Nev. Rev. Stat. § 363C.210 — Deductions from gross revenue

1.  In computing the commerce tax owed by a
business entity pursuant to this chapter, the business entity is entitled to
deduct from its gross revenue the following amounts, to the extent such amounts
are included in gross revenue of the business entity:
(a) Any gross revenue which this State is
prohibited from taxing pursuant to the Constitution or laws of the United
States or the Nevada Constitution.
(b) Any gross revenue of the business entity
attributable to dividends and interest upon any bonds or securities of the
Federal Government, the State of Nevada or a political subdivision of this
State.
(c) If a business entity is required to pay a
license fee pursuant to NRS 463.370 , the
amount of its gross receipts used to determine the amount of that fee.
(d) If the business entity is required to pay a
tax on the net proceeds from mineral extraction and royalties subject to the
excise tax pursuant to the provisions of NRS
362.100 to 362.240 , inclusive, the
amount of the gross proceeds used to determine the amount of that tax.
(e) If the business entity is required to pay the
tax imposed by chapter 369 of NRS, an amount
equal to the amount of the excise tax paid pursuant to that chapter by the
business entity.
(f) If the business entity is required to pay the
tax imposed pursuant to chapter 680B of NRS:
(1) The amount of the total income derived
from direct premiums written and all other considerations for insurance, bail
or annuity contracts used to determine the amount of the tax imposed pursuant
to chapter 680B of NRS;
(2) Any amounts excluded from total income
derived from direct premiums pursuant to NRS
680B.025 ; and
(3) Gross premiums upon policies on risks
located in this State received by a factory mutual and amounts deducted from
such gross premiums to determine the amount of the tax imposed by NRS 680B.027 upon the factory mutual
pursuant to NRS 680B.033 .
(g) If the business entity is required to pay the
tax imposed pursuant to NRS 694C.450 ,
the amount of the net direct premiums, as defined in that section, used to
determine the amount of that tax.
(h) If the business entity is required to pay the
tax imposed pursuant to NRS 685A.180 ,
the amount of the premiums, as defined in that section, used to determine the
amount of that tax.
(i) Except as otherwise provided by paragraph
(j), the total amount of payments received by a health care provider:
(1) From Medicaid, Medicare, the
Children’s Health Insurance Program, the Fund for Hospital Care to Indigent
Persons created pursuant to NRS 428.175
or TRICARE;
(2) For professional services provided in
relation to a workers’ compensation claim; and
(3) For the actual cost to the health care
provider for any uncompensated care provided by the health care provider,
except that if the health care provider later receives payment for all or part
of that care, the health care provider must include the amount of the payment
in his or her gross receipts for the calendar quarter in which the payment is received.
(j) If the business entity is engaging in a
business in this State as a health care provider that is a health care
institution, an amount equal to 50 percent of the amounts described in
paragraph (i) that are received by the health care institution.
(k) If the business entity is engaging in
business in this State as a professional employer organization, the amount of
any payments received from a client company for wages, payroll taxes on those
wages, employee benefits and workers’ compensation benefits for employees
leased to the client company.
(l) The amount of any pass-through revenue of the
business entity.
(m) The tax basis of securities and loans sold by
the business entity, as determined for the purposes of federal income taxation.
(n) The amount of revenue received by the
business entity that is directly derived from the operation of a facility that
is:
(1) Located on property owned or leased by
the Federal Government; and
(2) Managed or operated primarily to house
members of the Armed Forces of the United States.
(o) Interest income other than interest on credit
sales.
(p) Dividends and distributions from
corporations, and distributive or proportionate shares of receipts and income
from a pass-through entity.
(q) Receipts from the sale, exchange or other
disposition of an asset described in section 1221 or 1231 of the Internal
Revenue Code, 26 U.S.C. § 1221 or 1231, without regard to the length of time
the business entity held the asset.
(r) Receipts from a hedging transaction, as
defined in section 1221 of the Internal Revenue Code, 26 U.S.C. § 1221, or a
transaction accorded hedge accounting treatment under Statement No. 133 of the
Financial Accounting Standards Board, Accounting for Derivative Instruments and
Hedging Activities, to the extent the transaction is entered into primarily to
protect a financial position, including, without limitation, managing the risk
of exposure to foreign currency fluctuations that affect assets, liabilities,
profits, losses, equity or investments in foreign operations, to interest rate
fluctuations or to commodity price fluctuations. For the purposes of this
paragraph, receipts from the actual transfer of title of real or tangible
personal property to another business entity are not receipts from a hedging
transaction or a transaction accorded hedge accounting treatment.
(s) Proceeds received by a business entity that
are attributable to the repayment, maturity or redemption of the principal of a
loan, bond, mutual fund, certificate of deposit or marketable instrument.
(t) The principal amount received under a
repurchase agreement or on account of any transaction properly characterized as
a loan.
(u) Proceeds received from the issuance of the
business entity’s own stock, options, warrants, puts or calls, from the sale of
the business entity’s treasury stock or as contributions to the capital of the
business entity.
(v) Proceeds received on account of payments from
insurance policies, except those proceeds received for the loss of business
revenue.
(w) Damages received as a result of litigation in
excess of amounts that, if received without litigation, would not have been
included in the gross receipts of the business entity pursuant to this section.
(x) Bad debts expensed for the purposes of
federal income taxation.
(y) Returns and refunds to customers.
(z) Amounts realized from the sale of an account
receivable to the extent the receipts from the underlying transaction were
included in the gross receipts of the business entity.
(aa) If the business entity owns an interest in a
passive entity, the business entity’s share of the net income of the passive
entity, but only to the extent the net income of the passive entity was
generated by the gross revenue of another business entity.
2.  As used in this section:
(a) “Children’s Health Insurance Program” means
the program established pursuant to 42 U.S.C. §§ 1397aa to 1397jj, inclusive,
to provide health insurance for uninsured children from low-income families in
this State.
(b) “Client company” has the meaning ascribed to
it in NRS 611.400 .
(c) “Health care institution” means:
(1) A medical facility as defined in NRS 449.0151 ; and
(2) A pharmacy as defined in NRS 639.012 .
(d) “Health care provider” means a business that
receives any payments listed in paragraph (i) of subsection 1 as a provider of
health care services, including, without limitation, mental health care services.
(e) “Medicaid” means the program established
pursuant to Title XIX of the Social Security Act, 42 U.S.C. §§ 1396 et seq., to
provide assistance for part or all of the cost of medical care rendered on
behalf of indigent persons.
(f) “Medicare” means the program of health
insurance for aged persons and persons with disabilities established pursuant
to Title XVIII of the Social Security Act, 42 U.S.C. §§ 1395 et seq.
(g) “Professional employer organization” has the
meaning ascribed to it in NRS 611.400 .