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Mining Firms May Face Over Rs 1.7-Lakh-Crore Impact On Retrospective Royalty

Retrospective application would affect past events, requiring mining companies to pay additional royalties for minerals extracted before the judgment.

<div class="paragraphs"><p>Image by <ins><a href="https://pixabay.com/users/herbert2512-2929941/?utm_source=link-attribution&amp;utm_medium=referral&amp;utm_campaign=image&amp;utm_content=3554221">Herbert Aust</a></ins> from <ins><a href="https://pixabay.com//?utm_source=link-attribution&amp;utm_medium=referral&amp;utm_campaign=image&amp;utm_content=3554221">Pixabay</a></ins></p></div>
Image by Herbert Aust from Pixabay
A Supreme Court ruling that has reclassified mining royalties as contractual payments can potentially expose mining giants to billions in additional taxes.In a landmark judgment delivered last week, a nine-judge bench of the top court ruled that royalty paid by a mining leaseholder to the lessor was not a tax but a contractual consideration for enjoyment of mineral rights. The court said the legislative power to tax mineral righ...
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