China may delay the introduction of higher taxes on coal and other resources on concerns about inflation, the Shanghai Securities News reported, citing a unnamed source familiar with the situation.

A proposed tax increase submitted to China's State Council has yet to receive approval, the report said today. The failure to win approval means the proposal may be delayed, the Shanghai- based newspaper said today. The proposed tax increase won't be introduced within the next three months, the newspaper reported.

The proposal would levy resource taxes based on value instead of volume, as well as increasing the tax rate, Shanghai Securities News reported. China may charge a 10 percent tax on sales of resources, higher than earlier market estimates of 3 percent to 5 percent, the report said.

The State Council is China's cabinet.