resource tax tagged posts

New Mining Tax in Israel

October 21, 2014 Taxation in Israel

JERUSALEM – Mining companies in Israel may see as much as half of their incomes taxed away, if the suggestions raised by a government committee are approved.

On October 20th the government appointed Sheshinski Committee issued a new report proposing changes to the taxation of profits earned from mining activities in Israel, suggesting that a new progressive tax of between 25 percent and 42 percent on profits.

The tax was recommend to be charged at a rate of 25 percent after the activities of the company reach an annual return on investment of 14 percent, rising to a maximum rate of 42 percent when profits rise enough to attain a return on investment of 20 percent or higher.

The currently active royalty rate will be set at a uniform rate of 5 percent, compared to the current variable rat...

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Copper Exporters Get Tax Refund in Zambia

August 27, 2014 Taxation in Zambia

LUSAKA – Copper exporters in Zambia are set to receive a windfall tax refund as the government eases the paperwork for the industry.

On August 26th the Finance Minister of Zambia Alexander Chikwanda announced that the government would relax the rules applied to copper exporters, a move that will lead to the repayment of more than USD 600 million of previously withheld VAT refunds from the government to copper exporters.

Previously the government required all copper exporters to produce import certificates from the destination countries to which the metal was headed, and failure to produce the required certificates could result in penalties or a withholding of any tax refunds.

Copper exporters facing the documentary requirements claimed that the need to produce the certificates was too on...

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Oil Companies Pay 11.7 Percent Tax

August 5, 2014 Taxation in USA

WASHINGTON D.C. – US oil and gas companies face an effective tax rate of less than half of the standard rate for corporate income tax in the country.

Over the 4 years between 2009 and 2013 the largest 20 oil and gas companies in the USA paid an effective corporate tax rate of 11.7 percent, according to information in a new report released late last week by the US based think tank Taxpayers for Common Sense.

Over the four years, the 20 largest companies reported a total pre-tax income of approximately USD 133.3 billion, and reported an income tax liability of USD 32.1 billion, an effective rate of 24 percent.

However, after taking into account all available tax deferrals, incentives, and benefit programs, the oil and gas producers paid a total of USD 15.6 billion, an effective rate of 11...

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Australia Mining Tax Brings in Only 600k

July 31, 2014 Taxation in Australia

CANBERRA – Australia’s mining tax is bringing in less than a one percent of the amount it was expected to raise this year.

Australia only collected AUD 600 000 in tax revenues from Minerals Resource Rent Tax (MRRT) over the three month ending in June 2014, falling well short of the government’s forecast of AUD 150 million for the period, according to a statement issued on July 30th by the Treasurer of Australia Jon Hockey.

The Mineral Resource Rent Tax, which was first proposed in 2010, was originally expected to raise AUD 49.5 billion in taxes over the years between 2012 and 2016, however, the details of the tax were later revised and the revenue estimate for the same period was reduced to AUD 26.5 billion.

However, in reality the government currently only expected to see total collec...

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New Taxes On Extraction of Resources in Israel

May 19, 2014 Taxation in Israel

JERUSALEM – Business extracting mineral resources in Israel could soon pay a new windfall tax, and a resource royalty, while facing greater scrutiny of their tax affairs.

On May 18th a government appointed committee, established to examine potential changes to the taxation of natural resources, issued an interim report recommending a thorough revamp of the taxation of extraction operations, a move which could raise as much as ILS 500 million per year of new tax revenues.

In the report the experts of the committee called for a new windfall tax of 42 percent to be paid by any business involved in the extraction of any natural resource in Israel, in addition to the standard corporate income tax.

The committee also called for the royalty on the extraction of any natural resources to be set at...

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