NAC368A.450. Computation of amount of tax due.

For purposes of computing the amount of the tax due pursuant to chapter 368A of NRS:

     1. The tax rate must be applied to the total amounts paid for taxable admission charges and taxable sales of food, refreshments and merchandise, excluding the amount of any federal, state or local taxes included in those payments.

     2. The tax must be paid on all taxable sales of food, refreshments and merchandise while a facility is in live entertainment status and on all taxable admission charges, regardless of whether the taxable amounts are paid in cash or through an extension of credit. Any required minimum purchases of food, refreshments or merchandise must be accounted for solely:

     (a) As part of the total amount paid for taxable admission charges; or

     (b) As part of the total amount paid for taxable sales of food, refreshments and merchandise.

     3. The amount of any service charges imposed in connection with the use of credit cards or debit cards which is excluded from taxation pursuant to subsection 2 of NRS 368A.200, must be determined from the actual amount collected and retained by persons other than the taxpayer and not from an estimate of that amount.

     4. If any taxable tickets for live entertainment are sold by a person who:

     (a) Is not an affiliate of:

          (1) The person licensed to conduct gaming at the facility where the live entertainment is provided; or

          (2) The operator of the facility where the live entertainment is provided,

Ê the tax must be paid on the portion of the proceeds of those sales which are remitted to the person licensed to conduct gaming at, or the operator of, the facility where the live entertainment is provided.

     (b) Is an affiliate of:

          (1) The person licensed to conduct gaming at the facility where the live entertainment is provided; or

          (2) The operator of the facility where the live entertainment is provided,

Ê the tax must be paid on all the proceeds of those sales.

     5. Subject to the provisions of subsection 4 of NRS 368A.200, the tax on any taxable ticket for live entertainment or ticket redeemable for taxable food or refreshments sold as a component of a package must be computed in accordance with the following provisions:

     (a) Except as otherwise provided in paragraphs (b) and (c):

          (1) The average retail value of the ticket must be prorated against the average retail value of all the components of the package, and the tax must be paid on the sum obtained by multiplying the resulting prorated fraction by the actual price paid for the package.

          (2) Any value advertised to the public as the retail value of a component of a package is rebuttably presumed to constitute the actual retail value of that component.

          (3) If no average retail value can be established for a component of a package, the cost of the component to the taxpayer must be used to carry out subparagraph (1).

     (b) The tax on any ticket redeemable for taxable food or refreshments with an average retail value of less than $5 must be computed on the full retail value of the ticket and not as a component of a package.

     (c) This subsection does not prohibit a taxpayer from paying, at the option of the taxpayer, the tax on the full retail value of the taxable components of a package.

     (Added to NAC by Gaming Control Bd. by R223-03, 2-25-2004, eff. 1-1-2004)