NAC360.182. Appeal of taxpayer concerning liability for tax: Request for and conduct of closed hearing.

     1. A taxpayer may request a closed hearing by submitting the request in writing to the Commission:

     (a) Not later than 14 calendar days before the date of the hearing; or

     (b) If authorized by the Director for good cause shown, not later than 5 calendar days before the date of the hearing.

     2. A request for a closed hearing must include:

     (a) A list or summary of the information the taxpayer alleges to be proprietary or confidential information, which may include bank records, financial statements, customer lists, vendor lists, trade secrets and unique business practices of the taxpayer, and any other information the taxpayer considers to be proprietary or confidential information; and

     (b) A short statement explaining how the information alleged by the taxpayer to be proprietary or confidential information qualifies as such pursuant to NRS 360.247.

     3. If the Commission receives a request for a closed hearing in accordance with the provisions of this section, the Commission will:

     (a) Indicate on its written agenda that the taxpayer has requested a closed hearing; and

     (b) Hold and protect the information included in the request and any information included in any briefs filed in the pertinent appeal, including any supporting materials and exhibits, in accordance with any applicable laws pertaining to the confidentiality of that information.

     4. If a taxpayer submits a request for a closed hearing pursuant to:

     (a) Paragraph (a) of subsection 1, the Department may, not later than 5 calendar days before the date of the hearing; or

     (b) Paragraph (b) of subsection 1, the Department may, not later than 3 calendar days before the date of the hearing,

Ê file a written objection to the request with the Commission and serve a copy of the objection upon the taxpayer or the authorized representative of the taxpayer.

     5. In a closed hearing, the Commission:

     (a) May receive testimony from the taxpayer and other witnesses regarding the information the taxpayer alleges to be proprietary or confidential information; and

     (b) Must determine by a majority vote of a quorum of its members whether that information qualifies as proprietary or confidential information pursuant to NRS 360.247. If the Commission determines that any of that information qualifies as proprietary or confidential information pursuant to NRS 360.247, the Commission may continue to hold a closed hearing regarding that proprietary or confidential information until the Commission determines that the proprietary or confidential information has been adequately discussed within the context of the appeal.

     6. A taxpayer who fails to submit a request for a closed hearing in accordance with the provisions of this section shall be deemed to have waived his or her right to request a closed hearing. The provisions of this section do not affect the right of a taxpayer or the agent of the taxpayer to request a continuance of any hearing on an appeal by the taxpayer.

     7. As used in this section, “closed hearing” means a hearing before the Commission which is closed to the public pursuant to NRS 360.247.

     (Added to NAC by Tax Comm’n by R140-07, eff. 1-30-2008)