‘It will burden common man’: Centre seeks review of SC verdict allowing states to tax mineral rights
The Supreme Court judgement ignored the macro-economic impact of states taxing mining and mineral-use activities, the Union government said.
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The Centre has moved the Supreme Court seeking a review of its July judgement upholding the right of state governments to tax mining and mineral-use activities, arguing that the ruling would hurt the country’s economy and “burden the common man”, The Indian Express reported on Thursday.
The government also sought a review of the court’s August 14 ruling that allowed retrospective application of taxes on mining and related activities. The court had permitted the state governments to collect tax arrears starting from April 1, 2005, without interest or penalties, in instalments over 12 years.
“The ultimate impact of the retrospective application of the judgement is that the common man may have to bear the burden of the extraordinary dues that will be presented to the entire sector,” the Centre said in its review petition. “This would be extremely deleterious to the economic health of the nation and would unnecessarily burden the common man.”
The court’s judgement on July 25 had come in a matter pertaining to whether state governments have the authority to regulate and tax activities relating to mines and minerals under the 1957 Mines and Minerals Development and Regulation Act.
A nine-judge bench headed by Chief Justice DY Chandrachud had overruled a 1989 decision by a smaller bench of the court in a...
