Service Tax On Of Minerals Under Service Tax

Constitutionality of GST on royalties for mining leases

Sudipta Bhattacharjee Partner Advaita Legal. Since the expansion of the concept of taxable service under the erstwhile service tax regime (vide introduction of a negative list-based regime in 2012 and legislative …

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Post-MADA v. SAIL: GST's Effect on Mineral Royalty

However, in State of West Bengal v. Kesoram Industries Limited, an SC bench of lesser strength declared that royalty was not a tax.These positions led to conflicting decisions by various lower …

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Service Tax On Of Minerals Under Service Ta

Service Tax on Mining Royalty. Royalty is not a payment in respect of any taxable service at all and it is imposed under Section 9 of the Mines and Minerals (Development and Regulation) …

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Comprehensive Analysis of Service Tax & GST | SBS and Co LLP

Introduction: At the time of introduction of negative list-based taxation under service tax law effective from 01.07.2012, only selected services provided by Government are subject to …

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CBIC clarifies services by way of grant of mineral …

It accordingly upheld that "licensing services for the right to use minerals including its exploration and evaluation" falling under service code 997337 were taxable @ 18% during July 01, 2017 to December 31, 2018.

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GST and Its Implications on Miniing Sector In India

India currently produces around 89 minerals under different groups, with fuel minerals, metallic minerals, non-metallic minerals, atomic minerals and minor minerals. ... The …

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SERVICE TAX ON MINING ROYALTY – Digest of case laws

If the Nine Judge Bench holds that mining royalty is tax and not fee for any service, the entire demand shall go. Vice versa, the tax demand shall stand confirmed, if Supreme Court holds …

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State's power to tax mines and minerals: Judgement Summary

On 25 July, in a 8:1 majority, a nine-judge Constitution Bench of the Supreme Court held that states have the power to levy tax on mines and minerals. The Bench held that the …

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SERVICE TAX ON MINING ROYALTY – Digest of case laws

whether service tax is payable on rcm basis on royalty paid to state government for extracting minerals. also please update us regarding the status or outcome/verdict in case of mineral …

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Mining Case: A critical analysis

Entry 50 deals with tax on mineral rights meaning thereby that it is a tax on the grant of rights for the exploitation of minerals. ... this judgement will be a leading case to guide …

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Constitutionality of GST on royalties for mining leases

Royalty qualifies as tax: It is a settled position of law that royalty paid under a mining lease is in the nature of tax and thus GST/service tax cannot be imposed on royalty …

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HC upholds levy of GST on royalty paid for mining rights basis …

The ruling is likely to have a potential impact both under service tax and GST. Prior to SC ruling in case of MADA, Rajasthan HC in two separate judgements had held that royalty …

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Service Tax on Mining Royalty

Royalty is not a payment in respect of any taxable service at all and it is imposed under Section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 …

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GST on Mining Royalty post 9 Judge bench SC decision- is it

Dispute under GST/service tax and its relevance to 9 judge bench decision: When the Union Government attempted to levy service tax on the mining royalties, it was inter alia …

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'Race to the bottom': The possible consequences of the mineral …

On 25 July 2024, in Mineral Area Development Authority (MADA) v Steel Authority of India (SAIL), a nine-judge bench of the Supreme Court delivered a significant …

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GST on Mining Royalty

Earlier, under the Service Tax Regime when Negative list-based taxation was introduced, only select services provided by the Government were out of Service Tax purview …

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BSP's obligation to withhold reduced from 5% to 1%

THE Bureau of Internal Revenue issued Revenue Regulations (RR) No. 7-2017 to amend certain provisions covering taxation on sale of gold and other metallic mineral products …

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Application of service tax to the Mining Sector – Need for …

Federation of Indian Mineral Industries, examines the application of the service tax this sector. The report also suggests ways of alleviating the negative impact of service tax on the mining …

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TAXABILITY OF MINING SERVICES

Service tax has been imposed on Mining Services i.e., services outsourced for mining of minerals, oil or gas by the Finance Act, 2007 as a separate taxable service with …

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SC upholds legislative power of States to impose taxes on mineral …

