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Supreme Court Rules 8:1 That Mining Royalty Is Not a Tax on July 29

Jul 31, 2024, 07:41 AM

On July 29, the Supreme Court of India, in an overwhelming majority of 8:1, declared that the royalty charged on mining is not a tax, affirming that states are competent to levy taxes on mineral rights. This ruling comes in the context of a decades-old case involving the Centre and mineral-rich states. On July 31, the Centre opposed pleas in the Supreme Court seeking a refund of the royalty levied on mines and mineral-bearing lands retrospectively since 1989. The Supreme Court has reserved its order on this matter.