SC rejects Vedanta’s appeal against the tax levied on iron ore sales

27 Mar 2017

The Supreme Court has rejected an appeal made by Vedanta Ltd., and industry body, Federation of Indian Mining Industry, related to a 10% tax imposed on iron ore sales, by the Karnataka Government.The appellants had asked in this petition that, as the central tax is already collected as per Mines and Minerals Development and Regulations (MMDR) act 2015, lessees of category-A and category-B should be tax-free.

The earnings of the state tax get collected towards Karnataka Mining Environment Restoration Corporation, which takes care of environment plan of the mining impact zone in districts of Bellary, Tumkur and Chitradurga of Karnataka state.However, Court rejected this petition saying that, if the state tax gets removed, it would affect the whole scheme and would risk its planned exertion.

Source – indiainfoline