Additional or estimated assessment of fees: Interest; penalties; notice; redeterminations.
1. If the Department is not satisfied with the records or statements of, or with the amount of fees paid by, any person pursuant to the provisions of NRS 706.011 to 706.861, inclusive, it may make an additional or estimated assessment of fees due from that person based upon any information available to it.
2. Every additional or estimated assessment bears interest at the rate of 1 percent per month, or fraction thereof, from the date the fees were due until they are paid.
3. If an assessment is imposed, a penalty of 10 percent of the amount of the assessment must be added thereto. If any part of the deficiency is found to be caused by fraud or an intent to evade the provisions of this chapter or the regulations adopted pursuant to this chapter, a penalty of 25 percent of the amount of the assessment must be added thereto.
4. The Department shall give the person written notice of the assessment. The notice may be served personally or by mail in the manner prescribed by Rule 5 of the Nevada Rules of Civil Procedure addressed to the person at his address as it appears in the records of the Department. Every notice of assessment must be served within 36 months after the end of the registration year for which the additional assessment is imposed.
5. If any person refuses or fails to make available to the Department, upon request, such records, reports or other information as determined by the Department to be necessary to enable it to determine that the amount of taxes and fees paid by that person is correct, the assessment made pursuant to the provisions of this section is presumed to be correct and the burden is upon the person challenging the assessment to establish that it is erroneous.
6. Any person against whom an assessment has been made pursuant to the provisions of this section may petition the Department in writing for a redetermination within 30 days after service of the notice. If a petition is not filed with the Department within that period, the assessment becomes final.
7. If a petition for redetermination is filed within 30 days, the Department shall reconsider the assessment and send the petitioner, by certified mail, notice of its decision and the reasons therefor. A petitioner aggrieved by the Department’s decision may appeal the decision by submitting a written request to the Department for a hearing not later than 30 days after notice of the decision was mailed by the Department. The Department shall schedule an administrative hearing and provide the petitioner with 10 days’ notice of the time and place of the hearing. The Department may continue the hearing as may be necessary.
8. The order of the Department upon a petition becomes final 30 days after service of notice thereof. If an assessment is not paid on or before the date it becomes final, there must be added thereto in addition to any other penalty provided for in this chapter a penalty of 10 percent of the amount of the assessment.
9. Every remittance in payment of an assessment is payable to the Department.
Last modified: February 26, 2006