TMI Blog2015 (12) TMI 748X X X X Extracts X X X X X X X X Extracts X X X X ..... in lending money to borrowers. However assisting borrowers to obtain life and health risk coverage even though appellant may have an incentive for doing this, by way of covering the risk it incurs in lending to small borrowers and whose life and health are a matter of economic concern for the appellant, this activity does not fall within any of the integers of the Banking and other Financial Servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 7; 11,80,28,886/- comprising inter alia service tax demand on amount collected by the appellant towards administrative charges, death relief fee, reimbursement of expenses from LIC, Bajaj Allianz Life Insurance Company Limited (BALIC), availment of Cenvat credit of service tax on Health Insurance Policies taken for the benefit of appellant s employees from insurance companies and the service tax c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts were collected by the appellant from its borrowers towards administrative expenses in relation to insurance policies taken out in favour of borrowers, either to cover borrowers health or their life risk. Revenue considered these receipts as towards providing Banking and other Financial Services, a taxable service. The appellants defence was that the consideration is not exigible to service tax ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f covering the risk it incurs in lending to small borrowers and whose life and health are a matter of economic concern for the appellant, this activity does not fall within any of the integers of the Banking and other Financial Services, referred in Section 65(12) read with Section 65(105)(zm) of the Act. 5. Prima facie the appellant s activity of maintaining records of the insurance policies o ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
