Legislation to close a loophole that has cost Nevada governments millions of dollars in lost revenue is an “unsophisticated” approach and will do little to force businesses to pay the tax, experts say.
Assembly Bill 448, introduced after a Las Vegas Review-Journal investigation exposed that casinos and other big property owners avoided real estate transfer taxes in lucrative sales, was passed by an Assembly committee last month. The bill would require payment of the tax if the property is shifted to a business entity that was “formed for the purpose of avoiding those taxes.”
Legal experts said the measure might help close the loophole in smaller sales.
