The mining sector in Australia now faces a 30% tax on bumper profits in a move designed to generate a greater public dividend from the resource boom.
Legislation for the minerals resource rent tax was passed by the lower house of the parliament last week. Radio New Zealand's Sydney correspondent reports that it promises to reap $A11 billion in revenue in the first three years.
The federal government says this will lock in the benefits of the boom, help pay for much-needed infrastructure, pave the way for lower corporate tax and pay for increased superannuation for everyone.
However, critics say the compromises the government made to get the tax accepted by BHP and Rio Tinto will discriminate against smaller mining companies.
