Why in news
Karnataka Governor Thaawarchand Gehlot has referred the Karnataka (Mineral Rights and Mineral Bearing Land) Tax Bill, 2024 to the President for approval.
The Bill proposes a tax of ₹20 to ₹100 per tonne on different minerals, expected to generate ₹4,207.95 crore in revenue, plus ₹505.9 crore annually from land-bearing minerals.
Concerns over bill
The Governor noted the Bill’s potential impact on central laws like the Environmental Protection Act, 1986, Forest Conservation Act, 1980, and Mines and Minerals (Development and Regulation) Act, 1957.
Concerns were raised that the Bill’s provisions on sales from 2005 could conflict with existing central legislation and Supreme Court rulings.
The Bill may affect royalties, National Mineral Exploitation Trust funds, District Mineral Foundations, and land-related levies under central laws.
The Federation of Indian Mineral Industries, Southern Region has objected to the Bill.
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