- The company has contributed INR 77,803 Crores to the exchequer in the last 5 years while in FY 2023-24 the total contribution to the exchequer was INR 13,195 Crores
- The company contributed approx. Rs.3,250 Cr every year on an average during last 5 years to the State of Rajasthan in form of Royalties, DMF, etc
Udaipur, 15th July 2024: Hindustan Zinc Limited (BSE: HINDZINC), India’s largest and the world’s second-largest integrated zinc producer, has released its 7th Tax Transparency Report, showcasing its significant contribution to the national exchequer and unwavering commitment to nation building. Hindustan Zinc has been consistently amongst the
leading taxpayers in India and during FY 2023-24 the company has contributed a remarkable INR 13,195 Crores to the exchequer, representing nearly 46% of its total revenues. This brings the company’s cumulative contribution to the exchequer over the past five years to a staggering INR 77,803 Crores.
The company is firmly committed to the task of nation building and even amidst the fluctuations in metal prices and unprecedented challenges in the global economy, the company stands undeterred from its goal of Atmanirbhar Bharat. Hindustan Zinc takes great pride in providing voluntary disclosures about its tax contributions which is a key proponent of India’s robust development, facilitating infrastructure growth and enhancing socio-economic well-being.
It’s also noteworthy that Hindustan Zinc achieved record-breaking production milestones in FY 2023-24. The company reported its highest ever mined metal production at 1,079 kt, highest ever refined metal production exceeding one million tonnes at 1,033 kt, and highest ever saleable silver production at 746 mt.
Over the past five years, Hindustan Zinc has consistently contributed an average of approximately INR 3,250 Crores annually to the State of Rajasthan in the form of Royalties, contributions to the District Mineral Foundation (DMF), and other levies. This substantial contribution underlines Hindustan Zinc’s commitment to the state’s economic development.
The report provides a comprehensive breakdown of Hindustan Zinc’s tax contributions over the past five years, which includes:
- Government Royalties (INR 16,350 Cr) – The company has paid Royalties to Rajasthan state government and has made contributions to the District Mineral Foundation and National Mineral Exploration Trust in the past 5 years.
- Taxes on Income (INR 10,100 Cr) – This comprises of corporate income-tax in the last 5 years which is reflected in the annual income tax returns filed with the government authorities
- Corporate Dividend to Government of India (INR 18,008 Cr)
- Indirect Taxes (INR 26,384 Cr) – Through Indirect taxes the central and state governments received these taxes on the sale of goods, such as the Central Goods & Services Tax (CGST), State Goods & Services Tax (SGST) and Integrated Goods & Services Tax (IGST).
The company has engaged a big 4 audit to provide an independent assurance report on its contribution to exchequer and the said independent assurance report forms part of this Tax Transparency Report. This report provides details on the various types of taxes paid by the company, along with the principles guiding its tax governance practices. This commitment to transparency strengthens stakeholder trust and understanding of the company’s business operations. Hindustan Zinc strictly adheres to all applicable tax regulations. The report emphasizes the company’s commitment to upholding both the letter and spirit of the law, ensuring the highest standards of integrity in tax compliance and reporting.
Hindustan Zinc views tax transparency as an integral part of its broader ESG (environment, society, governance) agenda. By voluntarily disclosing information on its tax contributions, the company strengthens its commitment to economic development, fosters stakeholder understanding, and builds trust through transparent tax practices.
The report can be accessed on the company website: https://www.hzlindia.com/wp-content/uploads/Tax-Transparency-Report-2023-24.pdf
Hindustan Zinc Limited, a Vedanta Group company, is the world’s second-largest integrated zinc producer and the third-largest silver producer. The company supplies to more than 40 countries and holds a market share of about 75% of the primary zinc market in India. Hindustan Zinc has been recognized as the world’s most sustainable company in the metals and mining category by the S&P Global Corporate Sustainability Assessment 2023, reflecting its operational excellence, innovation, and leading ESG practices. Hindustan Zinc is also a certified 2.41 times Water-Positive company and is committed to achieving Net Zero emissions by 2050 or sooner. As a world leader in the metals and mining industry, Hindustan Zinc is pivotal in providing critical metals essential for the global energy transition for a sustainable future.
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About Hindustan Zinc Limited
Hindustan Zinc Limited (BSE: 500188 and NSE: HINDZINC), a Vedanta Group company, is the world’s largest integrated zinc producer and the third-largest silver producer. The company supplies to more than 40 countries and holds a market share of about 75% of the primary zinc market in India. Hindustan Zinc has been recognized as the world’s most sustainable company in the metals and mining category for the second consecutive year by the S&P Global Corporate Sustainability Assessment 2024, reflecting its operational excellence, innovation, and leading ESG practices. The company also launched EcoZen, Asia’s first low carbon ‘green’ zinc brand. Produced using renewable energy, EcoZen has a carbon footprint of less than 1 tonne of carbon equivalent per tonne of zinc produced, about 75% lower than the global average. Hindustan Zinc is also a certified 2.41 times Water-Positive company and is committed to achieving Net Zero emissions by 2050 or sooner. Transforming the lives of 1.9 million people through its focused social welfare initiatives, Hindustan Zinc is among the Top 10 CSR companies in India. As an energy transition metals company, Hindustan Zinc is pivotal in providing critical metals essential for a sustainable future.
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