Carson City, NV. (AP) — In a state that produces more gold than all but four countries, lawmakers voted to reform how the state taxes the mining industry, passing a measure that will effectively double the amount of taxes imposed on silver and gold mines.
After tumultuous negotiations between lawmakers, mining lobbyists and the state’s largest teacher’s union, the Nevada Senate and Assembly on Monday approved a proposal to impose an additional tax on mines that gross more than $20 million annually.
The bill will preserve the state’s Net Proceeds on Minerals tax structure, which required mining businesses be taxed at less than 5% of what are called net proceeds — profit minus deductions for certain costs. It will add an excise tax of 0.75% on mines that report gross revenue of $20 million to $150 million and 1.1% on mines that report any higher. The majority of the funds will be required to go toward education.
The bill now heads to Gov. Steve Sisolak for final approval.