TaxTMI 
TaxTMI 
2021 (4) TMI 735
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....put services were not used either in or in relation to the manufacture of final product and it is not covered under inclusion category of input services and it fall in the exclusion category provided from 01/04/2011. 2. Shri Dhawal Shah, learned counsel appearing on behalf of the appellant submits that the Group Insurance Policy was taken in respect of the employees of the company and the policy was issued in the name of the appellant. He submits that this Group Insurance is mandatory under the statute for the employees. Therefore, it is not optional for the assessee. Accordingly, it is related to overall business activity. He submits that as regard to reliance of the Revenue on the exclusion category, first of all the Group Insurance do....
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....276) ELT 94 (Tri-Mum) 4. I have carefully considered submission made by both sides and perused the records. I find that very same issue even for the period post amendment in Rule 2(l) of Cenvat Credit Rules, whereby certain services were excluded fro the ambit of input services has been considered by the Hon'ble Madras High Court in the case of M/s Ganeshan Builders Ltd.(supra) wherein after interpreting the term 'Group Insurance' with the exclusion clause held that the group insurance service is admissible input service and credit was allowed. The relevant portion of the judgment is reproduced below: 9. In our considered view, the Tribunal missed a very significant point, while taking a decision as to whether the credit availed....
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....is is so because of a statutory requirement under the Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996 (in short, "the 1996 Act"). Under the said Act, the Workmen's Compensation Act, 1923 has been included in the Second Schedule of the 1996 Act and the provisions of Workmen's Compensation Act, 1923 has been made applicable to the building Workers. 11. Thus, the inclusion of the Workmen' 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 ....
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....se or consumption of the employee and all insurance services availed under various Labour Legislations enacted for welfare of employees/workers, being the benefit bestowed by one legislation 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 r....