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2016 (11) TMI 1291 - CESTAT MUMBAIDemand of the amount payable under reverse charge method recovered from the service provider - insurance auxiliary service - demand of the amount of that tax which has, allegedly, been recovered by the appellant from the agent - section 73A of Finance Act, 1994 - reverse charge mechanism - Held that: - The appellant has paid the tax on commission paid to agents on ‘reverse charge’ basis and appellant is, under CENVAT Credit Rules, 2004, entitled to take credit of such tax paid. Contribution, partial or entire, to the tax liability in an agreement with the provider of the service is not forbidden by law. To the extent that the contributor has not ventured to avail credit of such contributions, there is no detriment to public revenue. And to the extent that the appellant has not deprived the provider of the service of any amount in excess of the tax deposited by the appellant, there can be no substance to the allegation that appellant has contravened section 73A of Finance Act, 1994 - appeal allowed - decided in favor of appellant-assessee.
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