Nev. Admin. Code § 360.702 — 360.702

NAC 360.702    Taxpayer’s reliance on written advice; review of documentation by
Director and recommendation to Commission regarding waiver of tax, interest or
penalty. ( NRS
360.090 , 360.093 , 360.294 )
1.  If a taxpayer provides written documentation
during an audit that indicates that the taxpayer relied to his or her detriment
on written advice provided by an officer, agent or employee of the Department,
an opinion of the Attorney General or the Commission, or the written results of
an audit of his or her records conducted by the Department, the auditor shall
document the facts and circumstances relating to the issue for the audit file
and shall continue the audit. Such documentation may include, without
limitation:
(a) An advisory opinion issued by the Department
pursuant to NAC 360.190 , 360.195 and 360.200 in response to the request of the
taxpayer for advice on an issue, if the facts contained in the request are
similar to the facts of the transactions under review in the current audit;
(b) A letter issued by the Department to the
taxpayer regarding the manner in which to account for the specific types of
transactions under review in the current audit;
(c) Written documentation which establishes that
the taxpayer has been audited previously by the Department and that the results
of that audit conflict with the results of the current audit;
(d) An opinion or decision of the Attorney General
or the Commission that addresses an issue or circumstances that are similar to
the specific types of transactions under review in the current audit; and
(e) A letter issued by the Department to the
taxpayer that defines the items, scope and issues reviewed in a prior audit
which are similar to the specific types of transactions under review in the
current audit. The occurrence of a prior audit is not conclusive evidence that
relieves the taxpayer of liability in the current audit.
2.  The Director shall review the documents
submitted by the taxpayer pursuant to subsection 1 and decide whether to
recommend a waiver of the tax, interest or penalty, pursuant to NRS 360.294 , to the Commission based
on the information provided by the taxpayer pursuant to subsection 1.
(Added to NAC by Tax Comm’n by R045-01, eff. 11-1-2001)