Nevada Revised Statutes 205.960 – Qualified intermediaries of clients with certain property: Unlawful acts; criminal penalty; civil penalty
1. It is unlawful for a person to enter into an agreement to act as a qualified intermediary, as defined in 26 C.F.R. § 1.1031(k)-1(g)(4), for a client whose relinquished property is located in this State unless:
Attorney's Note
Under the Nevada Revised Statutes, punishments for crimes depend on the classification. In the case of this section:| Class | Prison | Fine |
|---|---|---|
| category D felony | 1 to 4 years | up to $5,000 |
Terms Used In Nevada Revised Statutes 205.960
- Docket: A log containing brief entries of court proceedings.
- Escrow: Money given to a third party to be held for payment until certain conditions are met.
- person: means a natural person, any form of business or social organization and any other nongovernmental legal entity including, but not limited to, a corporation, partnership, association, trust or unincorporated organization. See Nevada Revised Statutes 0.039
(a) The proceeds from the disposition of the relinquished property are deposited into a qualified escrow account or qualified trust as defined in 26 C.F.R. § 1.1031(k)-1(g)(3).
(b) The money is held in such a manner that it may not be withdrawn from the qualified escrow account or qualified trust without the written approval of the intermediary and the client.
2. A person who violates the provisions of this section is guilty of a category D felony and shall be punished as provided in NRS 193.130.
3. In addition to any other penalty imposed, the court shall order a person who violates subsection 1 to pay a civil penalty of not less than $10,000. The money so collected:
(a) Must not be deducted from any penal fine imposed by the court;
(b) Must be stated separately on the court’s docket; and
(c) Must be remitted forthwith to the Commissioner of Financial Institutions.