Tata Steel is contesting a demand of Rs 1,755 crore raised by the Jharkhand government in connection with mining-related dues, according to a regulatory filing.
Dispute relates to mining levy assessment
The demand has been issued by state authorities over an alleged shortfall in payments linked to the company’s mining operations. Tata Steel stated that it does not agree with the claim and will pursue legal remedies against the order. “The Management believes that the demand lacks justification and a substantive basis,” Tata Steel said in its exchange filing.
The dispute is understood to stem from differences in the interpretation of applicable rules governing levies and payments in the mining sector. Such disagreements between mining companies and state authorities have surfaced periodically, particularly around assessment methodologies and compliance requirements.
Tata Steel continues to operate its mining assets in Jharkhand while contesting the demand. The matter is expected to be addressed through legal proceedings, with the outcome potentially influencing similar cases involving levy calculations in the sector.