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of Classification - Grant of mining lease for extracting Mineral called “BLACKTRAP” - payment of rent/royalty is for license given to extract minerals and the amount of rent/royalty paid is based on the quantum of mineral extracted. Hence it is covered under Service Accounting Code 997337 - Licensing services for the right to use minerals including its exploration and evaluation, as it is a license to extract mineral ore and also the right to use such minerals extracted. - It would attract GST rate 18% from the period of July, 2017 onwards. - AAR
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