Nevada Enacts Legislation with Tax Amnesty Provisions

Nevada has enacted legislation that requires the Nevada Department of Taxation (DOT) to establish a tax amnesty program for a period of not more than 90 calendar days ending no later than June 30, 2021. Under the program, the DOT shall relieve a person who has not paid a tax, fee or assessment of penalties and interest if during the amnesty program, the person requests relief from the DOT using the required form or method and pays the amount of the unpaid tax, fee or assessment in full to the DOT. If a person has not paid a tax, fee or assessment for multiple periods, participates in the program, and pays the amount of the unpaid tax, fee or assessment for less than all of the periods due, the DOT may grant relief for each period for which the person pays the amount in full. The amnesty program will only apply to taxes, fees and assessments due and payable before July 20, 2020. The amnesty program will not be available to any person who:

• Has entered into a compromise or settlement agreement with the DOT regarding the unpaid tax, fee or assessment;
• Has entered into a compromise with the Nevada Tax Commission regarding the unpaid tax, fee or assessment pursuant to NRS 360.263; or
• Is being audited by the DOT and has not been issued a final notice of deficiency determination by the DOT

Per the legislation, a who requests or receives relief pursuant to the amnesty program may be selected for an audit and audited by the DOT in in the same manner as a person who does not request or receive relief pursuant to the amnesty program. (Senate Bill No. 3, effective July 20, 2020)

UPDATE: Nevada has finalized and defined its 2021 amnesty program. The program is a onetime penalty and interest amnesty program beginning February 1, 2021 and ending May 1, 2021 for persons and companies doing business in Nevada who may have a current tax liability. The amnesty program shall relieve a business and/or persons who have not paid a tax, fee or assessment required to be paid to the Department of all the monetary penalties and/or interest imposed with regard to the unpaid tax, fee, or assessment for period end dates March 31, 2020 and prior due on or before April 30, 2020 for quarterly filers and period end dates May 31, 2020 and prior due on or before June 30, 2020 and/or outstanding tax debts. If you are unregistered, you need to pay and file back 8 years or to the date of nexus. If you are registered, you need to back file an amended return 3 years back. Visit the Nevada Amnesty page for more information.