An operator's minimum mining tax is calculated on the mine-mouth output value for all of the operator's mines.

The following allowances can be deducted from the mine-mouth output value:

• the depreciation allowance (in respect of class 1A, class 2A, class 3A and class 4A property);
• the processing allowance.

Rate of the minimum mining tax

The rate of the minimum mining tax is:

• 1% for the portion of the mine-mouth output value that does not exceed the $80 million threshold;
• 4% for the portion of the mine-mouth output value that exceeds the $80 million threshold.