2019 (9) TMI 1405 - HC - Central Excise

CENVAT Credit - input services - premium paid to insure the deposits of its constituents by the banks - HELD THAT - This very issue has been referred to the larger bench of the Tribunal in the case of STATE BANK OF PATIALA, PUNJAB VERSUS COMMISSIONER OF CE ST, CHANDIGARH-II 2019 (10) TMI 818 - CESTAT CHANDIGARH - at the request of the parties, these appeals are adjourned by a period of 12 weeks, to enable the Advocates to place the decision of larger bench before us for perusal. Stand over to 18th December, 2019.

Summary

Issues:
- Challenge to a common order passed by the Customs, Excise and Service Tax Appellate Tribunal regarding entitlement to CENVAT Credit for service tax paid on premium for insuring bank deposits.

Analysis:
The High Court of Bombay heard appeals challenging a common order by the Tribunal regarding the entitlement of the Assessee to avail CENVAT Credit for service tax paid on premiums for insuring bank deposits. The central issue in question was whether the Assessee could claim such credit. The Court noted that this issue had been referred to a larger bench of the Tribunal in two separate cases. Consequently, at the request of the parties, the appeals were adjourned for 12 weeks to allow the Advocates to present the decision of the larger bench for consideration.

The learned Counsel for the Revenue expressed the intention to apply to the Tribunal for an early hearing of the reference made to the larger bench in the two cases mentioned earlier. The Assessee were given the option to join the Revenue in such an application. The adjournment was granted to enable the parties to submit the opinion of the larger bench on the issue raised in the present appeals. The matter was scheduled to be heard again on 18th December 2019. This decision reflects the Court's approach to ensure a comprehensive review of the legal issue at hand by considering the opinion of a larger bench before making a final determination in the appeals.