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- Supreme Court allowed states to levy mineral cess.
- A nine-judge Constitution bench of the Supreme Court said that states have constitutional authority to levy taxes on mines and mineral-bearing lands.
- The Supreme Court ruled that the royalty paid by mining operators to the Central government is not a tax.
- This verdict will boost revenues of mineral-bearing states, mostly in eastern India.
- The Supreme Court’s judgment has also provided clarity on the division of power between states and the Center over taxing minerals.
- The bench ruled that the state legislatures have legislative power to tax mineral rights.
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