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2019 (6) TMI 688 - HC - Service TaxInvocation of Extended period of limitation - Section 73(1) of the Finance Act, 1994 - bonafide belief or not - HELD THAT:- The impugned order records the fact that the respondent was under bonafide belief that the Life Insurance Service per se was not exempted service. It was this which resulted in the respondent proceeding to take credit in respect of inputs used in exempted services. The impugned order records the fact that during the course of investigation nothing has been brought on record that there was any intent on the part of the respondent to evade the service tax payable under the Act. Further, the impugned order places reliance upon the letter dated 29th August 2011 addressed by the Commissioner of Service Tax, Mumbai to Joint Secretary of Central Board of Excise and Customs to the effect that the Life Insurance Companies have all availed Cenvat credit under a bonafide belief that they are entitled to the same. It may not be appropriate to invoke the extended period of limitation while raising demands for incorrect availment of Cenvat credit. The impugned order of the Tribunal has made a detailed examination on the issue of limitation and has come to a finding of fact that there was no intent on the part of the respondent to evade the service tax. This finding of fact is not shown to be perverse. Appeal dismissed.
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