Cir. No.179/13/1996-CX, dt. 29/02/1996
- Document type
- Circular
- Reference no.
- C
- Dated
Modvat Availment
Attention of the Board has been invited to the difficulties faced by the manufacturers in availing the credit under rule 57G/57T where :-
(ii) Imported goods lying in customs dock area/bonded warehouse are diverted to manufacturing units in whose name Bill of Entry has not been filed.
(iii) domestic duty paid goods consigned to a manufacturing unit are diverted in whole or part from a duty paid go down of the manufacturer or such diversion is affected in transit.
3. It has been decided that credit should not be denied where the Bill of Entry is in the name of the registered office/head office provided that :-
(b) triplicate copy of Bill of Entry/duplicate copy .of the Bill of Entry generated on EDI system is endorsed by the registered office/head office to the effect that consignment covered by the Bill of Entry are delivered to the manufacturing unit for availing credit.
5. In cases where the imported goods are lying in the bonded warehouse from where diversion takes place either of entire consignment or part consignment, credit can be permitted provided ex-bond Bill of Entry is filed for such entire/part consignments and that a declarations is made on the reverse of the said ex- bond triplicate copy of the Bill of Entry/duplicate copy of the Bill of Entry generated on EDI system to the effect that consignments are delivered to a unit (name of the unit) for availing credit.
6. In all cases duty paying documents on the basis of which credit has been availed in aforesaid cases, should be submitted to the Range Superintendent for the necessary verification and defacing/endorsement,
7. In case of split consignments, and other type of cases not covered by the preceding paragraphs the inputs can be cleared on the payment of duty as envisaged under rule 57F/57S and on the basis of such duty paying documents credit can be availed.
8. Pending cases may be decided in the light of the above.
9. The above instructions may be brought to the notice of the field formations.
10. Trade interest may also be suitably informed.
11. The receipt of this Circular may please be acknowledged.
Sd/-
(I.P.Lal)
Deputy Secretary to the Government of India