Cenvat credit eligible on tower, tower material & pre-fabricated buildings/shelters

Vodafone Mobile Services Limited Vs Commissioner of Central Excise (CESTAT Delhi)

CESTAT Delhi held that tower/ tower material and pre-fabricated buildings/ shelters are covered within the definition of ‘capital goods’ and hence eligible for Cenvat Credit

Facts-

The issue involved in the present appeal is about the eligibility of the appellant to claim CENVAT credit on tower, tower material, shelter, input services for the period from October 2004 to March 2012 and April 2014 to March 2015. The impugned order has confirmed the denial of CENVAT credit primarily on the ground that the subject goods, being attached to earth, are immovable in nature, and thus not used for providing output services. The Commissioner has relied on Board Circular dated 26.02.2008 and has held that such goods/services are received at cell sites and not at the registered premises and, thus CENVAT credit is not admissible.

Conclusion-

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