Coal India may face up to INR 35,000 crore financial impact from Supreme Court's review on mining taxes.

Coal India may face a financial impact of up to INR 35,000 crore ($4.6 billion) if the Supreme Court's review on mining taxes is unfavorable or if the company fails to recover taxes from its customers. However, it expects to recover 75-80% of the amount, reducing the net impact to around INR 6,500-7,000 crore. The potential financial impact comes from the Supreme Court allowing states to recover royalty on mineral rights and lands since April 2005, with tax demand to be staggered in 12-year installments starting April 1, 2026.

August 23, 2024
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