Delhi HC in the case of M/s Bharti Airtel Limited Versus Union of India

Case Covered:

M/s Bharti Airtel Limited

Versus

Union of India

Facts of the case:

The petition has been listed before this Bench by the Registry in view of the urgency expressed therein. The same has been heard by way of video conferencing.
 
The present writ petition has been filed challenging the inquiry letter dated 29th July, 2019 issued by respondent no.3 and subsequent proceedings thereunder, as also the legality of Explanation to Section 17(5)(d) of the Central Goods and Services Tax Act, 2017 (for short “CGST Act”) to the extent it excludes ‘telecommunication towers’ from the meaning of the term ‘Plant and Machinery’. The petitioner further seeks to challenge Section 17(5)(d) of the CGST Act, to the extent it debars Input Tax Credit on the construction of Immovable Property.

Related Topic:
Delhi HC in the case of M/s Bharti Airtel Limited Versus Union of India

Observations of the Court:

After an extensive hearing, this Court is not inclined to interfere with the inquiry letter dated 29th July 2019 as well as the proceedings initiated under the said letter. However, this Court shall examine the legality and validity of Explanation to Section 17(5)(d) of the CGST Act along with similar writ petitions, i.e. Riveria Commercial Developers v. UOI W.P.(C) 11633 of 2019, Bamboo Hotel & Global Centre (Delhi) Pvt Ltd v. UOI W.P.(C) 5457 of 2019 and Delhi International Airport Ltd v. UOI and others W.P.(C) 4683 of 2020. It is clarified that there is no stay of the letter dated 29th July 2019.

Order of the Court:

Issue notice. 
 
Mr.Ravi Prakash, Advocate accepts notice on behalf of respondent no.1, Mr.Harpreet Popli, Advocate accepts notice on behalf of respondent no.2 and Mr.Harpreet Singh, Advocate accepts notice on behalf of respondent nos.3 & 4. They pray for and are permitted to file their counter-affidavits within a period of four weeks. Rejoinder-affidavits, if any, be filed before the next date of hearing. 
 
List on 20th November 2020. 
 
The order is uploaded on the website forthwith. Copy of the order is also forwarded to the learned counsel through e-mail.

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