On Monday, the Nevada Gaming Commission unanimously approved a settlement to refund over $3 million in overpaid taxes to Nevada Restaurant Services Inc. (NRSI), the operator of 41 licensed casinos, including popular brands like Dotty’s and Bourbon Street Sports.

The settlement covers a principal refund of $3,120,197.28, but NRSI waived its claim to $222,744.12 in accrued interest. The interest had been accumulating at a rate of $446 per day, and in August, commissioners expressed concerns over granting it, citing the company’s delay in filing the claim.

During the process, NRSI discovered it was also eligible for refunds on an additional two years of tax overpayments totaling $1.8 million. The company will seek the principal amount but will forgo interest on that sum as well. The overpayments occurred because NRSI failed to properly deduct wagered cashable electronic promotion amounts from its $46.9 million gross revenue. Under state regulations, companies can deduct specific promotional costs from taxable revenue, which NRSI overlooked.

NRSI plans to submit the request for an additional refund in the coming weeks. The commission’s decision ensures that the operator can recover substantial overpaid taxes, although interest on the delayed claims will not be granted.

Source: Review Journal