ARTICLE. 10. - Taxation.

Section 1

taxation; valuation of property; exceptions and exemptions; inheritance and personal
income taxes prohibited. 
 2. Total tax
levy for public purposes limited.
 [3]. Household
goods and furniture of single household exempt from taxation.
 3[A]. Food exempt
from taxes on retail sales; exceptions.
 3B. Durable
medical equipment, oxygen delivery equipment and mobility enhancing equipment
exempt from taxes on retail sales.
 4. Taxation
of estates taxed by United States; limitations.
 5. Tax on
proceeds of minerals; appropriation to counties; apportionment; assessment and
taxation of mines.
 6. Enactment
of exemption from ad valorem tax on property or excise tax on retail sales.
 Section 1.  Uniform and equal rate of assessment and taxation; valuation of
property; exceptions and exemptions; inheritance and personal income taxes
prohibited.
 1.  The Legislature shall provide by law
for a uniform and equal rate of assessment and taxation, and shall prescribe
such regulations as shall secure a just valuation for taxation of all property,
real, personal and possessory, except mines and mining claims, which shall be
assessed and taxed only as provided in Section 5 of this Article. 
 2.  Shares of stock, bonds, mortgages,
notes, bank deposits, book accounts and credits, and securities and choses in
action of like character are deemed to represent interest in property already
assessed and taxed, either in Nevada or elsewhere, and shall be exempt.
 3.  The Legislature may constitute
agricultural and open-space real property having a greater value for another
use than that for which it is being used, as a separate class for taxation
purposes and may provide a separate uniform plan for appraisal and valuation of
such property for assessment purposes. If such plan is provided, the
Legislature shall also provide for retroactive assessment for a period of not
less than 7 years when agricultural and open-space real property is converted
to a higher use conforming to the use for which other nearby property is used.
 4.  Personal property which is moving in
interstate commerce through or over the territory of the State of Nevada, or
which was consigned to a warehouse, public or private, within the State of
Nevada from outside the State of Nevada for storage in transit to a final
destination outside the State of Nevada, whether specified when transportation
begins or afterward, shall be deemed to have acquired no situs in Nevada for
purposes of taxation and shall be exempt from taxation. Such property shall not
be deprived of such exemption because while in the warehouse the property is
assembled, bound, joined, processed, disassembled, divided, cut, broken in
bulk, relabeled or repackaged.
 5.  The Legislature may exempt motor
vehicles from the provisions of the tax required by this Section, and in lieu
thereof, if such exemption is granted, shall provide for a uniform and equal
rate of assessment and taxation of motor vehicles, which rate shall not exceed
five cents on one dollar of assessed valuation.
 6.  The Legislature shall provide by law
for a progressive reduction in the tax upon business inventories by 20 percent
in each year following the adoption of this provision, and after the expiration
of the 4th year such inventories are exempt from taxation. The Legislature may
exempt any other personal property, including livestock.
 7.  No inheritance tax shall ever be
levied.
 8.  The Legislature may exempt by law
property used for municipal, educational, literary, scientific or other
charitable purposes, or to encourage the conservation of energy or the
substitution of other sources for fossil sources of energy.
 9.  No income tax shall be levied upon the
wages or personal income of natural persons. Notwithstanding the foregoing
provision, and except as otherwise provided in subsection 1 of this Section,
taxes may be levied upon the income or revenue of any business in whatever form
it may be conducted for profit in the State.
 10.  The Legislature may provide by law for
an abatement of the tax upon or an exemption of part of the assessed value of a
single-family residence occupied by the owner to the extent necessary to avoid
severe economic hardship to the owner of the residence.
