RIO DE JANEIRO, BRAZIL – An opposition-sponsored bill to impose a royalties tax on mining companies in Chile could generate “significant economic impacts,” affecting employment and future fiscal income from mining as well as potential production, the country’s finance minister told lawmakers on Wednesday.
The bill in its present form could hike taxes on miners by up to 75% depending on the price of copper, Chile’s key export, Finance Minister Rodrigo Cerda said in a presentation to the Senate Mining committee.
“Were we to have a very high tax burden, it could have a knock-on impact against future investments that could generate jobs in the sector and higher tax revenue,” he said.
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SANTIAGO (Reuters) - An opposition-sponsored bill to impose a royalties tax on miners in Chile could generate “significant economic impacts,” affecting employment and future fiscal income from mining as well as potentially production, the country’s finance minister told lawmakers on Wednesday.
FILE PHOTO: Chile’s finance minister, Rodrigo Cerda, is pictured in 2018 when he was budget director, attending the meeting of the Finance Commission of Chile’s Chamber of Deputies at the Congress in Valparaiso, Chile May 2, 2018. REUTERS/Rodrigo Garrido/File Photo
The bill in its present form could hike taxes on miners by up to 75% depending on the price of copper, Chile’s key export, Finance Minister Rodrigo Cerda said in a presentation to the Senate Mining committee.