The US Mining Fiscal Regime: H1 2014

Federal or state bodies and laws in the US have separate roles and responsibilities with regards to resource exploration and development. Mineral resources, for example, are owned by the state or federal governments rather than private individuals. The Department of Interior, Office of Surface Mining Reclamation and Enforcement, Mine Safety and Health Administration, Environmental Protection Agency, are the main governing bodies for mining in the US.

Scope

The report outlines the US’s governing bodies, governing laws, mining ownership licenses, rights and obligations and key fiscal terms which includes, Bonus, Rentals, Federal Reclamation Fee, Occupation Tax, Royalty, Mining Claim Fees, State Fees, State Real Property Tax, Corporate Taxes, Alternative Minimum Tax, Capital Gains Tax, Deductions and Allowances, Depreciation, Branch Profit Tax, Withholding Tax, Loss Carry Forward and VAT.

Key Highlights

• The US Department of Interior is a cabinet-level agency that is responsible for managing the US vast natural and cultural resources.

• The Bureau of Land Management under the Department of Interior is the prime governing body for the management of sub-surface minerals. According to the Federal Land Policy and Management Act of 1976, it acts as the nodal agency for the management of public land resources, as well as managing federal onshore oil, gas and coal operations.

• The Office of Surface Mining Reclamation and Enforcement – also referred to as the Office of Surface Mining (OSM) – is a bureau within the United States Department of the Interior which aims to protect the environment and society from the harmful effects of the surface coal mining.

• The Mine Safety and Health Administration (MSHA) comes under the Department of Labor. It acts as the agency for the prevention of deaths, diseases and injuries that may occur during mining operations, and promotes the mines as a safe and healthy workplace.

Reasons to buy

To gain an overview of the US's mining fiscal regime.

