Supreme Court admits appeal to determine the eligibility to avail CENVAT credit of duty paid on telecom towers

 
This Tax Alert gives an update on the issue regarding the eligibility to avail CENVAT credit of duty paid on mobile towers (in CKD/SKD form) and parts thereof and in respect of shelters/prefabricated buildings used for providing telecommunication (telecom) service.
 
In the appellant’s case, the Bombay High Court, relying on the decision of its division bench in the case of Bharti Airtel Ltd vs Commissioner of Central Excise, held that CENVAT credit cannot be availed on the said mobile towers and parts thereof and shelters/ prefabricated buildings. It did not accept the appellant’s plea to review the decision of Bharti Airtel (supra).
 
The appellant, being aggrieved by the order of the Bombay High Court, filed an appeal before the Supreme Court which has been admitted by order dated 21 September 2015.