2018 (9) TMI 126

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.... towers to the site. The Revenue is of the view that as these towers and shelters are immovable property, therefore, the appellant is not entitled to avail Cenvat credit on transportation of towers to the site as well as towers and shelters. Therefore, the proceedings were initiated against the appellant by issuance of show cause notice on 17.3.2009 by invoking the extended period of limitation for the period 2004-05 to 2007-08. The matter was adjudicated and the credit availed by the appellant was denied. Against the said order, the appellant is before us. 3. Ld. Counsel for the appellant submits that for availment of Cenvat credit on towers and shelters, the demand pertaining to the extended period of limitation, is not sustainable. More....

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....on is not sustainable and no penalty is imposable on the appellant. 7. With regard to the availment of Cenvat credit on transportation of towers at site as input service, we find that similar issue has been dealt in the case of Vodafone Essar South Ltd. vs. CST, Chennai (supra) wherein this Tribunal has observed as under:- "12. On the second issue regarding eligibility of various credits on input services, we note that the main activity of which substantial credit has been availed by various appellants is with reference to erection and construction of telecommunication towers. The plea of the appellant is that these towers are basic essential requirements for telecommunication service. As such, the service of erecting of such tower is es....

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....ench. Tribunal considering the issue from all angles held that CENVAT credit can be availed of service tax paid on services utilized for erection of towers. We do not find any reason to deviate from such a reasoned order. Accordingly, we hold that CENVAT credit availed of service tax paid on services utilized for erection of tower....." 13. The said ratio has been followed in BSNL Vs CCE Chandigarh - 2017 (47) STR 246 (Tri.-Chan.). Accordingly, following the ratio already laid down, we hold that input service credit on erection of telecommunication towers are eligible for the appellant." 8. As it is fact on record that the appellant is providing telecommunication service and for providing the service, the input service is used for erec....