RCM on Royalty, Goods and Services Tax - GST

[ABHISHEK K]

Dear Sir,

One of our Client is a Government Contractor engaged in construction of Roads. The government deducts Royalty among other deductions from Gross Bill Value. Whether GST on RCM is payable on Such Royalty and if Yes at What Rate.

Posts / Replies

[YAGAY andSUN]

On which activity Government is deducting royalty. Please confirm.

However in our view Under RCM rate is 5% and if it is related to goods and rate applicable to goods will be rate of Royalty.