AN ACT relating to the Department of Taxation; requiring, under certain circumstances, the Department to ensure that a person is informed when the person is communicating or interacting with artificial intelligence; clarifying that records and files of the Department that are generated by artificial intelligence used by the Department are confidential and privileged; and providing other matters properly relating thereto.

Existing law creates the Department of Taxation, which has various powers and duties related to the administration and collection of certain taxes, fees, assessments and other amounts of money or the imposition of disciplinary action. (Chapter 360 of NRS) Section 1 of this bill provides that if the Department uses artificial intelligence to communicate or interact with a person concerning the administration and collection of certain taxes, fees, assessments and other amounts of money or the imposition of disciplinary action, the Department must ensure that the person is informed that the person is communicating or interacting with artificial intelligence. Existing law makes confidential and privileged the records and files of the Department concerning the administration or collection of any tax, fee, assessment or other amount required by law to be collected or the imposition of disciplinary action, but authorizes the disclosure of such records and files under certain circumstances. (NRS 360.255) Section 2 of this bill clarifies that these requirements concerning confidentiality and privilege apply to any records and files that are generated by artificial intelligence used by the Department.