(Carson City, NV) — A senate committee unanimously approved a proposed constitutional amendment to repeal tax protections for the mining industry.
The vote Tuesday by the Senate Committee on Revenue came after testy debate between legislators and mining industry representatives over the consequences of Senate Joint Resolution 15.
Nevada Mining Association officials argued that repealing the industry-specific provisions would reduce the taxes paid by mining and harm local and state government coffers.
Legislators say repeal would give them flexibility to set tax policy.
SJR15 now goes to the full Senate. If ultimately approved by the Legislature, it will go to voters for ratification in 2014.
The constitution imposes a five percent cap on net proceeds paid by mines. Net proceeds are calculated after the cost of mineral extraction and other expenses are deducted.