A.B. 359
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ASSEMBLY BILL NO. 359–ASSEMBLYMEMBERS GALLANT,
GURR, GRAY; DELONG, HIBBETTS AND O’NEILL
MARCH 4, 2025
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Referred to Committee on Revenue
SUMMARY—Proposes to exempt sales of certain coins, currency
and bullion from sales and use taxes and analogous
taxes upon approval by the voters. (BDR 32-147)
FISCAL NOTE: Effect on Local Government: May have Fiscal Impact.
Effect on the State: Yes.
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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to taxes on retail sales; providing for the
submission to the voters of the question whether the Sales
and Use Tax Act of 1955 should be amended to provide
an exemption from the tax for certain coins, currency and
bullion; providing for the exemptions from certain
analogous taxes if the voters approve this amendment to
the Sales and Use Tax Act of 1955; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
The nonadministrative provisions of the Sales and Use Tax Act of 1955 (part of 1
chapter 372 of NRS) were approved by the voters by a referendum and therefore 2
cannot be amended, annulled or repealed, set aside, suspended or in any way made 3
inoperative except by the direct vote of the people. (Nev. Const. Art. 19, § 1) 4
Existing regulations provide that sales tax applies to sales of coins or bullion at a 5
premium price for purposes other than use as a medium of exchange. However, 6
sales tax does not apply to such sales if the purpose of the use of the coins or 7
bullion is as a medium of exchange, even if the sale is made at a premium. 8
(NAC 372.170) 9
Sections 2-9 of this bill require the submission of a question to the voters at the 10
2026 General Election of whether the Sales and Use Tax Act of 1955 should be 11
amended to provide an exemption for coins, currency and bullion that are: (1) used 12
solely as legal tender, security or commodity in this or another state, the United 13
States or a foreign country; and (2) sold based primarily on their intrinsic value as 14
precious material or collectible items rather than their representative value as a 15
medium of exchange. Section 10 of this bill amends the Local School Support Tax 16
Law to provide an identical exemption. This tax exemption becomes effective on 17
January 1, 2027, and expires by limitation on December 1, 2050, only if the voters 18
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approve the amendment to the Sales and Use Tax Act of 1955 at the General 19
Election in 2026. 20
Any amendment to the Local School Support Tax Law, including exemptions, 21
also applies to other sales and use taxes imposed under existing law. (NRS 354.705, 22
374A.020, 376A.060, 377.040, 377A.030, 377B.110, 543.600 and various special 23
and local acts) Therefore, if the voters approve the exemption on coins, currency 24
and bullion proposed by this bill, from January 1, 2027, through December 31, 25
2050, such coins, currency and bullion will be exempt from all sales and use taxes 26
currently contemplated under existing law. 27
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. The Legislature hereby finds that each exemption 1
provided by this act from any excise tax on the sale, storage, use or 2
consumption of tangible personal property sold at retail: 3
1. Will achieve a bona fide social or economic purpose and that 4
the benefits of the exemption are expected to exceed any adverse 5
effect of the exemption on the provision of services to the public by 6
the State or a local government that would otherwise receive 7
revenue from the tax from which the exemption would be granted; 8
and 9
2. Will not impair adversely the ability of the State or a local 10
government to pay, when due, all interest and principal on any 11
outstanding bonds or any other obligations for which revenue from 12
the tax from which the exemption would be granted was pledged. 13
Sec. 2. At the General Election on November 3, 2026, a 14
proposal must be submitted to the registered voters of this State to 15
amend the Sales and Use Tax Act, which was enacted by the 47th 16
Session of the Legislature of the State of Nevada and approved by 17
the Governor in 1955, and subsequently approved by the people of 18
this State at the General Election held on November 6, 1956. 19
Sec. 3. At the time and in the manner provided by law, the 20
Secretary of State shall transmit the proposed act to the several 21
county clerks, and the county clerks shall cause it to be published 22
and posted as provided by law. 23
Sec. 4. The proclamation and notice to the voters given by the 24
county clerks pursuant to law must be in substantially the following 25
form: 26
Notice is hereby given that at the General Election on 27
November 3, 2026, a question will appear on the ballot for the 28
adoption or rejection by the registered voters of the State of the 29
following proposed act: 30
AN ACT to amend an Act entitled “An Act to provide 31
