Governor Proposes Tax Amnesty Program
Governor Jim Gibbons announced a proposal for a tax amnesty program designed to
increase state revenue by collecting delinquent taxes and bringing additional
businesses into the state’s tax system.
The
concepts of the program are scheduled to be considered by the Nevada Tax
Commission at its 9 a.m. meeting this morning.
“By
temporarily suspending the interest and penalties we would normally assess on
delinquent taxpayers, we’ll entice full payment of outstanding back taxes while
encouraging businesses not already registered with the state to do so,” the
Governor said. “Anyone who comes forward will still be obligated to pay all the
underlying taxes they owe, which should generate significant state revenue
during this difficult fiscal period.”
The
Governor’s proposal would waive all interest and penalties for delinquent sales
and use taxes, modified business taxes and business license fees. The Department
of Taxation will be able to administer the Governor’s program using existing
personnel and resources, so there will be no additional cost to the state.
Certain details of the proposal, including the total length of the program, are
still to be determined, but the program is planned to take effect July 1, 2008.
“This
should help the state in both the short and long term by enticing people to pay
now and by bringing new businesses into the system so that the state will
realize ongoing revenues from their taxable transactions,” the Governor said.
The
most recent large scale tax amnesty program in Nevada was in 2002 and brought in
more than $7.3 million in revenue. A similar amnesty program in 1993 generated
more than $2.8 million.
“The
interest and penalties assessed on delinquent taxes can be substantial,” Gibbons
said. “I hope businesses delinquent in their taxes recognize the value of this
one-time opportunity, especially during difficult economic times.”
State Buildings Selected For
Energy Audit
Nevada will participate in
the Greening State Capitols energy audit program that is a partnership between
the National Governors Association and Wal-Mart Stores, Inc., Governor Jim
Gibbons announced today.
As one of 20 states to be
included in the project, an energy audit will be performed on the State Capitol,
the Governor's Mansion and a Carson City state office building that will review
their energy consumption to identify conservation measures.
"Energy conservation is an
important part of my comprehensive energy plan and represents the demand side of
the energy equation," Gibbons said. "This project will clearly identify ways to
improve energy efficiency at some of our state buildings and contribute to my
mission of making Nevada energy independent. I'd like to thank the NGA and
Wal-Mart for sponsoring this program."
Nevada is a leader in
developing renewable energy resources and was one of the first states in the
nation to adopt a renewable portfolio standard that requires a certain
percentage of its electricity to be generated by renewable resources. That
standard is currently set at 20 percent by 2015. Conservation is also a
25-percent requirement of the portfolio standard.
State law also requires state
agencies, departments and other entities in the executive branch of government
to reduce grid-based energy purchases by 20 percent by 2015. Conservation will
be the key to meeting this requirement. "This audit will help define the
baseline energy consumption for these three buildings and identify strategies to
make them more efficient," said Dr. Hatice Gecol, the Governor's Energy and
Science Advisor and Director of the State Energy Office.
"Hopefully, what we find in
these three buildings can serve as a model we'll be able to use in other state
buildings to conserve energy and reduce the carbon footprint of state
government."
The buildings to be audited
include the State Capitol, 101 N. Carson St., the Governor's Mansion, 606
Mountain St., and a state office building at 209 E. Musser St. The three
buildings total nearly 120,000 square feet. State Buildings Selected For Energy
Audit.
Governor Signs Order Creating Sage
Commission
Governor Jim Gibbons today signed an executive order
creating Nevada’s Spending and Government Efficiency (SAGE) Commission.
The commission will review state government and provide the
Governor recommendations for streamlining operations, improving customer service
and maximizing the use of taxpayer dollars.
“The SAGE Commission is being created to change the way the
State of Nevada conducts business,” the Governor said. “My plan is to tap the
best business minds in the state to assess our operations, identify excess
spending and make immediate and long-term recommendations I will be able to use
to improve state government.”
The Governor’s first appointment to the SAGE Commission is
former U.S. Public Printer Bruce James of Crystal Bay, who will serve as
commission chairman. The Governor will select five additional appointments to
the 12-member panel and round out the members from recommendations provided by
legislators. James expects holding the first commission meeting by July 1, with
monthly meetings held thereafter. Although a privately funded panel, all
meetings will be open to the public.
"Nevada’s government was organized and structured to
provide services when we had fewer than a million people" James said. "Today we
are approximately three million and within 20 years it is likely that we will
have five million. If we are smart, we will reorganize to take advantage of
economies of scale to actually reduce the cost of individual services. By
working cooperatively with state employees, that’s the type of guidance I hope
the SAGE Commission can offer the Nevada government."
The Governor recently worked with a bipartisan panel of
lawmakers to balance the state’s budget without raising taxes despite a $913
million shortfall. The Governor said he hopes the SAGE Commission will find ways
to minimize future shortfalls.
“Creating a streamlined, efficient government will ensure
the state is getting the most out of taxes paid by hard-working Nevadans,”
Gibbons said. “While there are economic conditions we’ll never control,
maximizing our revenue will help soften the blow of such economic difficulty in
the future.”
