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Requisite Checks for Appeals - RespondentInheritance Tax row - A golden opportunity to end 32-years long Policy Paralysis on DTCThe Heat is on: Preserving Earth's Climate in the Face of Global WarmingVAT - Timeline for frefund must be followed mandatorily while recovering dues under Delhi VAT Act: SCIndia, Australia to work closely for collaborative projectsCX - All the information was available to department in 2003 itself, therefore, SCN issued four years after gathering information is not sustainable and is highly barred by limitation: HCPowerful voices of amazing women leaders resonated at UN HqsCX - Clearance to sister concern for captive consumption - Department cannot compel assessee to perpetuate the illegality and in such circumstances the whole exercise was revenue neutral: HC75 International visitors from 23 countries arrive to watch world's largest elections unfoldCentre asks States to improve organ donation frequencyCus - Revenue involved in the appeal filed by Commissioner is far below the threshold monetary limit fixed by the CBEC, therefore, department cannot proceed with this appeal - Appeal stands disposed of: HCPM says NO to religion-based reservationCus - Export of non-basmati rice - Since the objective of Central Government in imposing ban with immediate effect was to avert a food crisis in the country, a strict compliance of exemption conditions would further the said intent of the Notification(s): HCAdani Port to develop port in PhilippinesCX - Appellant should not be left without an opportunity to put-forth his case on merits, particularly, when matter was decided during period of Covid-19 pandemic and also appellant contends that no opportunity of virtual hearing was granted by adjudicating authority: HCKiller floods - 228 killed in Kenya + 78 in BrazilI-T - Grant of registration u/s 12A can't be denied by invoking Sec 13(1)(b), as provisions of section 13 would be attracted only at time of assessment and not at time of grant of registration: ITATFlight cancellation case: Qantas accepts USD 66 mn penaltyI-T- Joint ownership in two residential properties at the time of sale of the original asset does not disentitle the assessee to claim of deduction under section 54F of the Act: ITATIsrael shuts down Al Jazeera; seizes broadcast equipmentI-T - If assessee was prevented from production of evidences because of its non-availability or delay in its retrieval coupled with ongoing several reassessment, assessee should be allowed to adduce additional evidence: ITATIndia to wait for Canadian Police inputs on arrest of men accused of killing Sikh separatist: JaishankarI-T- If assessee is otherwise found eligible, CIT(E) should grant provisional approval to assessee under Clause (iii) to First Proviso to section 80G(5): ITATLabour Party candidate Sadiq Khan wins record third term as London MayorI-T - Donation made to trust which is otherwise not approved during relevant period as per CBDT Circular, is not eligible for deduction u/s 35(1): ITATGovt scraps ban on export of onionI-T- Assessee could have filed application in Form No.10AB on or before 30.09.2022, which assessee failed to do : ITATUS Nurse convicted of killing 17 patients - 700 yrs of jail-term awardedI-T- AO erred in making addition for completed/non abated assessment as no incriminating material found during course of search :ITAT
 
CX - Employee is earning not for himself but also for family members - ST on insurance premium paid by Company on group policy is allowable as Credit: CESTAT

 

By TIOL News Service

NEW DELHI, APRIL 23, 2018: DURING the period December 2007 to March 2010, the appellant purchased group mediclaim policies from M/s New India Insurance Company Ltd. for the employees and their family members. The premium was paid by the appellant company and the service tax paid thereon was claimed as CENVAT credit.

The original authority denied the credit in its entirety but the Commissioner (Appeals) allowed the Cenvat credit in respect of the premium paid for the employees but not in respect of their family members.

Being aggrieved, the appellant is before the Tribunal.

The appellant submitted that the group insurance for the entire family is allowable as CENVAT credit per the ratio laid down in the case of Stanzen Toyotetsu India Pvt. Ltd. - 2009-TIOL-697-CESTAT-BANG upheld by the Karnataka High Court - 2011-TIOL-866-HC-KAR-ST. It is also informed that an identical issue has been decided in favour of the assessee in the case of M/s EXL Service Com (India) Pvt. Ltd. - 2017-TIOL-2394-CESTAT-DEL.

The AR placed reliance on the decision in Maruti Suzuki - 2017-TIOL-207-CESTAT-CHD and justified the denial of credit.

After distinguishing the decision cited by the AR, the Bench observed that in the case of M/s EXL Service (supra) the benefit of (service tax paid) in respect of the insurance to the family members has been allowed as CENVAT credit.

Therefore, the CESTAT observed -

"7. By following our earlier decision (supra), the premium paid on the group policy for the employees as well as their family members is allowable for the purpose of Cenvat credit. Moreover, the employee is earning not for himself but also for the family members."

The impugned order was set aside and the appeals were allowed.

(See 2018-TIOL-1289-CESTAT-DEL)


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