NRS 372A.2867 Revocation or suspension of cannabis tax permit: Procedure; limitation on issuance of new permit; seller authorized to operate until final decision. [Effective January 1, 2027.]

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A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

1. Whenever any person fails to comply with any applicable provision of this title relating to the excise taxes imposed by this title or regulation of the Department relating to the excise taxes imposed by this title, the Department, after complying with the requirements of subsection 2 and providing a hearing of which the person was given prior notice of at least 10 days in writing specifying the time and place of the hearing and requiring the person to show cause as to why his or her cannabis tax permit should not be revoked or suspended, may revoke or suspend any one or more of the permits held by the person.

A hearing required pursuant to this subsection must be conducted not later than 30 days after the person was given notice of the hearing, except that for good cause shown by the holder of the permit, the Department may continue the hearing for not more than 30 additional days.

2. Before giving notice of a hearing pursuant to subsection 1, the Department must send to the holder of the permit information clearly explaining the nature of the alleged noncompliance, the amount of any delinquent excise tax, and any penalty and interest relating thereto, and contact information that the holder of the permit may use to address questions concerning the alleged noncompliance. Except as otherwise provided in this subsection, if not later than 30 days after such information is sent to the holder of the permit, the holder of the permit pays the full amount of any delinquent excise tax, and penalty and interest relating thereto, or enters into a written agreement with the Department to pay such amount in installments over a period specified in the agreement, the Department must not give notice of a hearing pursuant to subsection 1.

If the holder of the permit and the Department have approved a written agreement to pay the amount of any delinquent excise tax, and any penalty and interest relating thereto, in installments over a specified period of time, but the written agreement must be approved by the Nevada Tax Commission before becoming effective, the Department must present the written agreement to the Commission at its next public meeting and, if the Commission approves the written agreement, the Department must not give notice of a hearing pursuant to subsection 1.

If the alleged noncompliance of the holder of the permit is a failure to comply with a written agreement with the Department to pay any delinquent excise tax, and penalty and interest relating thereto, the Department must send to the holder of the permit the information required by this subsection before giving notice of a hearing pursuant to subsection 1 and the Department may give notice of such a hearing if the holder of the permit does not cure the deficiency within 30 days after receiving information concerning the alleged noncompliance.

3. The Department shall, not later than 30 days after a hearing conducted pursuant to subsection 1, serve any decision regarding the suspension or revocation of a cannabis tax permit on the person in writing. If the holder of the permit does not file an appeal with the Nevada Tax Commission in accordance with subsection 6, the decision of the Department is final and not subject to judicial review.

4. The Department shall serve the decision required pursuant to subsection 3 by personal service or by certified mail, or, if the person provided consent to receiving electronic mail, in the manner prescribed for service of notice of a deficiency determination.

5. The Department shall not issue a new cannabis tax permit to any person who has previously had a permit revoked, unless the Department is satisfied that the person will comply with the provisions of this title relating to the excise taxes imposed by this title and the associated regulations of the Department.

6. Within 30 days after the date of service of a decision pursuant to subsection 3, a person who is aggrieved by the decision may file an appeal with the Nevada Tax Commission. The Commission shall consider the appeal at its next available public meeting. A decision of the Commission on appeal is a final decision for the purposes of judicial review pursuant to chapter 233B of NRS. Not later than 30 days after the public meeting at which the Commission considers the appeal, the Commission must issue a final decision in writing and serve the final written decision on the parties either personally or by certified mail.

7. If the final decision of the Department pursuant to subsection 3 or the Nevada Tax Commission pursuant to subsection 6, as applicable, supports revocation or suspension of the cannabis tax permit, the Department shall, not later than 5 days after issuance of the final decision, serve by certified mail or electronic means a copy of the final decision to the Board.

8. The Department shall, within 5 days after a person who is subject to a final decision pays the liability in full or the liability is transferred and paid in full with the proceeds from the transfer, reinstate the cannabis tax permit and provide the person a letter stating that the person has satisfied the arrearage and the cannabis tax permit has been reinstated. The Department shall also send a copy of that letter to the Board by certified mail or electronic means.

9. A seller who has received a notice of hearing pursuant to subsection 2 may continue to operate until such time as a copy of a final decision is sent to the Board pursuant to subsection 7.