Nev. Rev. Stat. § 360A.370 — Notice of delinquency and demand to transmit certain assets: Issuance and effect

NRS  360A.370    Notice of delinquency and demand to transmit certain assets:
Issuance and effect.
1.  If a person is delinquent in the
payment of any tax or fee required by chapter 365 ,
366 or 373 of
NRS or NRS 445C.330 or 590.120 , or if a determination has been
made against the person that 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 5 years after the last
recording of an abstract of judgment or of a certificate constituting a lien
for the tax or fee 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 taxpayer, or owing any
debts to the delinquent taxpayer or person against whom a determination has
been made which remains unpaid, or owing any debts to the delinquent taxpayer
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 it 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 persons so notified may not transfer or otherwise dispose of the credits,
other personal property, or debts in their possession or under their control at
the time they received the notice until the Department consents to a transfer
or other disposition.
4.  Each person so notified 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
upon 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 that person 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 other
credits or personal property in the possession or under the control of a bank
or other depository institution, the notice must be delivered or mailed to the
branch or office of the bank or other depository institution at which the
deposit is carried or at which the credits or personal property is held.
7.  If any person so notified 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, he or she is liable to this State for any
indebtedness due pursuant to chapter 365 , 366 or 373 of
NRS or NRS 445C.330 or 590.120 from the person with respect to
whose obligation the notice was given if solely by reason of the transfer or
other disposition, this State is unable to recover the indebtedness of the
person with respect to whose obligation the notice was given.