Receipt of Modvat based on certificate issued by CE Range Supdt. - Modvat meeting held at Calcutta on 19-9-1990 Point No.28 - Instructions regarding - Central Excise - 10/91-CX.8

Receipt of Modvat based on certificate issued by CE Range Supdt. - Modvat meeting held at Calcutta on 19-9-1990 Point No.28 - Instructions regarding Circular No. 10/91-CX.8 Dated 20-2-1991 [From F. No. 263/13/91-CX.8] Government of India Central Board of Excise Customs New Delhi Subject : Receipt of Modvat based on certificate issued by CE Range Supdt. - Modvat meeting held at Calcutta on 19-9-1990 Point No.28 - Instructions regarding. Attention is invited to the minutes on Point No. 28 of the Modvat Meeting held at Calcutta on 19-9-1990 on the above subject. It has been brought to the notice of the Board that despite the application for subsidiary gate pass having been submitted in time, undue delay is caused by the Range Supdt. in granting the certificate. Credit is being denied in such cases on the ground that -the date of removal of goods is shown as being much before than the date and time of issue of the gate pass and since a subsidiary gate pass is supposed to accompany the goods, a certificate issued later cannot be said to have accompanied the goods and is therefore not valid. Thus an assessee is deprived of credit for no fault of his own. Attention is invited to instructions issued vide Board's Telex F.No. 204/7/86-CX6, dated 14-8-1986 whereby it has been directed that subsidiary gate passes should be issued by the Range Supdt. within 24 hours of the receipt of the application. Board has, therefore, desired that this time limit be strictly adhered to. In order to check the time taken by the Range Supdt. in certifying the gate pass, it has been decided to modify entry No. 2 of the certificate as follows:- (a) date and time of receipt of application. (b) date and time of removal of duty paid excisable materials, component parts. wherever the application for the gate pass has been made at least 24 hours in advance of removal of goods the Modvat credit should be allowed on the basis of such certificate even though it may have been issued later than the date and time of removal of goods shown on the certificate. Instances of delay in issuing the certificates within 24 hours from the receipt of the application should be brought to the notice of the concerned Collector by the Range Supdt. granting the credit so that the Collector, in turn, can take suitable remedial action in the matter to avoid such delays in future. But in no case, should credit be denied to the assessee on the ground that the date of removal of the goods and the date of certificate do not tally. Trade and field formations may please be advised suitably. Receipt of this letter may please be acknowledged.