December 18, 2014
CARSON CITY, Nev. (AP) - A resolution removing the mining industry's net proceeds tax cap from the state constitution has passed the Nevada Assembly.
Thursday's 26-15 party-line vote sends the proposal to the 2014 ballot.
Nevada's constitution currently caps net proceeds on minerals at 5 percent. Critics say the industry doesn't pay its fair share in taxes while reaping billions of dollars in profits from the state's nonrenewable resources.
Lawmakers say removing the tax cap would allow them to raise the levy on mining.
But during legislative hearings, mining representatives argued that repealing the constitutional provision would instead lower mining's tax liabilities to the rate paid by other property holders.