Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding


  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2019 (11) TMI 65

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Extended period of limitation - HELD THAT:- Palpably, the period for which recovery has been confirmed would be within the sanction of law only if extended period was so invoked. In the light of the transactions of the appellant having been subject to scrutiny and proceedings initiated on the earlier occasion, the notice was precluded from seeking recovery beyond the normal period prescribed in section 73 of Finance Act, 1994 - As the period covered in the present show cause notice is 2007-08 and the notice was issued in 2013, the demand fails to overcome the bar of limitation. The appeal is allowed without dilating on the submissions pertaining to scope of the taxing entry. - Service Tax Appeal No. 86068 of 2014 - FINAL ORDER No: A/86 .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... an insurer was restored. Further expansion of taxability was effected subsequently until the transition to negative list of services through different insertions in section 65(105) of Finance Act, 1994. Various decisions clarifying the effective date of leviability of policy administration charge to tax in Sahara India Life Insurance Company Ltd v. Commissioner of Central Excise Service tax and Anr [2019-TIOL-27-CESTAT-ALL] and HDFC Standard Life Insurance Co Ltd v. Commissioner of Service tax, Mumbai I [2013-TIOL-1296-CESTAT-MUM] were brought to our attention. According to Learned Authorised Representative, the legislative intent of the entry, kept in suspended animation initially for a time, was to tax the entirety of consideration r .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... policy administration charges under the head other income , and hence at material time it must have escaped attention of the adjudicating authority. I am therefore of the view that the noticee had misclassified the policy administration charges under the head other Income in their books of accounts, the same amounts to suppression, and that therefore invoking the extended period for recovery of Service Tax short levied under proviso to section 73(1) of the Act is correct, without prejudice to the fact that the said demand was dropped by the Commissioner in the past. The incorrect classification on the part of the noticee makes them liable for payment of Service Tax short paid under proviso to section 73(1) ibid. 6. Palpa .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates