Nev. Rev. Stat. § 360.753 — Partial abatement of certain taxes imposed on aircraft, components of aircraft and other personal property used for certain purposes related to aircraft: Powers and duties of Office of Economic Development, Nevada Tax Commission, applicant for abatement, business approved for abatement and county treasurer. [Effective through June 30, 2035.]

NRS  360.753    Partial abatement of certain taxes imposed on aircraft,
components of aircraft and other personal property used for certain purposes
related to aircraft: Powers and duties of Office of Economic Development,
Nevada Tax Commission, applicant for abatement, business approved for abatement
and county treasurer. [Effective through June 30, 2035.]
1.  An owner of a business or a person who
intends to locate or expand a business in this State may apply to the Office of
Economic Development pursuant to this section for a partial abatement of one or
more of:
(a) The personal property taxes imposed on an
aircraft and the personal property used to own, operate, manufacture, service,
maintain, test, repair, overhaul or assemble an aircraft or any component of an
aircraft; and
(b) The local sales and use taxes imposed on the
purchase of tangible personal property used to operate, manufacture, service,
maintain, test, repair, overhaul or assemble an aircraft or any component of an
aircraft.
2.  Notwithstanding the provisions of any
law to the contrary and except as otherwise provided in subsections 3 and 4, the
Office of Economic Development shall approve an application for a partial
abatement if the Office makes the following determinations:
(a) Not later than 1 year after the date on which
the application was received by the Office, the applicant has executed an
agreement with the Office which:
(1) Complies with the requirements of NRS 360.755 ;
(2) States the date on which the abatement
becomes effective, as agreed to by the applicant and the Office, which must not
be earlier than the date on which the Office received the application and not
later than 1 year after the date on which the Office approves the application;
(3) States that the business will, after
the date on which a certificate of eligibility for the partial abatement is
issued pursuant to subsection 5, continue in operation in this State for a
period specified by the Office, which must be not less than 5 years, and will
continue to meet the eligibility requirements set forth in this subsection; and
(4) Binds any successor in interest of the
applicant for the specified period;
(b) The business is registered pursuant to the
laws of this State or the applicant commits to obtaining a valid business
license and all other permits required by the county, city or town in which the
business operates;
(c) The business owns, operates, manufactures,
services, maintains, tests, repairs, overhauls or assembles an aircraft or any
component of an aircraft;
(d) The average hourly wage that will be paid by
the business to its employees in this State during the period of partial
abatement is not less than 100 percent of the average statewide hourly wage as
established by the Employment Security Division of the Department of
Employment, Training and Rehabilitation on July 1 of each fiscal year;
(e) The business will, by the eighth calendar
quarter following the calendar quarter in which the abatement becomes
effective, offer a health insurance plan for all employees that includes an
option for health insurance coverage for dependents of the employees, and the
health care benefits the business offers to its employees in this State will
meet the minimum requirements for health care benefits established by the
Office;
(f) If the business is:
(1) A new business, that it will have five
or more full-time employees on the payroll of the business within 1 year after
receiving its certificate of eligibility for a partial abatement; or
(2) An existing business, that it will
increase its number of full-time employees on the payroll of the business in this
State by 3 percent or three employees, whichever is greater, within 1 year
after receiving its certificate of eligibility for a partial abatement;
(g) The business meets at least one of the
following requirements:
(1) The business will make a new capital
investment of at least $250,000 in this State within 1 year after receiving its
certificate of eligibility for a partial abatement;
(2) The business will maintain and possess
in this State tangible personal property having a value of not less than $5,000,000
during the period of partial abatement;
(3) The business develops, refines or owns
a patent or other intellectual property, or has been issued a type certificate
by the Federal Aviation Administration pursuant to 14 C.F.R. Part 21; and
(h) If the application is for the partial
abatement of the taxes imposed by the Local School Support Tax Law, the
application has been approved by a vote of at least two-thirds of the members
of the Board of Economic Development created by NRS 231.033 .
