Charity Qualifies for Sales Tax Exemption, Nevada Justices Rule

A nonprofit formed to help the University of Nevada-Las Vegas build a medical school is exempt from sales and use tax as a charitable organization, regardless of the fact that it partnered with the government, the state high court ruled.

The law disqualifying government contractors from the tax exemption “operates to require taxation on particular transactions or acts taken by nonexempt actors,” Justice Kristina Pickering wrote for the unanimous Nevada Supreme Court in a Thursday opinion. “It follows that such limitations would have no effect on entities that are already exempt from taxation.”

The Nevada Department of Taxation’s contrary ...