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Royalty paid to obtain license for mining lease from govt. for exploration of natural resources is taxed @ 18% GST

August 23, 2019[2019] 108 373 (AAAR-RAJASTHAN)

GST: Activity of exploration of natural resources like oil, hydrocarbons, iron ore, manganese etc., under mining lease from Government against consideration in form of annual license fee, lease charges, royalty, etc. to Government is taxable at rate of 18 per cent under entry No. 17(viii) of Notification No. 11/2017-Central Tax (Rate), dated 28-6-2017

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