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TMI Blog2024 (9) TMI 1084X X X X Extracts X X X X X X X X Extracts X X X X ..... n handed down by the Customs, Excise and Service Tax Appellate Tribunal [CESTAT] dated 05 July 2023 and has proposed the following questions of law for our consideration:- "A. Whether the Respondent has adequately reversed the CENVAT Credit under Rule 6 of the CENVAT Credit Rules, 2004? B. Whether the Respondent could avail CENVAT Credit on Group Personal Accident Policy, Group Term Life Policy, and Group Mediclaim Policy taken for employees? C. Whether the Respondent is liable to pay the penalty and interest on tax liability discharged under Reverse Charge Mechanism on legal services?" 2. It becomes pertinent to note that although an issue with respect to premium for insurance services was also sought to be canvassed, the same clear ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liability discharged under reverse charge on legal services. 4. While dealing with those issues, the Tribunal has taken note of its Larger Bench decision in Reliance Industries Ltd. vs. Commr. Of C. Ex. & S.T. 2022 (60) G.S.T.L. 442 (Tri.-LB) to hold as follows:- "9. While holding this the decision of Hon'ble High Court of Karnataka in the case of Commissioner of C.Ex. Bangalore-II Vs. Millipore India Pvt. Ltd. reported as 2012 (26) S.T.R. 514 (Kar.) was relied upon, wherein it was held that all factors have to be taken into consideration while fixing the cost of final product. It was observed as an undisputed fact in the said case that the premium so paid has formed part of the cost of excisable goods on which the excise duty has been p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xus, and are covered by the other limbs of the definition. Each limb of the definition is independent and, therefore, if an assessee can satisfy any one of the limbs, the benefit of Cenvat credit would be available, even if the assessee does not satisfy the other limbs of the definition; and (b) Insofar as the first limb is concerned, the requirement of establishing a nexus between the input service and the process of manufacture is to be regarded as 'satisfied if the expenditure incurred for the input service forms part of the cost of production/value of the final product, on which duty of excise is levied." 10. The Larger Bench has discussed that the decision of Hon'ble Bombay High Court in the case of Central Excise, Nagpur Vs. M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Vs. Willis Processing Services (India) Pvt. Ltd. reported as 2017 (7) G.S.T.L. 12 (Bom.) and Commr. of C. Ex. & Service Tax Vs. Tata Consultancy Services Ltd. reported as 2018 (362) E.L.T. 777 (Bom.). 11. This Tribunal also in the case of M/s. Rajratan Global Wire Ltd. (supra) has held that once there is no evidence that the insurance service was obtained for the personal use of the employee of assessee, it is definitely an eligible input service for which the assessee is entitled to claim the Cenvat credit. Above all, department has conceded for this issue to no more res integra and to have been decided in favour of the assessee. We hold that the Cenvat credit availed by the appellant on the various insurance policies taken for its empl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... no. of the assessee, description of taxable services and exempted services, CENVAT Credit of inputs and input services lying in balance as on the date of exercising option, are already available in the records of the Revenue. We further find it is an admitted fact that the assessee herein have calculated the CENVAT Credit in terms of clause (c) read with clause (h) and have deposited the amount so determined, by 30th June in the succeeding financial year as prescribed. We draw our support from the decision in the case of M/s. Tata Technologies Ltd. Vs. Commissioner of Central Excise, Pune-I reported as 2016-TIOL-272-CESTAT-MUM." 7. Left only to examine as to whether penalty was liable to be imposed, the Tribunal has held as follows:- "16 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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