AB 408 — Directs the Legislative Commission to appoint a committee to conduct an interim study on the role of online travel companies in promoting tourism in this State. (BDR S-673)

REQUIRESEXEMPT TWO-THIRDS(Reprinted MAJORITYwith VOTEamendments (§§adopted 1,on 2)April 19, 2021) FIRST REPRINT A.B.

408–A SSEMBLYWOMAN K ASAMA M ARCH 25, 2021 ____________ Referred to Committee on Government Affairs SUMMARY—RevisesSUMMARY—Directs provisionsthe governingLegislative taxesCommission to appoint a committee to conduct an interim study on transientthe lodging.role of online travel companies in promoting tourism in this State.

(BDR 20-673)S-673) FISCAL NOTE:

EffectEffEffect on Localthe Government:State:

May have Fiscal Impact.

Effect on the State:

May have Fiscal Impact.

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LegThis bill directs the Legislative Counsel’sCommission Digest:to appoint a committee to conduct an interim study concerning the role of online travel companies in promoting tourism in this State.

ExistingTHE lawPEOPLE governsOF theTHE impositionSTATE andOF collectionNEVADA, ofREPRESENTED taxesIN onSENATE theAND grossASSEMBLY, receiptsDO ofENACT aAS personFOLLOWS: engaged in the business of providing transient lodging from the rental of transient lodging in a county or incorporated city.

(See, e.g., NRS 244.3351, 244.3352, 244.33561, 268.096) Existing law requires each board of incorporated city to define the term “transient lodging” for the purpose such taxes.

(NRS 244.33565, 268.0195) This bill requires the board of county commissioners of each county and the city council or other governing body of each incorporated city to adopt an ordinance to:

(1) require a room remarketer who reserves, arranges for, conveys or furnishes the right to use or occupy transient lodging in a county or incorporated city in this State in exchange for an amount of consideration determined by the receipts of the room remarketer from reserving, arranging for, conveying ore gross furnishing the right to use or occupy transient lodging;

(2) require the room remarketer to include in the gross receipts on which the tax is imposed the amounts received by the room remarketer for reserving, arranging for, conveying or furnishing the right to use or occupy transient lodging, including any service or other charge or amount required to be paid as a condition to the right to use or occupy the transient lodging;

and (3) authorize the room remarketer to claim a provider of the transient lodging.

lodging taxes paid by the room remarketer to the - *AB408* – 2 – THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

Chapter(Deleted 244 of NRS is hereby amended by addingamendment.) theretoSec. a new section to read as follows:

1.

Each board of county commissioners shall adopt an ordinance that:

conveys or furnishes the right to use or occupy transient lodging in the county to another person for consideration in an amount determined by the room remarketer, to be a person providing transient lodging in the county for the purposes of imposing, collecting and remitting taxes on the gross receipts from the rental of transient lodging in the county.

The provisions of this paragraph, or an ordinance adopted pursuant thereto, must not be interpreted or construed to create, expand or alter any other liability, duty, obligation or responsibility of the room remarketer for, or relating to, the transient lodging.

(b) Requires the gross receipts of a room remarketer from reserving, arranging for, conveying or furnishing the right to use or occupy transient lodging in the county to another person for consideration in an amount determined by the room remarketer, including any service or other charge or amount required to be paid as a condition to the right to use or occupy the transient lodging, to be gross receipts from the rental of transient lodging in the county for the purpose of imposing, collecting and remitting taxes on the gross receipts from the rental of transient lodging in the county.

(c) Authorizes a room remarketer to claim a refund or credit against the amount of the tax on the gross receipts from the rental of transient lodging which the room remarketer is required to collect and remit to the county for reserving, arranging for, conveying or furnishing the right to use or occupy transient lodging in the county.

The refund or credit must equal the amount of the tax on the gross receipts from the rental of transient lodging that the room remarketer paid to the provider of the transient lodging upon acquiring the ability or authority to reserve, arrange for, convey or furnish the right to use or occupy such transient lodging.

The board of county commissioners may include in the ordinance adopted pursuant to this section a procedure for claiming the refund or credit required pursuant to this paragraph.

As(Deleted usedby inamendment.) thisSec. section:

(a)3. “Room remarketer” means a person who reserves, arranges for, conveys, or furnishes transient lodging in this State, - *AB408* – 3 – whether directly or indirectly, to another person for consideration in an amount determined by the room remarketer, directly or indirectly, whether pursuant to a written or other agreement.

(b)(Deleted “Transient lodging” has the meaning ascribed to it in the ordinance adopted pursuant to NRS 244.33565 by theamendment.) boardSec. of county commissioners to define the term “transient lodging” for the purpose of all taxes imposed by the board on the rental of transient lodging.

Sec.4.

2.(Deleted by amendment.) Sec.

Chapter4.5. 268 of NRS is hereby amended by adding thereto a new section to read as follows:

EachThe cityLegislative councilCommission orshall governingappoint bodya ofcommittee to conduct an incorporatedinterim citystudy shallconcerning adoptthe anrole ordinanceof that:online travel companies in promoting tourism in this State.

(a) Defines a room remarketer who reserves, arranges for, conveys or furnishes the right to use or possess transient lodging in the incorporated city to another person for consideration in an amount determined by the room remarketer, to be a person providing transient lodging in the incorporated city for the purposes of imposing, collecting and remitting taxes on the gross receipts from the rental of transient lodging in the incorporated city.

The provisions of this paragraph, or an ordinance adopted pursuant thereto, must not be interpreted or construed to create, expand or alter any other liability, duty, obligation or responsibility of the room remarketer for, or relating to, the transient lodging.

(b) Requires the gross receipts of a room remarketer from reserving, arranging for, conveying or furnishing the right to use or occupy transient lodging in the incorporated city to another person for consideration in an amount determined by the room remarketer, including any service or other charge or amount required to be paid as a condition to the right to use or occupy the transient lodging, to be gross receipts from the rental of transient lodging in the incorporated city for the purpose of imposing, collecting and remitting taxes on the gross receipts from the rental of transient lodging in the incorporated city.

(c) Authorizes a room remarketer to claim a refund or credit against the amount of the tax on the gross receipts from the rental of transient lodging which the room remarketer is required to collect and remit to the incorporated city for reserving, arranging for, conveying or furnishing the right to use or occupy transient lodging in the incorporated city.

The refund or credit must equal the amount of the tax on the gross receipts from the rental of transient lodging that the room remarketer paid to the provider of the transient lodging upon acquiring the ability or authority to reserve, arrange for, convey or furnish the right to use or occupy such transient lodging.

The city council or governing body of the - *AB408* – 4 – incorporated city may include in the ordinance adopted pursuant to this section a procedure for claiming the refund or credit required pursuant to this paragraph.

AsThe usedinterim incommittee thismust section:be composed of six Legislators as follows:

(a) “RoomTwo remarketer”members meansappointed a person who reserves, arranges for, conveys, or furnishes transient lodging in this State, whether directly or indirectly, to another person for consideration in an amount determined by the roomMajority remarketer,Leader directlyof orthe indirectly,Senate; whether pursuant to a written or other agreement.