Nevada: Sales Tax Handbook
How to appeal a sales tax audit or penalty in Nevada
In Nevada, the Department of Taxation will frequently audit business sales tax returns and may issue penalties or punishments for tardy filing, incorrect reporting, willful omissions, or other violations. Penalties can range from fines to revocation of your sales tax permit depending on the infraction.
If you disagree with a penalty or ruling made by the Nevada Department of Taxation, you have several options you can pursue in appealing their decision. This page contains basic guidelines for appealing to the Department of Taxation, to an administrative appeal body, and through the courts.
Sales Tax Statute of Limitations in Nevada
In sales tax law, the "statute of limitations" is the maximum amount of time state authorities have to investigate and begin potential audit or prosecution related to a a filed Nevada sales tax return in the event of underpayment, incorrect reportings, etc. The Department of Taxation cannot begin an audit or issue a penalty after this timeframe.
The statute of limitations in Nevada is three years from later of either the return filing date or the last day of the calendar month directly after the tax period. It must be noted that if no return is filed, it becomes eight years from the last day of the month which comes directly after the tax period.
Appealing to the Department of Taxation in Nevada
If you do not agree with a penalty or decision made by the Nevada Department of Taxation, you have the right to file an appeal and ask for reconsideration. In the case of a department appeal, an official petition must be filed with the Department of Taxation within forty five days after service of notice of assessmentTop
Administrative Sales Tax Appeals in Nevada
In the case of administrative appeal, an official petition must be completed with Department and Tax Commission within thirty days after service of decisionTop
Judicial Sales Tax Appeals in Nevada
If all other appeal avenues fail, businesses can make a final appeal in the state court system. When working with judicial appeals, the suit must be filed with the District Court within thirty days of the Commission's decision
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