“Do you mind if I sit here?” literally asks whether the other person objects, rather than directly asking “May I?” If they are happy for you to sit down, a natural reply is “No, not at all” or “No, go ahead”. If they do object, they can say “Yes, I do”. A bare yes or no can take an extra moment to interpret, so the clearest choice is to state the attitude in full.
At a café, the exchange might be: “Do you mind if I sit here?” “No, go ahead.” It is polite and natural, and usually a little less direct than “Can I sit here?” Australian everyday English does not reverse the logic: mind still means “object”. Answer whether you object, then add go ahead or sorry, and the meaning stays clear.
https://dictionary.cambridge.org/dictionary/english/mind
https://learnenglish.britishcouncil.org/sites/podcasts/files/learnenglish-podcasts-elementary-03-13-support-pack.pdf
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