1. Guaranteed input tax claim for seven years on pre – production expenditure for exploration companies in the mining sector.
2. 10 year period carry forward of Tax losses (5 years for Prospecting and exploration companies).
3. Any mining company holding a large – scale mining license carrying on the mining of base metals is taxed at 30%.
1. Guaranteed input tax claim for seven years on pre – production expenditure for exploration companies in the mining sector.
2. 10 year period carry forward of Tax losses (5 years for Prospecting and exploration companies).
3. Any mining company holding a large – scale mining license carrying on the mining of base metals is taxed at 30%.
4. Other mining companies are taxed at 35%.
5. Dividends paid by a company holding a large – scale mining license and carrying on the mining of base metals is taxed at 0%.
6. 25% Capital allowances on Mining Equipment and related expenditure when assets brought into use. This is with effect from 2012.
7. The debt equity ratio has been reduced from 2.1 to 3.1, to encourage further investment in the Mining Sector.
8. Remission of duty on special mining vehicles and machinery specified as :
» Dump trucks-off highway 87042300
» Mine –Locomotives 84285000
» Transmission or conveyor Belt 59100000
» Conveyors 842831, 32, 33 – 842890009. Property Transfer Tax on transfer of mining rights is 10%.
10. Mineral Royalty is 6% on all minerals (Base, precious and gemstones).4. Other mining companies are taxed at 35%.
5. Dividends paid by a company holding a large – scale mining license and carrying on the mining of base metals is taxed at 0%.
6. 25% Capital allowances on Mining Equipment and related expenditure when assets brought into use. This is with effect from 2012.
7. The debt equity ratio has been reduced from 2.1 to 3.1, to encourage further investment in the Mining Sector.
8. Remission of duty on special mining vehicles and machinery specified as :
i. Dump trucks-off highway 87042300
ii. Mine –Locomotives 84285000
iii. Transmission or conveyor Belt 59100000
iv. Conveyors 842831, 32, 33 – 842890009. Property Transfer Tax on transfer of mining rights is 10%.
10. Mineral Royalty is 6% on all minerals (Base, precious and gemstones).
