Modvat meeting held at Calcutta on 19-9-1990 - Minutes on Point No regarding insistence on maintenance of accounts under Rule 57F(4) by units not opting for Modvat - Central Excise - 7/91-CX.8

Modvat meeting held at Calcutta on 19-9-1990 - Minutes on Point No regarding insistence on maintenance of accounts under Rule 57F(4) by units not opting for Modvat Circular No. 7/91-CX.8 Dated 18-2-1991 [From F. No. 263/17/91-CX.8] Government of India Central Board of Excise Customs New Delhi Subject : Modvat meeting held at Calcutta on 19-9-1990 - Minutes on Point No regarding insistence on maintenance of accounts under Rule 57F(4) by units not opting for Modvat. During 10th Modvat meeting held in Calcutta on 19th September, 1990 it has been brought to the notice of the Department that in certain Collectorates even assessees not availing of the Modvat Scheme are being required to follow the provisions of Rule 57F(4) and maintain full fledged records of production, despatches etc. in RG 1 form in respect of the scrap generated by them during the manufacturing activity. Board has observed that provisions of Rule 57F(4) would be applicable only to those unit which opt for Modvat and other units should not be asked to follow the requirements under Modvat Scheme. Records for purposes of scrap removed under Rule 57F(4) are required to be maintained only by those assessees who have opted for the Modvat Scheme. Units who are availing of the Modvat Scheme should not, therefore, be required to maintain such records as a routine. However, if need be the Collectors can ask such assessees to maintain such records as they consider necessary for accountal purposes. Trade and Field formations may be advised suitably. Receipt of this letter may please be acknowledged.