MINERALS RESOURCE RENT TAX ACT 2012 [ REPEALED]

CHAPTER 2 - GENERAL LIABILITY RULES  

PART 2-3 - MINING PROFITS  

Division 35 - Mining expenditure  

Subdivision 35-A - A miner ' s mining expenditure  

SECTION 35-15   35-15   MEANING OF UPSTREAM MINING OPERATIONS  
* Mining operations for a mining project interest are upstream mining operations for the mining project interest to the extent the operations:


(a) are operations or activities of a kind mentioned in paragraph 35-20(1)(a) for the mining project interest; and


(b) do not involve doing anything to, or with, the * taxable resources extracted from the * project area for the mining project interest after those taxable resources reach their * valuation point .

Examples:

The following are some examples of operations or activities that might be upstream mining operations:

  • (a) obtaining the agreement of native title holders as part of the process of obtaining a production right over the project area;
  • (b) exploring for taxable resources in the project area;
  • (c) crushing and weighing the taxable resources before they reach their valuation point;
  • (d) training, engaging, employing, paying, accommodating and ensuring the safety of personnel, and other supportive head office activities, to the extent they are involved in operations or activities relating to getting the taxable resource to the valuation point;
  • (e) developing plans and engineering specifications for, and constructing, facilities (whether in the project area or not) to be used in recovering, transporting and storing the taxable resources before they reach their valuation point;
  • (f) acquiring and maintaining plant or equipment for use in recovering, transporting or storing the taxable resources before they reach their valuation point;
  • (g) upgrading computer software used to control inventory (like consumables and spare parts) used for recovering, transporting or storing the taxable resources before they reach their valuation point;
  • (h) rehabilitation of a project area from damage caused by activities relating to the exploration, extraction and movement of taxable resources to the valuation point.
  • Note:

    For downstream mining operations , see section 255-15 .




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