 [Amended in 1902, 1906, 1942, 1960, 1962, 1974,
1978, 1982, 1986, 1989, 1990 and 2002. The first amendment was proposed and
passed by the 1899 Legislature; agreed to and passed by the 1901 Legislature;
and approved and ratified by the people at the 1902 General Election. See:
Statutes of Nevada 1899,
p. 139; Statutes of Nevada 1901,
p. 136. The second amendment was proposed and passed by the 1903
Legislature; agreed to and passed by the 1905 Legislature; and approved and
ratified by the people at the 1906 General Election. See: Statutes of Nevada 1903,
p. 240; Statutes of Nevada 1905,
p. 277. The third amendment was proposed and passed by the 1939
Legislature; agreed to and passed by the 1941 Legislature; and approved and
ratified by the people at the 1942 General Election. See: Statutes of Nevada 1939,
p. 360; Statutes of Nevada 1941,
p. 559. The fourth amendment was proposed and passed by the 1957
Legislature; agreed to and passed by the 1959 Legislature; and approved and
ratified by the people at the 1960 General Election. See: Statutes of Nevada 1957,
p. 805; Statutes of Nevada 1959,
p. 939. The fifth amendment was proposed and passed by the 1960
Legislature; agreed to and passed by the 1961 Legislature; and approved and
ratified by the people at the 1962 General Election. See: Statutes of Nevada 1960,
p. 509; Statutes of Nevada 1961,
p. 825. The sixth amendment was proposed and passed by the 1971
Legislature; agreed to and passed by the 1973 Legislature; and approved and
ratified by the people at the 1974 General Election. See: Statutes of Nevada 1971,
p. 2299; Statutes of Nevada 1973,
p. 1938. The seventh amendment was proposed and passed by the 1975
Legislature; agreed to and passed by the 1977 Legislature; and approved and
ratified by the people at the 1978 General Election. See: Statutes of Nevada 1975,
p. 1925; Statutes of Nevada 1977,
p. 1727. The eighth amendment was proposed and passed by the 1979
Legislature; agreed to and passed by the 1981 Legislature; and approved and
ratified by the people at the 1982 General Election. See: Statutes of Nevada 1979,
p. 1983, Statutes of Nevada 1981,
p. 2070. The ninth and tenth amendments were proposed and passed by the
1983 Legislature; agreed to and passed by the 1985 Legislature; and approved
and ratified by the people at the 1986 General Election. See: Statutes of
Nevada 1983;
pp. 2141 and 2225;
Statutes of Nevada 1985,
pp. 2331 and 2401.
The amendments were combined pursuant to Nev.
Art. 16, § 1. The eleventh amendment was proposed and passed by the 1987
Legislature; agreed to and passed by the 1989 Legislature; and approved and
ratified by the people at a special election held on May 2, 1989. See: Statutes
of Nevada 1987,
p. 2442; Statutes of Nevada 1989,
p. 2228. The twelfth amendment was proposed by initiative petition and
approved and ratified by the people at the General Elections of 1988 and 1990.
The thirteenth amendment was proposed and passed by the 1999 Legislature;
agreed to and passed by the 2001 Legislature; and approved and ratified by the
people at the 2002 General Election. See: Statutes of Nevada 1999,
p. 3968; Statutes of Nevada 2001,
p. 3462. The fourteenth amendment was proposed and passed by the 2011
Legislature; agreed to and passed by the 2013 Legislature; and not approved and
ratified by the people at the 2014 General Election. See: Statutes of Nevada 2011,
p. 3871; Statutes of Nevada 2013,
p. 3958.]
 Sec. 2.  Total tax levy for public purposes limited.  The
total tax levy for all public purposes including levies for bonds, within the
state, or any subdivision thereof, shall not exceed five cents on one dollar of
assessed valuation.
 [Added in 1936. Proposed and passed by the 1933
legislature; agreed to and passed by the 1935 legislature; and approved and
ratified by the people at the 1936 general election. See: Statutes of Nevada 1933,
p. 369; Statutes of Nevada 1935,
p. 428.] 
 Sec. [3].  Household goods and furniture of single household exempt from
taxation.  All household goods and furniture used by a
single household and owned by a member of that household are exempt from
taxation.
 [Added in 1982. Proposed by initiative petition
and approved by the people at the 1980 and 1982 general elections.] 
 Sec. 3[A].  Food exempt from taxes on retail sales; exceptions.  The
legislature shall provide by law for: 
 1.  The exemption of food for human
consumption from any tax upon the sale, storage, use or consumption of tangible
personal property; and
 2.  These commodities to be excluded from
any such exemption:
 (a) Prepared food intended for immediate
consumption.
 (b) Alcoholic beverages.
 [Added in 1984. Proposed and passed by the 1981
legislature; agreed to and passed by the 1983 legislature; and approved and
ratified by the people at the 1984 general election. See: Statutes of Nevada 1981,
p. 2093; Statutes of Nevada 1983,
p. 2113.]
 Sec. 3B.  Durable medical equipment, oxygen delivery equipment and
mobility enhancing equipment exempt from taxes on retail sales.  The
legislature shall provide by law for the exemption of durable medical
equipment, oxygen delivery equipment and mobility enhancing equipment
prescribed for human use by a licensed provider of health care acting within
his or her scope of practice from any tax upon the sale, storage, use or
consumption of tangible personal property.
