Nev. Rev. Stat. § 360.510 — Notice of delinquency and demand to transmit certain assets: Issuance and effect

NRS  360.510    Notice of delinquency and demand to transmit certain assets:
Issuance and effect.
1.  If any person is delinquent in the
payment of any tax or fee administered by the Department or if a determination
has been made against the person which remains unpaid, the Department may:
(a) Not later than 3 years after the payment
became delinquent or the determination became final; or
(b) Not later than 6 years after the last
recording of an abstract of judgment or of a certificate constituting a lien
for tax owed,
Ê give a
notice of the delinquency and a demand to transmit personally or by registered
or certified mail to any person, including, without limitation, any officer or
department of this State or any political subdivision or agency of this State,
who has in his or her possession or under his or her control any credits or
other personal property belonging to the delinquent, or owing any debts to the
delinquent or person against whom a determination has been made which remains
unpaid, or owing any debts to the delinquent or that person. In the case of any
state officer, department or agency, the notice must be given to the officer,
department or agency before the Department presents the claim of the delinquent
taxpayer to the State Controller.
2.  A state officer, department or agency
which receives such a notice may satisfy any debt owed to it by that person
before it honors the notice of the Department.
3.  After receiving the demand to transmit,
the person notified by the demand may not transfer or otherwise dispose of the
credits, other personal property, or debts in his or her possession or under
his or her control at the time the person received the notice until the
Department consents to a transfer or other disposition.
4.  Every person notified by a demand to
transmit shall, within 10 days after receipt of the demand to transmit, inform
the Department of and transmit to the Department all such credits, other
personal property or debts in his or her possession, under his or her control
or owing by that person within the time and in the manner requested by the
Department. Except as otherwise provided in subsection 5, no further notice is
required to be served to that person.
5.  If the property of the delinquent
taxpayer consists of a series of payments owed to him or her, the person who
owes or controls the payments shall transmit the payments to the Department
until otherwise notified by the Department. If the debt of the delinquent
taxpayer is not paid within 1 year after the Department issued the original
demand to transmit, the Department shall issue another demand to transmit to
the person responsible for making the payments informing him or her to continue
to transmit payments to the Department or that his or her duty to transmit the
payments to the Department has ceased.
6.  If the notice of the delinquency seeks
to prevent the transfer or other disposition of a deposit in a bank or credit
union or other credits or personal property in the possession or under the
control of a bank, credit union or other depository institution, the notice
must be delivered or mailed to any branch or office of the bank, credit union
or other depository institution at which the deposit is carried or at which the
credits or personal property is held.
7.  If any person notified by the notice of
the delinquency makes any transfer or other disposition of the property or
debts required to be withheld or transmitted, to the extent of the value of the
property or the amount of the debts thus transferred or paid, that person is
liable to the State for any indebtedness due pursuant to this chapter, chapter 360B , 362 ,
363A , 363B ,
363C , 363D ,
369 , 370 , 372 , 372A , 372B , 374 , 377 , 377A , 377C , 377D
or 444A of NRS, NRS 482.313 , 482C.230 or 482C.240 , or chapter
585 or 680B of NRS from the person with
respect to whose obligation the notice was given if solely by reason of the
transfer or other disposition the State is unable to recover the indebtedness
of the person with respect to whose obligation the notice was given.