Section 368A.140 - Computation of tax; inclusion of tax in sales price of food, refreshments or merchandise1. Pursuant to the provisions of subsection 1 of NRS 368A.200: (a) If the taxable event is an admission to a facility in this State where live entertainment is provided, the Department shall apply the tax rate to the total admission charge less the sum of any tax imposed by the United States upon or with respect to an admission charge to live entertainment, whether imposed upon the taxpayer or the patron.(b) If the taxable event is the live entertainment provided by an escort who is escorting a person or persons at one or more locations in this State, the Department shall apply the tax rate to the total amount, expressed in terms of money, of consideration paid for the service of escorting the person or persons at one or more locations in this State.2. The tax must be paid on all taxable admission charges and amounts paid for the service of escorting a person or persons at one or more locations in this State, regardless of whether the taxable amounts are paid in cash or through an extension of credit. Any required minimum purchase of food, beverages or merchandise must be accounted for solely as part of the total amount paid for the admission charge.3. The amount of any fees imposed in connection with the use of credit cards or debit cards which is excluded from taxation pursuant to paragraph (c) of subsection 2 of NRS 368A.200 must be determined from the actual amount imposed, collected and retained by the independent financial institution and not from an estimate of that amount.4. The tax must be paid on all the proceeds received by a taxpayer, in exchange for the sale of an admission to a facility, including, without limitation, the proceeds of any service charge or other fee or charge, other than a fee excluded from the tax pursuant to paragraph (c) of subsection 2 of NRS 368A.200 that is imposed and received by, or on behalf of, the taxpayer.5. The tax on any taxable admission to a facility where live entertainment is provided which is sold as a component of a package must be computed in accordance with the following provisions:(a) Except as otherwise provided in paragraph (b):(1) The average retail value of the admission 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) This subsection does not prohibit a taxpayer from paying, at the option of the taxpayer, the tax on the full retail value of the admission component of a package.6. The amount of any charge or fee excluded from the tax pursuant to subsection 3 or 4 of NRS 368A.020 must be determined from the actual amount imposed, collected and retained by the taxpayer, and not from an estimate of that amount.7. As used in this section, "package" means any aggregation of rights to rooms, food, refreshments, merchandise, entertainment, services or other items which is advertised to the public as a single unit and sold for a single price.Nev. Admin. Code § 368A.140
Added to NAC by Tax Comm'n by R212-03, eff. 12-4-2003; A by R062-15A, eff. 11/2/2016