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2021 (1) TMI 1023 - AT - Service TaxCENVAT Credit - Service Tax paid for the services provided by the Insurance Corporation for insuring the deposits of public with the banks - HELD THAT:- This very same issue was referred to Larger Bench and vide order in the case of M/S. SOUTH INDIAN BANK VERSUS THE COMMISSIONER OF CUSTOMS, CENTRAL EXCISE AND SERVICE TAX-CALICUT [2020 (6) TMI 278 - CESTAT BANGALORE], the Larger Bench of the Tribunal had held that credit is eligible on the service tax paid on such premiums. The learned AR has relied upon the decision of CESTAT Bench at Mumbai in the case of M/S. BANK OF AMERICA VERSUS PRINCIPAL COMMISSIONER, MUMBAI EAST [2020 (11) TMI 582 - CESTAT MUMBAI]. The very same issue has again been referred to the Hon’ble President to resolve the issue by constituting a Larger Bench. The reason for such reference and doubting of the order rendered by the Larger Bench is that the decision rendered by the Hon’ble Apex Court in COMMISSIONER OF CUSTOMS (IMPORT) , MUMBAI VERSUS M/S. DILIP KUMAR AND COMPANY & ORS. [2018 (7) TMI 1826 - SUPREME COURT] was not considered by the Larger Bench and therefore the Larger Bench decision is per incuriam. When the issue has been decided by Larger Bench, judicial discipline binds us to follow the same. Further, the judgement in Dilip Kumar & Co. is with regard to interpretation of exemption notifications and would not be relevant for application to the issue under consideration which is the eligibility of Cenvat Credit. Application of judicial discipline is necessary to give uniformity and certainty decisions. The impugned order cannot sustain and requires to be set aside - Appeal allowed - decided in favor of appellant.
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