
Parliament on Thursday passed the Mines and Minerals (Development and Regulation) Amendment Bill, 2026, restricting states' powers to levy taxes on mineral rights and mineral-bearing lands. Jharkhand Chief Minister Hemant Soren urged…
Parliament on Thursday passed the Mines and Minerals (Development and Regulation) Amendment Bill, 2026, restricting states' powers to levy taxes on mineral rights and mineral-bearing lands. Jharkhand Chief Minister Hemant Soren urged Prime Minister Modi to reconsider, warning that mining revenue accounts for 84.9% of the state's own non-tax revenue. The Mineral Bearing Land Cess was expected to generate around Rs 7,110 crore annually. Soren cited a Supreme Court judgment recognising states' competence to tax such lands.

Union minister G Kishan Reddy said states get 88% of mineral revenue and no state would lose. Kerala's government also opposed the bill. Soren announced a statewide agitation against the legislation.
The Centre insists no state will lose revenue, yet Jharkhand's reliance on mineral cess alone at Rs 7,110 crore tells a different story. Kerala's opposition broadens the front. The real test will be whether promised uniform rates compensate states for lost autonomy. The Supreme Court's 2024 judgment on state taxation rights hangs over this law. Watch if mineral-rich states like Odisha and Karnataka join the challenge.
Sources (2): thehindu.com, timesofindia.indiatimes.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.