Australia introduces a new bill that would put 30 pct tax on miners

Thursday, 03 Nov 2011

AP reported that Australia's government has introduced legislation to impose a 30% tax on the burgeoning profits of iron ore and coal mining companies that are feeding Chinese demand.

The legislation introduced to Parliament on November 2nd 2011 is not certain to pass since key independent lawmakers have yet to state their support. The tax would replace the current royalty tax on tonnage levied by states.

Prime Minister Dr Julia Gillard's minority government needs the support of at least four of five uncommitted lawmakers for the tax bill to be implemented in July 2012.

Assistant Treasurer Mr Bill Shorten told Parliament that mining companies' profits have risen 262% in the past decade.

(Sourced from Associated Press)