Different groups have mixed reactions when it was declared that the federal Government may possibly give a compromise on its proposed new resources profits tax.

Federal Treasurer Wayne Swan has announced earlier that the government may be willing to give some ground on the tax.

"The framework is for a 40 per cent resource super profits tax. There is a lot of detail that flows from that. We are receiving feedback from the industry on all of that detail and working our way through," he said.

Companies in the resource sector are obliged to pay 40 per cent tax on profits above a six per cent threshold, although it may be lifted through consultations between the resource companies and the government.

However, Norman Moore, Minister of West Australia, said he will continue to lobby for the tax to be taken out instead of revising it.

"My view is it has always been ill-conceived, it has a very poor understanding of the way in which the mining industry works," he said.

"It's a high risk business, it's a high capital business, and to even contemplate it in the first place was ridiculous. I think his best bet is to toss the whole thing in the bin and let the mining industry get on with the job it does."

Westfarmers managing director Richard Goyder addressed the consultation panel through an open letter, stating the tax may have grave impact on the country's competitiveness and sovereign risk.

He added that the new tax proposal should reflect the rules currently applied by the petroleum resource rent tax.

Reg Howard-Smith, head of West Australia Chamber of Minerals and Energy welcomed the government's plan for a compromise but still insists that mining companies will continue to raise their concerns about the tax.

"Even if they do make some concessions it still will be the highest tax applying to miners anywhere in the world, and there are many other aspects such as the retrospectivity which also need to be addressed.”