Royalty
Photo Courtesy: Wikimedia Commons
Supreme Court upholds states' rights to levy mineral royalties
New Delhi/IBNS: In a 8:1 verdict, the Supreme Court on Thursday upheld the state governments' right to levy royalties on mineral-bearing lands, media reports said.
The judgement was passed by a Supreme Court bench, which is led by Chief Justice of India DY Chandrachud.
The only judge who ruled in favour was Justice BV Nagarathna.
"Royalty is a contractual (consideration) paid by lessee to lessor," read the CJI as quoted by NDTV and added, " does not have power to tax mineral rights under Entry 50, List I".
"We hold that both royalty and debt rent don't fulfil the ingredients of tax," he added.
In his reason behind the dissenting voice, Justice Nagarathna said, as quoted by the news channel, that the royalty will lead to "unhealthy competition between states to derive revenue... the national market could be exploited... this would lead to a breakdown of the federal system, in the context of mineral development."
In its argument, the central government has said only Parliament has the right to levy tax on minerals.
The states which will benefit from the judgement are Odisha, Jharkhand, West Bengal, Chhattisgarh, Madhya Pradesh and Rajasthan.
Top Headlines
-
News
ECI announces third phase of SIR; Himachal, J&K, Ladakh excluded for now
May 14, 2026
-
News
Putin unleashes Satan 2: Russia tests ICBM with 35,000 km range
May 13, 2026
-
News
2 killed, 3 critically injured in multi-storey building fire in Kolkata's Tiljala
May 12, 2026
-
News
Who after Mamata in Bengal? Amit Shah to meet BJP MLA-elects ahead of May 9 oath
May 06, 2026
-
News
Mamata Banerjee refuses to 'resign', calls EC 'villain'
May 05, 2026
-
News
Bengal trends: BJP on course to form government
May 04, 2026
-
News
Bangladesh MP warns of refugee crisis if BJP wins West Bengal polls
May 01, 2026
-
News
Rain, protests, and slogans: TMC-BJP faceoff erupts outside Kolkata's Netaji Indoor Stadium strong room
April 30, 2026
-
News
Bengal polls: Mamata rejects exit poll projections, claims decisive TMC return to power
April 30, 2026
-
News
Operation Sindoor proved terror epicentres are not immune: Rajnath Singh at SCO meet
April 28, 2026




