Centre Proposes to Curb Powers of States to Tax Minerals
The bill seeks a uniform mining tax regime after states added new levies that the industry said could add more than Rs 1.5 lakh crore in costs.
- On Monday, Union Minister of Coal and Mines G Kishan Reddy introduced the Regulation Amendment Bill in the Lok Sabha to restrict State Governments from levying additional taxes on mineral rights.
- This follows a 2024 Supreme Court verdict allowing states to levy additional mining taxes; Karnataka, Jharkhand, and Tamil Nadu subsequently imposed new charges the Union claims created an additional burden of over Rs 1.5 lakh crore.
- According to the new Bill, "no tax, cess or such other levy shall be imposed by the state government on mineral rights," though previously collected taxes "shall not be liable to be refunded."
- Revolutionary Socialist Party MP NK Premachandran contended the bill violates federalism, while Reddy argued the amendments seek to "provide certainty, stability and predictability in the fiscal regime in the mineral sector."
- The bill empowers the Union to regulate mineral-bearing lands under the Regulation Act, aiming to ensure harmonized mineral development across the nation rather than creating localized pockets of growth.
16 Articles
16 Articles
(Seoul = Yonhap News) Reporter Yoo Chang-yeop = As the Indian federal government pushes for a legal amendment to regulate the mineral taxation regulations of different state governments, the opposition and local governments...
MCA pushes to protect the tax break that funds new mines
The MCA wants a tax break kept for the investors who fund junior exploration. Image credit: Enrique del Barrio/stock.adobe.com The Minerals Council of Australia (MCA) is calling on the Federal Government to extend the 50 per cent capital gains tax (CGT) discount for individual investors who back junior minerals explorers beyond June 2027. With the discount, investors pay tax on only half their profit when they sell shares held for at least a ye…
Govt introduces bill to bar state levies on mining, enhance investor interest
The government said that the Mines and Minerals (Development and Regulation) Amendment Bill, 2026 aims to reduce the financial burden on mining operations and make them commercially attractive for investments.
Coverage Details
Bias Distribution
- 42% of the sources are Center, 42% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
