https://www.taxtmi.com/caselaws?id=754244 CESTAT Chennai held that KVB's collection of reimbursement charges from insurance companies for providing infrastructure support (tables, chairs, network, electricity, telephone) to insurance personnel constitutes Business Support Services under section 65(104c) of FA 1994, not agency services. The tribunal distinguished these activities from independent insurance policy sales, finding they merely provided business support rather than creating legal relations between principals and third parties. Interest under section 75 was upheld as automatic upon belated duty payment. Penalty under section 78 was dropped due to lack of suppression with intent to evade duty, while section 77 penalty was maintained. Extended limitation period was rejected, restricting demand to normal period. en-us Wed, 19 Jun 2024 00:00:00 +0530 Thu, 20 Jun 2024 08:36:02 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754244 CESTAT Chennai held that KVB's collection of reimbursement charges from insurance companies for providing infrastructure support (tables, chairs, network, electricity, telephone) to insurance personnel constitutes Business Support Services under section 65(104c) of FA 1994, not agency services. The tribunal distinguished these activities from independent insurance policy sales, finding they merely provided business support rather than creating legal relations between principals and third parties. Interest under section 75 was upheld as automatic upon belated duty payment. Penalty under section 78 was dropped due to lack of suppression with intent to evade duty, while section 77 penalty was maintained. Extended limitation period was rejected, restricting demand to normal period. Case-Laws Service Tax Wed, 19 Jun 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754244