TAX NEWS - JUNE 2010

Nevada Tax: Nevada court hearing mine tax initiative arguments

LAS VEGAS - The Nevada Supreme Court is hearing arguments about whether voters will see an initiative in November asking whether mining companies should pay more in state taxes.

The court is sitting Monday in Las Vegas to hear attorneys for the Nevada Mining Association and the Progressive Leadership Alliance of Nevada and Nevadans for Fair Mining Taxes.

PLAN wants voters to change the state constitution to extract more taxes from mining companies.

The initiative would lift a 5% cap on net mining receipts, set in 1989, and require mining companies to pay not less than 5% on gross proceeds.

The Nevada Mining Association argues that the court should block circulation of the petition because it's legally flawed and represents an improper use of the initiative process.