How to close a restaurant in Nevada follows the same general framework as closing anywhere, but Nevada has specific rules on final paycheck timing, liquor license administration at the county level, and the Modified Business Tax that differ from other states. Here is what Nevada restaurant owners need to know.
Final Paycheck Requirements in Nevada
Nevada law requires that employees receive their final paycheck within three days after the last day of work if the employer terminates the employee. If the employee resigns, the final paycheck is due on the next regular payday or within seven days, whichever comes first.
Nevada does not require employers to pay out accrued vacation or PTO upon termination unless the employer's written policy promises it. However, if your employee handbook or any written agreement states that unused PTO is paid out at termination, you are legally bound to honor that.
The Nevada Office of the Labor Commissioner (labor.nv.gov) enforces wage payment laws. Violations can result in penalties and back pay obligations.
Liquor License Rules in Nevada
Nevada liquor licenses are administered at the county and city level, not by a single state agency. Clark County (Las Vegas), Washoe County (Reno), and other jurisdictions each have their own liquor control authorities.
In Clark County, liquor licenses are issued by the Clark County Business License Department for unincorporated areas, and by the City of Las Vegas, Henderson, or North Las Vegas for incorporated areas. The process for surrendering or transferring a license varies by jurisdiction.
In general, to surrender a Nevada liquor license, you notify the issuing authority in writing of your closure date and return the physical license. To transfer a license to a buyer, the buyer must apply to the local authority for approval.
Nevada does not have a statewide quota system for liquor licenses, but individual jurisdictions may have their own restrictions. In Las Vegas and other high-demand markets, certain license types may have secondary market value. Check with a local liquor license attorney before surrendering a license.
Sales Tax and Modified Business Tax in Nevada
Nevada's state sales tax rate is 4.6 percent, with additional county taxes that bring the combined rate to 6.85 percent in Clark County and similar rates in other counties. Restaurants must collect and remit sales tax on food and beverage sales.
When closing, file a final sales tax return with the Nevada Department of Taxation (tax.nv.gov) and cancel your Nevada business license. The final return covers the period from your last return through your closure date.
Nevada also has a Modified Business Tax (MBT) on employer payroll. If you were paying the MBT, file a final MBT return with the Department of Taxation.
WARN Act Considerations in Nevada
The federal WARN Act requires employers with 100 or more full-time employees to provide 60 days advance notice before a plant closing or mass layoff. Most independent restaurants in Nevada do not meet this threshold.
Nevada does not have a state-level WARN Act equivalent, so the federal threshold applies. If your restaurant has fewer than 100 full-time employees, you are not subject to WARN Act notice requirements.
LLC Dissolution in Nevada
If you operated your restaurant as a Nevada LLC, you must file Articles of Dissolution with the Nevada Secretary of State (nvsos.gov). The filing fee is $100. You can file online through the Nevada Secretary of State's SilverFlume portal.
Before filing for dissolution, pay all outstanding Nevada taxes. Nevada also requires that you file a final annual list with the Secretary of State before dissolving.
After filing the Articles of Dissolution, your LLC has a winding-up period during which you can settle outstanding debts, distribute remaining assets, and close bank accounts.
Nevada-Specific Closing Checklist
- Notify employees and pay final wages within three days of termination (Nevada law)
- File final Nevada sales tax return and cancel business license
- Notify local liquor control authority of license surrender or initiate transfer
- File final Nevada Modified Business Tax return
- File final Nevada unemployment insurance returns
- File Articles of Dissolution with Nevada Secretary of State ($100 fee)
- Notify local health authority of food establishment closure
Related guides: How to close a restaurant: the complete guide | What happens to employees when a restaurant closes? | Restaurant liquor license: what happens when you close