TMI Blog2018 (10) TMI 269X X X X Extracts X X X X X X X X Extracts X X X X ..... ith the travel benefits for leave etc. and the contention of the assessee that the health insurance services, which stand excluded are only which are extended during leave, cannot be accepted. The Tribunal missed a very significant point, while taking a decision as to whether the credit availed by the assessee is eligible or not ?. The first and foremost factor, which should have weighed the mind of the Tribunal is the nature of the policy availed by the assessee ; the beneficiary of the policy ; and the Statute, under which, the policy is required to be availed. These three are very important factors in the instant case. The inclusion of the Workmen's Compensation Act in the 1996 Act, a beneficial legislation, is for the purpose of protecting workmen, who generally belong to unorganized sector. The policy does not name the employees, but categorized the employees based on their vocation/skill. The insured is the assessee and the intention of the policy is to protect the employees, who work in the site and not to drive them to various forums for availing compensation in the event of an injury or death. Therefore, even viewed from this angle, the availment of the policy ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uilder and is engaged in rendering commercial construction service ; construction of residential complex ; works contract services ; and GTA Services (as a recipient) and it is registered with the Service Tax Commissionerate. The Additional Commissioner of Service Tax issued a Show Cause Notice (in short, SCN ) to the assessee dated 21.09.2015 seeking as to (a) why ineligible cenvat credit availed and utilized amounting to ₹ 6,03,808/- , being the Service Tax (including Cesses) credit availed during the period from October 2013 to February, 2014, should not be demanded from the assessee under Section 73(1) of the Finance Act, 1994 read with Rule 14 of the CENVAT Credit Rules, 2004 ; (b) why interest at appropriate rates should not be charged from the assessee under Section 75 of the Finance Act, 1994 read with Rule 14 of the CENVAT Credit Rules, 2004 ; and (c) why penalty should not be imposed on the assessee under Rule 15(1) of the CENVAT Credit Rules, 2004 for the contravention, as mentioned supra. 4. The assessee filed their reply dated 22.10.2015 contending that their right to avail CENVAT credit cannot be restricted by brining it under the exclusion clause issued by ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, security, business exhibition, legal services, inward transportation of inputs or capital goods and outward transportation upto the place of removal; but excludes -- (A) Service portion in the execution of a works contract and construction services including service listed under clause (b) of section 66E of the Finance Act (hereinafter referred as specified services) in so far as they are used for -- (a) construction or execution of works contract of a building or a civil structure or a part thereof; or (b) laying of foundation or making of structures for support of capital goods, except for the provision of one or more of the specified services; or (B) services provided by way of renting of a motor vehicle, in so far as they relate to a motor vehicle which is not a capital goods; or (BA) service of general insurance business, servicing, repair and maintenance, in so far as they relate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he instant case. 10. As noticed above, the assessee is rendering commercial or industrial construction service, construction of residential complex, works contract services and GTA Service (as a recipient) and the assessee is registered with the Service Tax Commissionerate. The copies of a few policies, which have been availed by the assessee, have been produced before us, which show that they are Workmen Compensation Policies. The name of the insured is the assessee, namely, M/s.Ganesan Builders Limited. The policies specify the area, where the construction works are being carried on and in the copies given to us the addresses are : No.144, Rajiv Gandhi Salai, Chennai- 41 and (ii) SIPCOT Industrial Park, Irungulam, Podur Village, Sriperumbudur. The description of the employees for whom premium has been paid are not described by their names, but by their vocation/skill, namely, Mason, Helper, Stone Cutter, Barbender and his Helper, Carpenter and his Helper, Painter and his Helper, Store Keeper, Electrician, Supervisor, Plumper, Welder, Tiles Mason, etc. Therefore, we are required to consider as to why the assessee is required to avail such a policy. This is so because of a statu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gislation cannot be taken away or made highly difficult and impractical to be adhered to by another field of law. In the said decision, the Tribunal held that though in the definition of input services it is mentioned that life insurance, health insurance, etc., are excluded, it is subject to the condition that such services are primarily for personal use or consumption of employee and none of the insurance services, which were subject matter in the said cases can be said to be used primarily for personal use or consumption of employee. 12.3. The above referred decisions, though rendered by the Tribunals, have been relied on to impress upon this Court that consistently the Tribunals, in several cases, have uniformly held that they are eligible input service credits even after the amendment dated 01.04.2011. 13. In the preceding paragraphs we have analyzed the Workmens' Compensation Act policy which has been filed by the assessee, as being the statutory requirement with the laudable object to protect the employeess/workmen in the unorganized sector, in the instant case the construction sites of the assessee. The assessee is shown as insured and the beneficiaries are not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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