AAR: Contribution to Rehabilitation Trusts taxable as ‘Royalty’ itself

Madhya Pradesh AAR rules that granting of license to extract minerals is classifiable under the residual entry ‘Leasing services for the right to use intellectual property and similar products’ under Tariff Heading 997337; Notes that, applicant needs to contribute 30% and 2% of royalty towards District Mineral Foundation (DMF) and National Mineral Exploration Trust (NMET), respectively towards rehabilitation of affected areas/people as a result of the mining operations be...