3.  The Office of Economic Development:
(a) Shall approve or deny an application
submitted pursuant to this section and notify the applicant of its decision not
later than 45 days after receiving the application.
(b) Must not:
(1) Consider an application for a partial
abatement unless the Office has requested a letter of acknowledgment of the
request for the partial abatement from any affected county, school district,
city or town and has complied with the requirements of NRS 360.757 ; or
(2) Approve a partial abatement for any
applicant for a period of more than 10 years.
4.  The Office of Economic Development must
not approve a partial abatement of personal property taxes for a business whose
physical property is collectively valued and centrally assessed pursuant to NRS 361.320 and 361.3205 .
5.  If the Office of Economic Development
approves an application for a partial abatement pursuant to this section, the
Office shall immediately forward a certificate of eligibility for the partial
abatement to:
(a) The Department;
(b) The Nevada Tax Commission; and
(c) If the partial abatement is from personal
property taxes, the appropriate county treasurer.
6.  An applicant for a partial abatement
pursuant to this section or an existing business whose partial abatement is in
effect shall, upon the request of the Executive Director of the Office of
Economic Development, furnish the Executive Director with copies of all records
necessary to verify that the applicant meets the requirements of subsection 2.
7.  If an applicant for a partial abatement
pursuant to this section fails to execute the agreement described in paragraph
(a) of subsection 2 within 1 year after the date on which the application was
received by the Office, the applicant shall not be approved for a partial
abatement pursuant to this section unless the applicant submits a new
application.
8.  If a business whose partial abatement
has been approved pursuant to this section and whose partial abatement is in
effect ceases:
(a) To meet the requirements set forth in
subsection 2; or
(b) Operation before the time specified in the
agreement described in paragraph (a) of subsection 2,
Ê the business
shall repay to the Department or, if the partial abatement was from personal
property taxes, to the appropriate county treasurer, the amount of the partial
abatement that was allowed pursuant to this section before the failure of the
business to comply unless the Nevada Tax Commission determines that the
business has substantially complied with the requirements of this section.
Except as otherwise provided in NRS 360.232
and 360.320 , the business shall, in
addition to the amount of the partial abatement required to be repaid pursuant
to this subsection, pay interest on the amount due at the rate most recently
established pursuant to NRS 99.040 for
each month, or portion thereof, from the last day of the month following the
period for which the payment would have been made had the partial abatement not
been approved until the date of payment of the tax.
9.  The Office of Economic Development may
adopt such regulations as the Office determines to be necessary to carry out
the provisions of this section.
10.  The Nevada Tax Commission may adopt
such regulations as the Commission determines are necessary to carry out the
provisions of this section.
11.  An applicant for a partial abatement
who is aggrieved by a final decision of the Office of Economic Development may
petition a court of competent jurisdiction to review the decision in the manner
provided in chapter 233B of NRS.
12.  As used in this section:
(a) “Aircraft” means any fixed-wing, rotary-wing
or unmanned aerial vehicle.
(b) “Component of an aircraft” means any:
(1) Element that makes up the physical
structure of an aircraft, or is affixed thereto;
(2) Mechanical, electrical or other system
of an aircraft, including, without limitation, any component thereof; and
(3) Raw material or processed material,
part, machinery, tool, chemical, gas or equipment used to operate, manufacture,
service, maintain, test, repair, overhaul or assemble an aircraft or component
of an aircraft.
(c) “Full-time employee” means a person who is in
a permanent position of employment and works an average of 30 hours per week
during the applicable period set forth in subparagraph (3) of paragraph (a) of
subsection 2.
(d) “Local sales and use taxes” means any taxes
imposed on the gross receipts of any retailer from the sale of tangible
personal property sold at retail, or stored, used or otherwise consumed, in any
political subdivision of this State, except the taxes imposed by the Sales and
Use Tax Act.
(e) “Personal property taxes” means any taxes
levied on personal property by the State or a local government pursuant to chapter 361 of NRS.