Union Minister of Steel and Heavy Industries HD Kumaraswamy on Thursday discussed the impact of Karnataka's proposed taxes on mineral-bearing land and mineral rights with Law Minister Arjun Ram Meghwal after the mining companies raised concerns that it could adversely affect the mining and steel sectors. ET Year-end Special ReadsBuying a home in 2025? Here's how property market can shape up18 top stock picks for 2025 from 6 leading brokersFive big bangs that shook the corporate world in 2024 Steel Secretary Sandeep Poundrik, NMDC Chairman Amitava Mukherjee, senior officials from the Law Ministry, and top representatives of mining companies attended the meeting. The heavy burden of these taxes and their negative impact on mining activities were key points of discussion during the meeting, a statement from the Steel Minister’s office said. Karnataka was taxing three times more compared to other regions in the country, the statement said. Kumaraswamy shared detailed insights on the pros and cons of this decision with minister Meghwal. Kumaraswamy referred to Prime Minister Narendra Modi’s vision for a developed India by 2047 and highlighted that the country targeted 300 million tonnes of steel production annually by 2030. "With such aspirations in mind, it is crucial to address the bottlenecks in the mining and steel sectors," Kumaraswamy said. Supporting Kumaraswamy’s remarks, Meghwal added, “To realize the PM’s dream, we must take collective measures to ensure the same.” Artificial Intelligence(AI)Java Programming with ChatGPT: Learn using Generative AIBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Artificial Intelligence(AI)Basics of Generative AI: Unveiling Tomorrows InnovationsBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Artificial Intelligence(AI)Generative AI for Dynamic Java Web Applications with ChatGPTBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Artificial Intelligence(AI)Mastering C++ Fundamentals with Generative AI: A Hands-OnBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Artificial Intelligence(AI)Master in Python Language Quickly Using the ChatGPT Open AIBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program MarketingPerformance Marketing for eCommerce BrandsBy - Zafer Mukeri, Founder- Inara MarketersView Program Office ProductivityZero to Hero in Microsoft Excel: Complete Excel guide 2024By - Metla Sudha Sekhar, IT Specialist and DeveloperView Program FinanceA2Z Of MoneyBy - elearnmarkets, Financial Education by StockEdgeView Program MarketingModern Marketing Masterclass by Seth GodinBy - Seth Godin, Former dot com Business Executive and Best Selling AuthorView Program AstrologyVastu Shastra CourseBy - Sachenkumar Rai, Vastu ShashtriView Program StrategySuccession Planning MasterclassBy - Nigel Penny, Global Strategy Advisor: NSP Strategy Facilitation Ltd.View Program Data ScienceSQL for Data Science along with Data Analytics and Data VisualizationBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Artificial Intelligence(AI)AI and Analytics based Business StrategyBy - Tanusree De, Managing Director- Accenture Technology Lead, Trustworthy AI Center of Excellence: ATCIView Program Web DevelopmentA Comprehensive ASP.NET Core MVC 6 Project Guide for 2024By - Metla Sudha Sekhar, IT Specialist and DeveloperView Program MarketingDigital Marketing Masterclass by Pam MooreBy - Pam Moore, Digital Transformation and Social Media ExpertView Program Artificial Intelligence(AI)AI-Powered Python Mastery with Tabnine: Boost Your Coding SkillsBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Office ProductivityMastering Microsoft Office: Word, Excel, PowerPoint, and 365By - Metla Sudha Sekhar, IT Specialist and DeveloperView Program MarketingDigital marketing - Wordpress Website DevelopmentBy - Shraddha Somani, Digital Marketing Trainer, Consultant, Strategiest and Subject Matter expertView Program Office ProductivityMastering Google Sheets: Unleash the Power of Excel and Advance AnalysisBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program Web DevelopmentMastering Full Stack Development: From Frontend to Backend ExcellenceBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program FinanceFinancial Literacy i.e Lets Crack the Billionaire CodeBy - CA Rahul Gupta, CA with 10+ years of experience and Accounting EducatorView Program Data ScienceSQL Server Bootcamp 2024: Transform from Beginner to ProBy - Metla Sudha Sekhar, IT Specialist and DeveloperView Program The apex court had, on August 14, 2024, ruled that states can collect mineral taxes on mineral-bearing land and mineral rights with retrospective effect from April 1, 2005. The ruling, however, waived interest and penalties on past dues before July 25, 2024. The apex court's ruling allows mining leaseholders to pay the tax dues in instalments over 12 years, starting from April 1, 2026. The levy arises from the apex court's judgment holding that states have the power to tax mineral rights and mining lands, and that the Parliament's Mines and Minerals (Development and Regulation) Act, 1957 does not limit this power. The court also ruled that the value of minerals or mineral produce could be used as a basis for taxing mineral-bearing lands. Cement players operating limestone mines in the state could also see an impact. The levy on plots varies according to the mineral deposit and the government hopes to net Rs 4208 crore a year from the levy on mineral rights and another Rs 506 crore from owners of such mineral-bearing land. NMDC, which is the largest miner of iron ore in the country, operates two mines in the state – Kumaraswamy and Donimalai – and is expected to bear the maximum brunt of this proposal. Its output from the state is nearly a third of its total output. The Bill proposes a tax on mineral bearing land at Rs 100 per tonne for bauxite and laterite ore, chromite, iron ore, magnesite, ore of all grades, and concentrates, Rs 50 per tonne for copper ore, and gold (primary & byproduct), Rs 25 for limestone, Rs 20 for lime shell and Rs 40 per tonne for all unspecified major minerals. The Cabinet, chaired by Chief Minister Siddaramaiah, cleared the bill early December. The government came up with the draft law after the Supreme Court, by a majority 8:1 ruling, held on July 25, 2024, that the states have the legislative power to tax mineral rights, overturning a 1989 judgement which held only the Centre had the power to impose royalty on minerals and mineral bearing land. The apex court has now held that states have the power to tax mineral rights and mining lands, and that the Parliament's Mines and Minerals (Development and Regulation) Act, 1957 does not limit this power. The court also ruled that the value of minerals or mineral produce could be used as a basis for taxing mineral-bearing lands. The apex court on August 14, 2024, also ruled that states can collect mineral taxes on mineral-bearing land and mineral rights with retrospective effect from April 1, 2005. (You can now subscribe to our Economic Times WhatsApp channel) (You can now subscribe to our Economic Times WhatsApp channel)