revenue for the State of Nevada; providing for sales 32
and use taxes; providing for the manner of collection; 33
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defining certain terms; providing penalties for 1
violation, and other matters properly relating thereto.” 2
approved March 29, 1955, as amended. 3
4
THE PEOPLE OF THE STATE OF NEVADA 5
DO ENACT AS FOLLOWS: 6
7
Section 1. The above-entitled act, being chapter 397, 8
Statutes of Nevada 1955, at page 762, is hereby amended by 9
adding thereto a new section to be designated as section 52.3, 10
immediately following section 52, to read as follows: 11
Sec. 52.3. There are exempted from the taxes 12
imposed by this act the gross receipts from sales and the 13
storage, use or other consumption of coins, currency and 14
bullion that are: 15
1. Manufactured in whole or in part from gold, 16
silver, platinum, palladium or other material; 17
2. Used solely as legal tender, security or commodity 18
in this or another state, the United States or a foreign 19
country; and 20
3. Sold based primarily on their intrinsic value as 21
precious material or collectible items rather than their 22
representative value as a medium of exchange. 23
Sec. 2. This act becomes effective on January 1, 2027, 24
and expires by limitation on December 31, 2050. 25
Sec. 5. The ballot page assemblies and the paper ballots to be 26
used in voting on the question must present the question in 27
substantially the following form: 28
Shall the Sales and Use Tax Act of 1955 be amended to 29
provide an exemption from the taxes imposed by this Act on 30
the gross receipts from the sale and the storage, use or other 31
consumption of coins, currency and bullion used solely as 32
legal tender, security or commodity and sold based primarily 33
on their intrinsic value as precious material or collectible 34
items? 35
Yes No 36
Sec. 6. The explanation of the question which must appear on 37
each paper ballot and sample ballot and in every publication and 38
posting of notice of the question must be in substantially the 39
following form: 40
41
(Explanation of Question) 42
The proposed amendment to the Sales and Use Tax Act of 43
1955 would exempt from the taxes imposed by this Act the 44
gross receipts from the sale and storage, use or other 45
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consumption of coins, currency and bullion which are used 1
solely as legal tender, security or commodity in this or 2
another state, the United States or a foreign country and sold 3
based primarily on their intrinsic value as precious material or 4
collectible items rather than their representative value as a 5
medium of exchange. If this proposal is adopted, the 6
Legislature has provided that the Local School Support Tax 7
Law and certain analogous taxes on retail sales will be 8
amended to provide the same exemption. 9
Sec. 7. If a majority of the votes cast on the question is yes, 10
the amendment to the Sales and Use Tax Act of 1955 becomes 11
effective on January 1, 2027, and expires by limitation on 12
December 31, 2050. If less than a majority of votes cast on the 13
question is yes, the question fails and the amendment to the Sales 14
and Use Tax Act of 1955 does not become effective. 15
Sec. 8. All general election laws not inconsistent with this act 16
are applicable. 17
Sec. 9. Any informalities, omissions or defects in the content 18
or making of the publications, proclamations or notices provided for 19
in this act and by the general election laws under which this election 20
is held must be so construed as not to invalidate the adoption of the 21
act by a majority of the registered voters voting on the question if it 22
can be ascertained with reasonable certainty from the official returns 23
transmitted to the Office of the Secretary of State whether the 24
proposed amendment was adopted by a majority of those registered 25
voters. 26
Sec. 10. Chapter 374 of NRS is hereby amended by adding 27
thereto a new section to read as follows: 28
There are exempted from the taxes imposed by this chapter the 29
gross receipts from sales and the storage, use or other 30
consumption of coins, currency and bullion that are: 31
1. Manufactured in whole or in part from gold, silver, 32
platinum, palladium or other material; 33
2. Used solely as legal tender, security or commodity in this 34
or another state, the United States or a foreign country; and 35
3. Sold based primarily on their intrinsic value as precious 36
material or collectible items rather than their representative value 37
as a medium of exchange. 38
Sec. 11. 1. This section and sections 1 to 9, inclusive, of this 39
act become effective on October 1, 2025. 40
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2. Section 10 of this act becomes effective on January 1, 2027, 1
and expires by limitation on December 31, 2050, only if the 2
proposal submitted pursuant to sections 2 to 9, inclusive, of this act 3
is approved by the voters at the General Election on November 3, 4
2026. 5
H