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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Spekulatius who wrote (45742)12/1/2011 12:27:49 PM
From: E_K_S  Respond to of 78666
 
Australia is looking at a type of "Resource" tax too. I wonder if Canada is considering such a tax? If not, maybe the Oil shale and other resources in Canada now become a value play. I suspect, eventually these taxes will be passed on to the end user (like China) and will be reflected in the end user's price. It might temper demand a bit, but the value in the resource remains.

The Minerals Resource Rent Tax bill passed parliament just before 3am
From: AAP November 24, 2011 2:36PM
theaustralian.com.au
From the article:"...The 30 per cent tax to start on July 1, 2012 is expected to generate about $12 billion to 2013/14, which the government will put towards a company tax rate cut, infrastructure and an increase in the superannuation guarantee rate from nine to 12 per cent.

It covers big coal and iron ore companies...
."

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Maybe U.S. mineral resources become more valuable too. If this tax goes world wide then both U.S. and Canada will adopt some type of tax too.

Any sell off might just be the time to buy more.

EKS



To: Spekulatius who wrote (45742)3/9/2012 4:03:48 PM
From: Spekulatius2 Recommendations  Read Replies (2) | Respond to of 78666
 
re Vale
it looks like the Brazilian lawsuits regarding unpaid taxes are progressing. Total sum appears to be 14B$. of course one has to assume that taxes for Vale going forward are going to be higher as well. I think this will significantly impact their financial position but more importantly the earnings going forward:

sec.gov

Not sure i want to own anything in Brazil right now, as the environment for companies is getting much tougher.