Supreme Court Rules on Telecom Tax Credits
The Supreme Court clarified that telecom companies can claim tax credits for mobile towers and Pre-Fabricated Buildings (PFBs), defining them as “inputs” or “capital goods.” This decision, arising from conflicting High Court rulings, employs a functional utility test to stress their importance in mobile communication. Rejecting the Revenue Department’s classification of these structures as immovable property, the ruling benefits telecom firms financially and operationally. With this landmark judgment, infrastructure investment in the telecom sector is expected to rise.
If you like this post, please share your feedback in the comments section below so that we will upload more posts like this.
