Nev. Admin. Code § 362.40 — 362.40

NAC 362.040    Deductions: Depreciation of capitalized costs. ( NRS 360.090 , 362.120 )
1.  Leasehold improvements and buildings must
be depreciated over a 20-year period using the straight-line method.
2.  Fixed machinery and equipment must be
depreciated over a 20-year period using the straight-line method.
3.  Mobile machinery and equipment must be
depreciated over a 10-year period using the straight-line method.
4.  Automobiles and light service vehicles
must be depreciated over a 5-year period using the straight-line method.
5.  An integrated processing assembly must be
depreciated over a 20-year period using the straight-line method. Subsequent
additions to the unit must also be reported and be depreciated over a 20-year
period using the straight-line method.
6.  If any property is disposed of before the
end of the depreciation period, the remaining amount of allowable depreciation,
if the property had remained in use, may be reported in total as an additional
expense of depreciation for the reporting period. The amount of depreciation
must be reduced by the amount of any consideration received for the property
from sale, insurance recovery, trade-in or any other reimbursement, but not
below zero.
7.  A mining operator may petition the Nevada
Tax Commission for reconsideration of the allowable depreciation of property.
The Commission may adjust the allowable depreciation if the petitioner presents
satisfactory evidence that the expected life of the property is longer than
that which is provided for in this section.
[Tax Comm’n, Mine Proceeds Reg. No. 3 § 2, eff. 8-6-80]—(NAC
A 9-13-91; R161-05, 2-23-2006; R172-12, 12-23-2013)
REVISER’S NOTE.
The regulation of the Nevada Tax Commission filed with
the Secretary of State on December 23, 2013 (LCB File No. R172-12), which
amended this section, contains the following provision not included in NAC:
“Sec. 4.  Sections 1, 2 and 3 of
this regulation [ NAC 362.040 and 362.368 ] do not apply to or affect:
1.  Any depreciation of assets approved by
the Nevada Tax Commission before December 23, 2013; or
2.  Any powers or duties of the Department
of Taxation or any mining operator relating to any depreciation of assets
approved by the Nevada Tax Commission before December 23, 2013.”