Nev. Rev. Stat. § 366.735 — Disciplinary action for fraudulent use of special fuel

1.  The Department may take disciplinary
action in accordance with subsection 2 against any person who, below the
terminal rack:
(a) Sells or stores for personal consumption any
dyed special fuel for a use which the person selling or storing such fuel
knows, or has reason to know, is a taxable use of the fuel and does not report
and pay the applicable tax to the Department;
(b) Willfully decreases or attempts to decrease
the concentration of any dye in any special fuel intended to be used for a
taxable purpose and does not report and pay the applicable tax to the
Department;
(c) Uses dyed special fuel for a taxable purpose
and does not report and pay the applicable tax to the Department;
(d) Willfully increases or attempts to increase
the volume of any special fuel intended to be used for a taxable purpose by
adding to the fuel any quantity of special fuel for which the tax imposed pursuant
to this chapter has not been paid or any quantity of other product for which
any tax imposed pursuant to the laws of this State has not been paid; or
(e) Willfully manufactures, sells, distributes
for sale or attempts to manufacture, sell or distribute for sale any special
fuel intended to be used for a taxable purpose and for which the tax imposed
pursuant to this chapter has not been paid.
2.  For any violation described in
subsection 1, the Department may:
(a) If the violation is a first offense, impose
an administrative fine of not more than $2,500 and suspend any license issued
to that person pursuant to this chapter for not more than 30 days;
(b) If the violation is a second offense within a
period of 4 years, impose an administrative fine of not more than $5,000 and
suspend any license issued to that person pursuant to this chapter for not more
than 60 days; and
(c) If the violation is a third or subsequent
offense within a period of 4 years, impose an administrative fine of not more
than $10,000 and revoke any license issued to that person pursuant to this
chapter.