Nevada Casino Comp Meals Sales Tax Grace Period
- Sales Tax News
- Apr 25, 2012 | Susan McLain
According to the Las Vegas Sun, Nevada recently began requiring casinos to pay sales tax on comp meals for gamblers and employees. The Sun states that “[t]he tax took effect Feb. 15 and the first tax payments were due at the end of March.”
This unexpected sales tax requirement may have caught casinos unaware. So “[b]ecause the department recognizes that certain businesses may be incurring administrative burdens to begin and collect the sales tax on this type of food, the department will provide a grace period through July 31,” says the Department of Taxation.
This so-called “breathing period” does not exempt a casino from paying. Should the casinos fail to pay, they could be liable for 25 percent penalties plus interest.