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TMI Blog2016 (4) TMI 238X X X X Extracts X X X X X X X X Extracts X X X X ..... incurred on account of Medicare services have been included in the value of the output services being provided. Therefore, Cenvat credit has to be allowed. - Decided in favour of appellant - Appeal No. ST/427/2012 - ORDER NO.FO/A/75238/2016 - Dated:- 31-3-2016 - SHRI H.K.THAKUR, MEMBER (TECHNICAL) For the Petitioner : Sri Harsh Shukla, CA For the Respondent : Sri K.Chowdhuri, Suptd.(AR) ORDER PER SRI H.K.THAKUR 1. This Appeal has been filed by the Appellant against Order-in-Appeal No. 212/ST/Kol/2012 dated 22.06.2012 under which Appeal filed by the Appellant against Order-in-Original No.10/ST/D-I/KOl/09-10 dated 22.12.2009 has been rejected. 2. Sri Harsh Shukla, CA appearing on behalf of the Appellant argued ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... present proceedings the Appellant has not been able to establish whether medical facilities provided to its employees was as a result of any statutory obligation/legal requirements. 4. Heard both sides and perused the case records. The issue involved in the present proceedings is whether medical services for the welfare of Appellant s employees will be eligible for taking Cenvat Credit on the activities undertaken by the Appellant. It is observed from the case laws that relied upon by the Appellant, that the issue is no more res integra. In the case of Commr. Of C.Ex., Bangalore-III vs. Stanzen Toyotetsu India (P) Ltd. (supra) following observations have been made by the Karnataka High Court on the issue: 14. In so far as Insurance ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n the case of M/s. Sun Pharmaceutical Industries vs. CCE Vapi (supra) has made following observations: 3. I have considered the submissions made by the learned DR. I have gone through the decision of the Hon ble High Court of Gujarat in M/s. Gujarat Heavy Chemicals Ltd. reported in 2011-TIOL-383-HC-AHM-ST. = 2011 (22) S.T.R. 610 (Guj.). In this case the Hon ble High Court was considering the eligibility of service tax paid on security services provided at residential quarters of workers as cenvat credit. Hon ble High Court came to the conclusion that such security services cannot be stated to be the service used by the manufacturer in relation to the manufacture of final product. Hon ble High Court also took note of the decision of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ess activity. The question that arises in this case is whether the service tax paid on insurance premium for workmens compensation (general insurance) can be considered as an activity related to the business. In case of an accident within the factory, the compensation has to be paid by the company in accordance with the law and this is obligatory. To fulfil this legal obligation, the assessee has taken insurance. Therefore it can be said that in this case the insurance premium is definitely relatable to business activity and is to fulfil one of the legal obligations of providing compensation to worker in case of injury in the factory. Therefore the issue in this case is similar to the one which was under consideration in the case of Ultrat ..... X X X X Extracts X X X X X X X X Extracts X X X X
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