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Politics
Central Bill to Ban State Mineral Taxes Tabled in Parliament; Opposition Urges Committee Review
✍️ Hindustan Times
🗓 12 Aug 2026, 10:37 AM
👁 27
A bill proposing to prohibit state levies on minerals was introduced in Parliament, prompting opposition parties to demand a committee review before it can become law.
The government tabled a bill in the Lok Sabha that would prohibit states from levying taxes on minerals extracted within their territories. The proposal aims to simplify mining operations and attract investment by removing a layer of state-level taxation.
Officials argue that the measure will reduce administrative costs and align mining policy with central objectives, while revenue will be shared with states through alternative mechanisms.
Opposition parties, including the Indian National Congress and the Aam Aadmi Party, have expressed concern that the bill could undermine state fiscal autonomy. They have called for a parliamentary committee to scrutinise the proposal in detail.
The bill will now be referred to a committee for examination before a vote is taken, determining whether states will retain the right to impose mineral taxes.
Officials argue that the measure will reduce administrative costs and align mining policy with central objectives, while revenue will be shared with states through alternative mechanisms.
Opposition parties, including the Indian National Congress and the Aam Aadmi Party, have expressed concern that the bill could undermine state fiscal autonomy. They have called for a parliamentary committee to scrutinise the proposal in detail.
The bill will now be referred to a committee for examination before a vote is taken, determining whether states will retain the right to impose mineral taxes.