 [Added in 2018. Proposed by initiative petition
and approved and ratified by the voters at the 2016 and 2018 General
Elections.]
 Sec. 4.  Taxation of estates taxed by United States; limitations.  The
legislature may provide by law for the taxation of estates taxed by the United
States, but only to the extent of any credit allowed by federal law for the
payment of the state tax and only for the purpose of education, to be divided
between the common schools and the state university for their support and
maintenance. The combined amount of these federal and state taxes may not
exceed the estate tax which would be imposed by federal law alone. If another
state of the United States imposes and collects death taxes against an estate
which is taxable by the State of Nevada under this section, the amount of
estate tax to be collected by the State of Nevada must be reduced by the amount
of the death taxes collected by the other state. Any lien for the estate tax
attaches no sooner than the time when the tax is due and payable, and no
restriction on possession or use of a decedent’s property may be imposed by law
before the time when the tax is due and payable in full under federal law. The
State of Nevada shall:
 1.  Accept the determination by the United
States of the amount of the taxable estate without further audit. 
 2.  Accept payment of the tax in
installments proportionate to any which may be permitted under federal law.
 3.  Impose no penalty for such a deferred
payment.
 4.  Not charge interest on a deferred or
belated payment at any rate higher than may be provided in similar
circumstances by federal law.
 [Added in 1986. Proposed and passed by the 1983
legislature; agreed to and passed by the 1985 legislature; and approved and
ratified by the people at the 1986 general election. See: Statutes of Nevada 1983,
p. 2224; Statutes of Nevada 1985,
p. 2400.]
 Sec. 5.  Tax on proceeds of minerals; appropriation to counties;
apportionment; assessment and taxation of mines.
 1.  The legislature shall provide by law
for a tax upon the net proceeds of all minerals, including oil, gas and other
hydrocarbons, extracted in this state, at a rate not to exceed 5 percent of the
net proceeds. No other tax may be imposed upon a mineral or its proceeds until
the identity of the proceeds as such is lost. 
 2.  The legislature shall appropriate to
each county that sum which would be produced by levying a tax upon the entire
amount of the net proceeds taxed in each taxing district in the county at the
rate levied in that district upon the assessed valuation of real property. The
total amount so appropriated to each county must be apportioned among the
respective governmental units and districts within it, including the county
itself and the school district, in the same proportion as they share in the
total taxes collected on property according to value.
 3.  Each patented mine or mining claim must
be assessed and taxed as other real property is assessed and taxed, except that
no value may be attributed to any mineral known or believed to underlie it, and
no value may be attributed to the surface of a mine or claim if one hundred
dollars’ worth of labor has been actually performed on the mine or claim during
the year preceding the assessment.
 [Added in 1989. Proposed and passed by the 1987
legislature; agreed to and passed by the 1989 legislature; and approved and
ratified by the people at a special election held on May 2, 1989. See: Statutes
of Nevada 1987,
p. 2443; Statutes of Nevada 1989,
p. 2229. Proposed repeal passed by the 2011 Legislature; agreed to and
passed by the 2013 Legislature; and not approved and ratified by the people at
the 2014 General Election. See: Statutes of Nevada 2011,
p. 3872; Statutes of Nevada 2013,
p. 3959.]
 Sec. 6.  Enactment of exemption from ad valorem tax on property or excise
tax on retail sales. 
 1.  The Legislature shall not enact an
exemption from any ad valorem tax on property or excise tax on the sale,
storage, use or consumption of tangible personal property sold at retail unless
the Legislature finds that the exemption:
 (a) Will achieve a bona fide social or economic
purpose and the benefits of the exemption are expected to exceed any adverse
effect of the exemption on the provision of services to the public by the State
or a local government that would otherwise receive revenue from the tax from
which the exemption would be granted; and
 (b) Will not impair adversely the ability of the
State or a local government to pay, when due, all interest and principal on any
outstanding bonds or any other obligations for which revenue from the tax from
which the exemption would be granted was pledged.
 2.  In enacting an exemption from any ad
valorem tax on property or excise tax on the sale, storage, use or consumption
of tangible personal property sold at retail, the Legislature shall:
 (a) Ensure that the requirements for claiming the
exemption are as similar as practicable for similar classes of taxpayers; and
 (b) Provide a specific date on which the
exemption will cease to be effective.
 [Added in 2008. Proposed and passed by the 2005
Legislature; agreed to and passed by the 2007 Legislature; and approved and
ratified by the people at the 2008 General Election. See: Statutes of Nevada 2005,
p. 3048; Statutes of Nevada 2007,
p. 3585.]