ANZ Support Services India Private Limited Vs Commissioner of Central Tax (CESTAT Bangalore)
The Customs, Excise and Service Tax Appellate Tribunal (CESTAT), Bangalore, adjudicated appeals filed by a SEZ unit against orders rejecting refund claims of service tax paid on certain insurance services. The refund claims related to service tax paid on Group Medical Insurance and Personal Accident Insurance for employees and their dependents for specified periods in 2016 and 2017, under Notification No. 12/2013-ST dated 01.07.2013.
The refund claims were rejected by the lower authorities on the ground that these insurance services were not included in the list of input services approved by the Unit Approval Committee (UAC) of the Development Commissioner. It was further held that although “General Insurance Business” services were approved, the specific insurance services claimed did not fall within that category.
The appellant contended that it was a SEZ unit engaged in exporting IT-enabled services and had received the insurance services on which service tax was paid. It argued that the relevant notification does not require the services to qualify as “input services” under the Cenvat Credit Rules for claiming refund. According to the appellant, the only requirement under the notification is that the services must be used for authorised operations of the SEZ unit.
