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GST ON ROYALTY UNDER RCM - Goods and Services Tax - GSTExtract Dear experts It is admitted fact that GST on royalty is to be paid under RCM by Mining Lease holders. However in few districts of Karnataka, mining activities have been fully controlled by the Monitoring Committee appointed by the Hon'ble Supreme Court. As such they are under the obligation to strictly follow the terms and conditions imposed by such committee. One of the conditions is such mining lease holders have to pay Royalty, Forest Development Cess and GST directly to the committee and in turn it would remit it to the respective Government departments. The question is since the mining lease holders have already paid GST on royalty under Forward charge mechanism [FCM] , the GST Authorities are fastening once again tax liabiIity under RCM despite bringing to their knowledge the said legal position. What is the remedy for such double liability? Explore the solutions.
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