How the new Australian mining tax works?

SYDNEY – Australia’s new 40 percent tax on mining profits is not as far-reaching as it first seems. The tax will sting, no doubt, but it will not apply to all the profits of miners working in Australia. Any profits derived from mines outside Australia will be left untouched. So companies like Anglo-Australian mining giants BHP Billiton (BHP.AX: Quote, Profile, Research) (BLT.L: Quote, Profile, Research) and Rio Tinto (RIO.AX: Quote, Profile, Research) (RIO.L: Quote, Profile, Research) have less to lose than the naked headlines would suggest: their non-Australian mining operations are completely outside the tax. (more…)