Nev. Admin. Code § 361.65 — 361.65

NAC 361.065    Tangible personal property purchased by and consumed during
operation of business. ( NRS
360.090 , 361.068 )
1.  All tangible personal property which is
purchased by a business and which is claimed to be exempt pursuant to paragraph
(d) of subsection 1 of NRS 361.068
must be consumed during the operation of the business and must not be intended
to become a component part of a manufactured item for sale or lease.
2.  The personal property for which such an
exemption is claimed must be material that is:
(a) Used up, drained, absorbed, dissipated or
expended during the normal day-to-day operation of the business;
(b) Characterized by its individual low cost in
relation to the other more expensive fixed assets of the business;
(c) Disposable, with a generally useful life of
less than 1 year; and
(d) Not meant for resale.
3.  Tangible personal property which is
consumed by a business and to which this exemption applies may include, without
limitation, envelopes, pens, copy paper, paper clips, toner, tape, rubber
gloves, masks, cyanide, janitorial supplies, bathroom tissue, light bulbs,
playing cards, dice, napkins, straws, “doggie bags,” paper bags, wrapping
materials, register tape, packaging supplies, invoices, Styrofoam, tires or
batteries.
4.  This exemption does not apply to any
tangible personal property which is required to be depreciated for federal
income tax purposes.
(Added to NAC by Tax Comm’n, eff. 7-9-96; A by R031-03,
8-4-2004)