Nev. Admin. Code § 372.260 — 372.260

NAC 372.260    Hospitals. ( NRS
360.090 , 372.325 , 372.725 )
1.  A hospital which is maintained and
operated by an organization which is exempt pursuant to section 50 of chapter
397, Statutes of Nevada 1955, ( NRS
372.325 ), is:
(a) Not required to collect the sales tax on:
(1) Tangible personal property furnished to
inpatients in connection with the rendition of hospital services.
(2) Meals served to staff members and
personnel.
(b) The retailer of tangible personal property
sold:
(1) To outpatients.
(2) Through any pharmacy which it operates for
any purpose other than the rendition of hospital services.
2.  All other hospitals, including nonprofit
and private hospitals, shall pay either the sales tax on purchases of tangible
personal property or the use tax on storing, using or consuming tangible
personal property in Nevada, in accordance with the nature of the transaction.
These hospitals must collect the sales tax on tangible personal property which
they furnish to inpatients in connection with the rendition of hospital
services. The tax will be measured:
(a) By the charge for the property if it is
separately stated; or
(b) If the property and the hospital or medical
services are not separately stated, by the cost to the hospital at the time of
the acquisition of the property which was used for or transferred to the
inpatient.
3.  Cafes, restaurants, gift shops, and
similar facilities which are operated by any type of hospital, are the
retailers of the tangible personal property which they sell. The hospital,
concessionaire, or other owner of the facility must report the sales, collect
the sales tax from the patrons, and pay the sales tax to the State. This type
of transaction is not considered to be within the scope of the primary function
of a charitable hospital.
[Tax Comm’n, Combined Sales and Use Tax Ruling No. 62,
eff. 3-1-68]