AB26. Reduces the statutory rate of depreciation applicable to improvements made on real property for the purpose of determining the taxable value of the property. (BDR ...

Nevada Legislature. 77th Legislature (2013). Assembly.

Introduced:
Dec 20, 2012
Last Action:
Apr 23, 2013
To committee.

State legislative information provided by LegiNation, Inc. and LegiScan, Inc. Some information also from Open States.

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History

Dec 20, 2012: Prefiled. Referred to Committee on Taxation. To printer.

Dec 27, 2012: From printer.

Feb 04, 2013: Read first time. To committee.

Apr 22, 2013: From committee: Amend, and do pass as amended.

Apr 22, 2013: From committee: Amend, without recommendation, and rerefer to Committee on Ways and Means.

Apr 22, 2013: Placed on Second Reading File.

Apr 22, 2013: Read second time. Amended. (Amend. No. 454.) To printer.

Apr 22, 2013: Notice of eligibility for exemption.

Apr 23, 2013: From printer. To engrossment. Engrossed. First reprint .

Apr 23, 2013: Taken from General File.

Apr 23, 2013: Referred to Committee on Ways and Means.

Apr 23, 2013: Exemption effective.

Apr 23, 2013: To committee.

Summary

Legislative Counsel's Digest: Under current law, the taxable value of an improvement made on real property must be determined by subtracting from the cost of replacement of the improvement all applicable depreciation and obsolescence. That depreciation is required to be calculated at the rate of 1.5 percent of the cost of replacement of the improvement for each year that the improvement has aged, up to a maximum of 50 years. (NRS 361.227) The application of this formula for the entire 50-year period results in a maximum rate of depreciation of 75 percent of the cost of replacement. This bill reduces the future rate of depreciation for an improvement made on real property to 1 percent of the cost of replacement of the improvement for each year that the improvement ages after 2012. This bill does not affect the maximum rate of depreciation allowed under current law. The change in the rate of depreciation pursuant to this bill does not affect the determination of the taxable value of any improvements for the purposes of any property taxes imposed before July 1, 2014.