who requests it.
(Added to NRS by 1987, 2110)
JURISDICTION OF DISTRICT COURT TO HEAR AND DETERMINE
DISPUTES RELATING TO TAX
NRS 375A.880 Jurisdiction where decedent a resident of Nevada. The district court which has jurisdiction in
probate of the estate of any decedent shall hear and determine all questions
relative to any tax imposed by this chapter, whether or not the property listed
in the estate tax return, or any portion thereof, is in the estate.
(Added to NRS by 1987, 2109)
NRS 375A.885 Jurisdiction where decedent not a resident of Nevada. In the case of a decedent who was not a
resident of this state at the time of his or her death, the district court of
the county in which the decedent’s real property is situated, or, if he or she
had no real property in this state, the district court of the county in which
any of his or her personal property is situated, has jurisdiction to hear and
determine all questions relative to any tax imposed by this chapter. If the
decedent leaves property in more than one county, the district court of the
county whose jurisdiction is first invoked has exclusive jurisdiction.
(Added to NRS by 1987, 2109)
