Opinion

EDITORIAL

Secretary of state tries end run

Posted: Feb. 19, 2012 | 2:08 a.m.

The Nevada Constitution could not be more clear. The Legislature meets in regular session for no more than 120 days every other year. Outside of that, lawmakers must be in a special session called by the governor to pass legislation.

Regulations, however, are a different story. And Secretary of State Ross Miller doesn't see a lot of difference between legislation and regulation, especially if it helps his office collect more tax money.

Mr. Miller appeared before the Legislative Commission, a panel of lawmakers that oversees state business between regular sessions, seeking approval of a regulation that would allow him to collect the state's $200 annual business license fee on limited liability corporations and other businesses that claim exemption. Home-based businesses that make less than $27,000 per year don't have to pay the fee.

Mr. Miller, a Democrat, contends that scores of LLCs are falsely claiming the exemption, shorting the state some $10 million per year in general fund revenue. The regulation he wants would limit the income exemption to "natural persons" and require all companies to pay.

Sen. Michael Roberson, R-Las Vegas, observed that Mr. Miller's office had already tried to achieve the same end -- through legislation. The bill died during last year's regular session.

The commission can't make law between sessions. Period. And Sen. Roberson pointed out that the commission certainly can't pass a regulation that runs counter to existing statute.

"The honor system doesn't work," Mr. Miller complained. "We are trying to level the playing field. What is happening is not fair to people who are paying the $200 fee regularly."

Perhaps. But if Mr. Miller feels that strongly about the issue, then he must first change state law, not try to legislate through back-door regulation. He is an executive branch official. There are limits to Mr. Miller's power.

The argument can be made that legislators exceed their constitutional authority, as well, when they meet as the Legislative Commission between sessions.

But Sen. Roberson got it right here. Regulations are supposed to be administrative rules that enable or enforce legislation, not a means to an end when an elected official doesn't like what the law says.

Comments

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  1. Candystriper Feb. 19, 2012 | 2:18 p.m. Report Abuse

    Can't the state and Feds challenge the LLC at any time for not paying the fee? They could bust your company up in Mississippi if you did not pay the $50 fee.

  2. iamretired Feb. 19, 2012 | 11:31 a.m. Report Abuse

    Simple, prosecute them for fraud, State AG, charge them and fine them, more money for the state. Hey ROSS send them all mandatory affidavits to be sworn to that their corp in under $27,000.00 a year and then after yu get them, send out for copys of their tax returns.

  3. constantly surprised Feb. 19, 2012 | 10:31 a.m. Report Abuse

    Minden63: I didn't realize Clinton sexually harassed EVERY woman he worked with! I must have missed that news. I'm surprised he found any time at all to be president.
    I also didn't realize that Mary Jo was a trollop, I thought she was just a young and foolish woman. I learn something new each day.

  4. n7v.blogspot.com Feb. 19, 2012 | 10:20 a.m. Report Abuse

    BIG Government needs HIGH taxes to pay for it.

    Abolish the business license fee as a first step towards eliminating ALL business taxes. Yep, including the gaming tax.

    And abolish all these unconstitutional "interim" legislative committees. They can meet at the aptly named Senator Robberson's house to watch The Simpsons but otherwise nothing "official" should come of it.

  5. nyewarrior Feb. 19, 2012 | 9:45 a.m. Report Abuse

    Sort of looks like he's been taking advice from POTUS lately. To HE** with the Constitution, I've declared I'm in charge here.

  6. vote them out Feb. 19, 2012 | 9:19 a.m. Report Abuse

    So thousands of business owners are breaking the law by not paying a state mandated fee and Roberson is "right" by not allowing Miller to close the loophole and enforce the law?
    The editioral board at the LVRJ is so out of touch with reality they are now actually defending those who break the law.

  7. RCRPOWER Feb. 19, 2012 | 8:21 a.m. Report Abuse

    So what? This is more about politics than common sense. The solution to the who pays the LLC $200 business tax problem is simple. All of them pay the $200 annual fee. When they file their federal taxes they can also submit their form 1040 to the state and claim their right for reimbursement.

  8. Allen.Samuels Feb. 19, 2012 | 8:09 a.m. Report Abuse

    More Kool-aid mrs ed?

  9. Minden63 Feb. 19, 2012 | 7:33 a.m. Report Abuse

    Hey, mrs ed has a point. The Constitution didn't stop Bill Clinton from raping Juanita Broaddrick or serially sexually harassing every woman who worked for him. It didn't stop Ted Chappaquddick Kennedy from getting rid of an inconvenient trollop. They both strode the earth proudly as senior party statesmen. you can see where mrs ed gets her moral judgment.

  10. leftcoast Feb. 19, 2012 | 6:51 a.m. Report Abuse

    @mrs e.d.* - considering the current chief executive, let's dispense with all references to the former.
    It would be nice to have your life, insulated from responsibility.

    * (a medical condition)

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