02 Jun Nevada passes law increasing taxes on gold and silver miners
Lawmakers in Nevada have voted to increase the amount of taxes on gold and silver mines in the US state, following ‘tumultuous negotiations’ with local stakeholders including Nevada’s largest teachers’ union.
On Monday, the Nevada Senate and Assembly approved a proposal to impose an additional tax on mines grossing more than US$20 million annually, following input from mining lobbyists and the Clark County Education Association.
Nevada Mining Association president Tyre Gray said the passage of AB495 was a result of Nevadans working together to find solutions to complex problems.
“As a result of months of discussion, we have found middle ground that protects the careers of 37,000 Nevadans and creates the Mining Education Fund, which will benefit our K-12 students for generations,” he said.
The Associated Press reported that the bill would preserve Nevada’s net proceeds on minerals tax structure, which requires miners be taxed at less than 5% of net proceeds. However, it would add a 0.75% excise tax on gold and silvers miners reporting gross revenue of $20-$150 million, and 1.1% on mines reporting any higher revenues.
Nevada is one of the largest gold producing centres in the world, and is home to the Barrick Gold-Newmont joint venture – Nevada Gold Mines – which said it made a $2.35 billion economic contribution to Nevada in 2020, including $292 million in state taxes.