allowing the expenses of
Rs.23,59,244/- on account of Keyman Insurance Premium
bearing different name of propose (other than assessee ... furnace to the tune of
Rs.14,41,468/- and disallowed the Keyman Insurance Premium to the
tune of Rs.23,00,696/- and assessed
disallowance of Rs.15,00,000/- on account of
payment made for Keyman's Insurance Policy for the directors."
Shri S.M.Surna ... made by AO for ₹ 15 lakh on account of payment made for Keyman's
Insurance Policy (KIP for short) for the director
account
of payment of premium of Keyman's Insurance Policy.
3. At the outset, the learned AR submitted that learned CIT(A) had
dismissed ... decided by
us is regarding the allowability of Premium of Keyman Insurance Policy.
We further find that this case was earlier decided
order. The learned AR submits that the insurance premium under keyman
policy paid for five years and it is taxable on maturity and relied ... being insurance premium paid by the assessee firm on a
keyman insurance policy ?" The relevant portion of which is reproduced herein
below
claimed by the assessee on
2
account of keyman insurance on the life of Shri Rakesh
Kapoor, one of the partners of the assessee firm ... that there is no evidence to show that the policy is a
keyman insurance and the second was that the partners
are not independent
claimed by the assessee on the
ground that it has purchased a Keyman Insurance Policy ("KIP" for short) for
Managing Director.
3. Brief ... observations to the effect that, ""that the policy taken is
keyman as per definition given in the Income Tax Act , i.e. policy
response to the same, the assessee replied
that the premium paid on Keyman Insurance Policy is
allowable deduction and is covered under Circular ... assessee was that the receipt on account
of maturity of Keyman Insurance Policy together with
bonus is taxable in the hands of the company, therefore
Commissioner Of Central Excise, Kanpur vs Keyman Laminators Pvt. Ltd on 11 July, 2016
IN THE CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL
REGIONAL BENCH ... Department Authorities?
Yes
======================================================
Commissioner of Central Excise, Kanpur Appellant
Vs.
Keyman Laminators Pvt. Ltd., Respondent
Appearance:
Shri D.K. Deb, Assistant Commissioner (AR) for Appellant
ITAT was justified in law, in
allowing the entire claim of keyman insurance
premium expense for A.Y. 2005-06 by ignoring
the fact that ... account of disallowance of premium paid on
keyman insurance taken on life of partners as the expenditure related to
the period beyond
insurance policy. The said insurance though a life insurance policy being a Keyman Insurance Policy (KIP) is taken in the name of Sh. Venkata Vishnu ... plan of insurance to meet the crisis in case the insured person/keyman meets any unforeseen incident like death. The policy, in such situation would
