The Central government Today (July 31st) opposed states’ plea in the Supreme Court for a refund of royalty levied on mines since 1989, arguing it would burden public units by over Rs 70,000 crore. The Supreme Court’s recent ruling stated royalty is not a tax, and states sought retrospective application, which the Centre opposed.
The Supreme Court Today reserved judgment on whether mineral royalties are considered a tax under the Mines and Minerals (Development and Regulation) Act of 1957. The nine-judge bench, led by CJI DY Chandrachud, engaged in extensive deliberations over eight days, addressing appeals from state governments, mining entities, and public sector undertakings. This decision is highly anticipated for its potential impact on India’s regulatory landscape.