The State legislatures are competent to levy tax on mineral-bearing land under Entry 49 of List II and can adopt the mineral produce or royalty as the measure to tax mineral …

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Supreme Court to Decide if GST Applies to Mining Royalties

The Supreme Court is set to consider whether Goods and Services Tax (GST) or Service Tax applies to mining royalties. The bench led by CJI DY Chandrachud comprising …

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Application of service tax to the Mining Sector – Need for …

income tax, and minimum alternate tax, customs duties, State VAT, Cenvat, and the service tax. While the industry has concerns with many of these, the focus of this report is exclusively on …

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Constitutionality of GST on royalties for mining leases

Royalty qualifies as tax: It is a settled position of law that royalty paid under a mining lease is in the nature of tax and thus GST/service tax cannot be imposed on royalty since a tax cannot be in the nature of a payment for …

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'Royalty': a Tax? : An Analysis of the Judicial

Whether royalty payable on minerals extracted as provided for under section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 is in the nature of tax is one …

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Whether royalty on mining rights is tax or not?

A seven-Judge Bench of the Supreme Court in India Cement Ltd. v. State of Tamil Nadu, held that royalty by a mining license holder is a 'tax' and that State legislatures do not …

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GST on Mining Industry- A detailed Analysis

under service tax regime; under earlier regime, service tax is not levied in case of royalty in my view. ... Reason being output tax on coal or other minerals is 5% whereas most of the input tax credit is of rate 18% which gives …

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CESTAT : Service Tax not applicable on extraction of Iron Ore …

Services provided in relation to mining of mineral, oil and gas are comprehensively covered under the proposed service tax levy; accordingly, services provided in relation to …

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TAXABILITY OF SURVEY AND MAP-MAKING SERVICES.

Service tax has been imposed on survey and map-making services rendered to any person by any other person engaged in provision of such services by the Finance Act, …

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Can GST and Service Tax be charge on the amount of royalty …

Can GST and Service Tax be charge on the amount of royalty payable to the Government on mining of minerals? Can GST and Service Tax be charge. Case Title. M/s Manu Tractors vs …

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CBIC clarifies services by way of grant of mineral exploration and

It accordingly upheld that "licensing services for the right to use minerals including its exploration and evaluation" falling under service code 997337 were taxable @ 18% during …

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GST Litigation on Mineral Transport Services – Transport

This blog outlines the legal and tax implications of transportation contracts for coal mining operations, discussing the differences between services classified as 'Goods Transport …

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GST or Service Tax on Mining Royalty? Supreme …

Section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act) stipulates that mining leaseholders must pay royalty for any minerals removed or consumed from the leased area.

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GST or Service Tax on Mining Royalty? Supreme Court to Decide

Section 9 of the Mines and Minerals (Development and Regulation) Act, 1957 (MMDR Act) stipulates that mining leaseholders must pay royalty for any minerals removed or …

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Comprehensive Analysis of Service Tax & GST Implications …

As large amounts are being paid as royalty towards mining rights, the tax exposure under service tax and GST are on a higher side and reeling the industry players. In this backdrop, an attempt …

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'Royalty on Mines'─ Govt. has No authority to levy GST

The Hon'ble Supreme Court in the case of Mineral Area Development Authority v. Steel Authority of India (2024) 42 J.K.Jain's GST & VR 70 (SC), held on 'Royalty' as under; i) …

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GST on Royalty: Applicability, GST Rate, SAC Code, RCM on Royalty Under …

The GST on royalty income in India is determined based on the rate applicable to goods such as minerals. This means that the same tax rate applicable to minerals—18%— is accepted as the …

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Whether Royalty is a Tax or a Fee for Service? A 9-Judge …

SC clarifies whether royalty on minerals is a tax or a fee, reaffirming state powers in a landmark ruling with retrospective effect.

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Mineral Transport Within and Outside Mines Falls under GTA for Service

The issue involved the matter is whether the activity of the appellant for the period 2009-2010 to 2013-2014 falls under the category of mining service as claimed by the …

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Comprehensive Analysis of Service Tax & GST Implications …

At the time of introduction of negative list-based taxation under service tax law1 effective from 01.07.2012, only selected ... 115 of the Madras Village Panchayat Act is a cess or tax on …

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