New Delhi, Aug 14: The Supreme Court on Wednesday allowed the mineral bearing states to recover from the Centre and mining companies royalty and tax dues on mineral rights and mineral-bearing lands worth thousands of crore of rupees since April 1, 2005 over a period of 12 years.
The Supreme Court allowed states to collect dues retrospectively on royalty on mineral-bearing land from Centre and mining companies from April 1, 2005 onwards.
In a majority 8:1 verdict on July 25, the top court had ruled that the legislative power to tax mineral rights vests in states and not Parliament.
“The time for payment of demand for tax shall be staggered in installments over a period of 12 years commencing from April 1, 2026,” the court said.
The Court also said that levy of interest and demand of penalty made on or before July 25, 2024 shall stand waived off.
Justice Nagarathna did not sign the judgment since she had dissented in the main judgment of July 25.