Companies mentioned

Table of Contents

1 Executive Summary 1

2 The US Mining Industry – Governing Bodies 8

2.1 Federal 8

2.1.1 US Department of Interior 8

2.1.2 Office of Surface Mining Reclamation and Enforcement 8

2.1.3 Mine Safety and Health Administration 8

2.1.4 Federal Mine Safety and Health Review Commission 8

2.1.5 Department of Energy 8

2.1.6 Nuclear Regulatory Commission (NRC) 8

2.1.7 Environmental Protection Agency 9

2.2 State 9

2.2.1 Office of Geological Survey 9

2.2.2 Minnesota – Department of Natural Resources 9

2.2.3 Alaska – Department of Natural Resources 9

2.2.4 Idaho – Department of Lands 9

2.2.5 Missouri – Department of Natural Resources 9

2.2.6 Tennessee – Department of Environment & Conservation 10

3 The US Mining Industry – Governing Laws 11

3.1 Federal Laws 11

3.1.1 Surface Mining Control and Reclamation Act (SMCRA) 11

3.1.2 Other Laws 11

3.1.3 The Mining Law, 1872 11

3.1.4 Federal Mine Safety and Health Act (1977) (FMSHA) 11

3.1.5 Federal Land Policy and Management Act (1976) (FLPMA) 11

3.1.6 National Environmental Policy Act, 1969 11

3.1.7 Atomic Energy Act, 1954 11

3.1.8 Energy Reorganization Act, 1974 12

3.1.9 Uranium Mill Tailings Radiation Control Act, 1978 12

3.1.10 Nuclear Waste Policy Act, 1982 12

3.2 State Laws 12

3.2.1 Minnesota Mining Laws (1998) 12

3.2.2 Natural Resources and Environment Protection Act, 1994 PA 451 (NREPA) 13

3.2.3 Alaska 13

3.2.4 Idaho 13

3.2.5 Tennessee 13

3.2.6 Missouri 13

4 The US Mining Industry – Mining Ownership, Licenses 14

4.1 Coal Mining Lease 14

4.1.1 Issuance 14

4.1.2 Area 14

4.1.3 Term 14

4.2 Exploratory License 14

4.3 State Permits 14

4.3.1 Iron ore mining laws 14

4.3.2 Location certificate 15

4.3.3 Operating permit 15

4.3.4 Mining permit 15

4.3.5 Source Material License 15

4.3.6 Leasing for uranium mining operations 15

5 The US Mining Industry – Rights and Obligations 16

5.1 Rights 16

5.2 Obligations 16

6 The US Mining Industry – Key Fiscal Terms 17

6.1 Bonus 17

6.2 Rentals 17

6.3 Federal Reclamation Fee 17

6.4 Occupation Tax 17

6.5 Royalty 17

6.6 Mining Claim Fees 18

6.7 State Fee 18

6.7.1 Tennessee 18

6.8 State Mineral Resources Severance tax and fees 18

6.8.1 Alaska 19

6.8.2 Arizona 19

6.8.3 Alabama 19

6.8.4 Arkansas 19

6.8.5 Colorado 19

6.8.6 Idaho 20

6.8.7 Illinois 20

6.8.8 Indiana 20

6.8.9 Kentucky 20

6.8.10 Louisiana 20

6.8.11 Maryland 20

6.8.12 Minnesota 20

6.8.13 Montana 20

6.8.14 North Dakota 21

6.8.15 Nevada 21

6.8.16 New Mexico 21

6.8.17 Ohio 22

6.8.18 Pennsylvania 22

6.8.19 Texas 22

6.8.20 Tennessee 22

6.8.21 Utah 22

6.8.22 Virginia 22

6.8.23 West Virginia 23

6.8.24 Wyoming 23

6.9 State Real Property Tax 23

6.9.1 Michigan 23

6.9.2 Minnesota 23

6.9.3 Alabama 23

6.9.4 Arizona 24

6.9.5 Colorado 24

6.9.6 Illinois 24

6.9.7 Indiana 24

6.9.8 Kentucky 24

6.9.9 Maryland 24

6.9.10 Montana 24

6.9.11 North Dakota 24

6.9.12 Ohio 25

6.9.13 Pennsylvania 25

6.9.14 Texas 25

6.9.15 Virginia 25

6.9.16 West Virginia 25

6.9.17 Wyoming 25

6.10 Corporate Taxes 25

6.10.1 Federal Income Tax 25

6.10.2 State Corporate Tax Rate 26

6.11 Alternative Minimum Tax 29

6.12 Capital Gains Tax 29

6.13 Deductions and Allowances 29

6.13.1 Tax Deductions 29

6.13.2 Depletion Allowance 29

6.14 Depreciation 30

6.15 Branch Profit Tax 30

6.16 Withholding Tax 30

6.17 Loss Carry Forward 30

6.18 Value Added Tax (VAT) 30

7 Appendix 31

7.1 What is this Report About? 31

7.2 Methodology 31

7.3 Secondary Research 31

7.4 Primary Research 31

7.5 Contact GlobalData 32

7.6 About GlobalData 32

7.7 GlobalData’s Services 32

7.8 Disclaimer 34

List of Tables

Table 1: The Mining Industry in the US – Fiscal Regime Terms and Other Taxes, 2014 1

Table 2: The Mining Industry in the US – Minnesota Occupation Tax Rates (%), 2014 17

Table 3: The Mining Industry in the US – Coal Royalty Rates (%), 2014 17

Table 4: The Mining Industry in the US – Mining Claim Fees (US$), 2014 18

Table 5: Mining Industry in the US – Tennessee Mining Fees (US$), 2014 18

Table 6: The Mining Industry in the US – Alaska Mining Tax on Net Income (%), 2014 19

Table 7: The Mining Industry in the US – Montana Coal Severance Tax (%), 2014 20

Table 8: The Mining Industry in the US – Nevada Mineral Resources, Net Proceeds Tax Rates (%), 2014 21

Table 9: The Mining Industry in the US – State Federal Income Tax Rates (%), 2014 25

Table 10: The Mining Industry in the US – State Corporate Income Tax Rates (%), 2014 26

Table 11: The Mining Industry in the US – Alaska State Corporate Income Tax Rates (%), 2014 27

Table 12: The Mining Industry in the US – Arkansas State Corporate Income Tax Rates (%), 2014 27

Table 13: The Mining Industry in the US – Kentucky State Corporate Income Tax Rates (%), 2014 27

Table 14: The Mining Industry in the US – Louisiana State Corporate Income Tax Rates (%), 2014 28

Table 15: The Mining Industry in the US – Mississippi State Corporate Income Tax Rates (%), 2014 28

Table 16: The Mining Industry in the US – New Mexico State Corporate Income Tax Rates (%), 2014 28

Table 17: The Mining Industry in the US – North Dakota State Corporate Income Tax Rates (%), 2014 28

Table 18: The Mining Industry in the US – Percentage Mineral Depletion Rates (%), 2014 30

List of Figures

Figure 1: The Mining Industry in the US – Commodity Mines at Different Stages (Number of Mines), 2014 2

    Pricing

Discounts available for multiple purchases.

reportstore@globaldata.com
+44 20 7947 2745

Join our mailing list

Saved reports