Australia Mining Tax

Australia mining tax – Australia will release a report on the planned 30% tax on iron ore and coal profits tomorrow as a mining group threatened to restart an anti-government advertising campaign over state royalties. The report from a committee chaired by former BHP Billiton Ltd. Chairman Don Argus will be released and the government will consider its recommendations, Treasurer Wayne Swan said today. The committee was set up to consult with the industry over the design and implementation of the tax following an accord in July. “Recommendations won’t be accepted or rejected tomorrow, ahead of cabinet consultation,” Swan said in an e-mailed statement. “I will be publicly releasing the final report immediately and flagging an ongoing process of consultation and discussion with industry, state governments and my cabinet colleagues before we provide draft legislation next year.” Mining companies are in dispute with the government about how the royalties will be dealt with under the tax, forecast to raise A$7.4 billion ($7.3 billion) in its first two years from 2012. The Australian Mining and Exploration Companies will restart an advertising campaign if there is no credit for future state royalties, Chief Executive Officer Simon Bennison said. “We are considering our position and we might restart advertising, depending on how future royalties are treated,” Bennison said by phone from Perth today. Bloomberg