The refund of ITC credit is not admissible in view of the second proviso to section 54(3) of the CGST Act, 2017.
(FAQ 50: MINING)
Will ITC be available on steel, timber and sometimes cement which are used in the underground mines to provide a protective device for security purpose
Credit will not be available if these goods are supplied for construction of an immovable property. But if these are temporarily placed for protective purposes, credit will be available.
(FAQ 49: MINING)
Whether supply of HSD free of cost for mining operation would attract GST and whether the input tax credit would be available for GST so charged by the Service provider
HSD is outside GST and therefore, input tax credit would not be admissible.
(FAQ 48: MINING)
According to HSN Code 2516 calcareous building stone comes under 5% tax rate, but simultaneously under HSN Code 6802 it comes under 28% tax rate. Clarity on the same may be provided by the Government
Chapter 68 covers value added articles of sandstone etc. which are further worked other than by way of roughly trimmed or merely cut into blocks or slabs.
(FAQ 47: MINING)
. Whether Railway siding in mining industry exclusively utilized for effecting dispatch of taxable goodsvz.coal (i.e. directly used in the course or furtherance of business) will be treated as Plant and Machinery and ITC under GST will be allowed or treated as civil structure and ITC will be denied
ITC will not be available as railway siding is not plant and machinery as defined in section 17 of the CGST Act, 2017.
(FAQ 46: MINING)
In case of coal, the applicable Compensation Cess is a Fixed Amount of Rs.400/- per MT. Under above situation, how such apportionment is possible since in case of FSA Sale, supply of different grade of coal as per availability of stock against single bulk receipt of “Advance” is to be adjusted
If tax rate is not determinable, the tax rate may be determined and paid on the amount of advance at 18%.
(FAQ 45: MINING)
Can supplies of coal under a particular order or under FSA (Fuel Supply Agreement) be eligible under the definition of ‘continuous supply of goods
Such supplies are in the nature of continuous supply as the invoices are raised periodically. The individual dispatches may be covered under delivery challans and invoice may be issued for the supplies made during a period as per the contract.
(FAQ 44: MINING)
Whether stock held by mining companies on which Clean Energy Cess has been paid be chargeable to compensation cess in GST regime
Yes.Compensation cess will be charged on supply of such stock.
(FAQ 43: MINING)
Whether credit of Green Cess (Clean Energy Cess) paid on coal and available at the time of transition be eligible for being carried over
No.Credit of Clean Energy Cess cannot be carried forward on transition.
(FAQ 42: MINING)
What will happen to the balance available in the current account (PLA) under Central excise, deposited in cash in advance by any assesse
Balance in PLA will not be under transition to GST since that has not been appropriated to the Government account which will be determined post completion of the pending assessment. The same can be claimed as refund under the Central Excise Law.
(FAQ 41: MINING)