GST on Royalty  ––– The petitioner prayed for directions for declaring the SCN dated 07.12.2017 for the tax periods 01.07.2017 to 31.08.2021 as illegal, arbitrary and contrary to the provisions of the Act; to declare Circular No.164/20/2021-GST dated 06/10/2021 to the extent it interprets the rate of tax on service by way of grant of mining rights, for the period 01/07/2017 to 31/12/2018 and its further applicability at 18% as arbitrary, irrational, illegal and void. The court observed that the very issue as to whether GST would be chargeable on minerals on which already royalty has been paid is actively under consideration before a Nine Judges Bench of the Hon’ble Supreme Court.

Held that:- The Hon’ble High Court listed the matter after disposal of writ petition (Civil) No.1076 of 2021 and SLP (C) No.37326 of 2017 along with Writ Petition No.25212 of 2021 and directed that in the meantime, there shall be suspension of the impugned SCN.