2010 Nevada Code
TITLE 32 REVENUE AND TAXATION
Chapter 370 Tobacco: Licenses and Taxes; Supervision of Manufacturers
NRS 370.155 Wholesale dealers: Bond or other security.

NRS 370.155 Wholesale dealers: Bond or other security.

1. Except as otherwise provided in this section, each licensed wholesale cigarette dealer shall furnish a bond executed by the wholesale cigarette dealer as principal, and by a corporation qualified under the laws of this state as surety, payable to the State of Nevada and conditioned upon the payment of all excise taxes required to be precollected by the wholesale cigarette dealer under the provisions of this chapter. Each bond must be in a principal sum equal to the largest amount of tax precollected by the wholesale cigarette dealer in any quarter of the preceding year, or if the information to establish that amount is not available, then in a sum required from a licensee operating under conditions deemed comparable by the Department. No bond may be for less than $1,000. When cash or a savings certificate, certificate of deposit or investment certificate is used, the amount must be rounded up to the next larger integral multiple of $100.

2. Except as otherwise provided in this section, each licensed wholesale cigarette dealer who wishes to defer payment on the purchase of revenue stamps or metered machine impressions shall furnish a bond executed by the wholesale cigarette dealer as principal, and by a corporation qualified under the laws of this state as surety, payable to the State of Nevada and conditioned upon the payment of all deferred payments for revenue stamps and metered machine impressions. Each bond must be in a principal sum equal to the maximum amount of revenue stamps or metered machine impressions which the wholesale dealer may have unpaid at any time. No bond may be for less than $1,000. When cash or a savings certificate, certificate of deposit or investment certificate is used, the amount must be rounded up to the next larger integral multiple of $100.

3. In lieu of a bond a licensed wholesale cigarette dealer may deposit with the Department, under such terms as the Department may prescribe, a like amount of lawful money of the United States or any other form of security authorized by NRS 100.065. If security is provided in the form of a savings certificate, certificate of deposit or investment certificate, the certificate must state that the amount is unavailable for withdrawal except upon order of the Department. The Department shall deposit all cash and bonds of the United States or of the State of Nevada received pursuant to this subsection with the State Treasurer as custodian.

4. Upon application and a satisfactory showing, the Department may increase or decrease the amount of a bond required by subsection 1 or 2, based on the amount of excise tax precollected or payments deferred, respectively, by the wholesale cigarette dealer.

5. The Department may waive the requirement of the bond required by subsection 1 or 2, whenever a licensed wholesale cigarette dealer has maintained a satisfactory record of payment of excise taxes or deferred payments, respectively, for a period of 5 consecutive years.

(Added to NRS by 1961, 676; A 1967, 855; 1975, 1714; 1977, 785; 1989, 1072, 2184, 2190)