Modvat scheme - Maintenance of RG 23A accounts - regarding - Central Excise - B. 21/4/87-TRU

Modvat scheme - Maintenance of RG 23A accounts - regarding F. No. B. 21/4/87-TRU Dated 20-4-1987 Government of India Ministry of Finance (Department of Revenue) New Delhi Subject : Modvat scheme - Maintenance of RG 23A accounts - regarding The undersigned is directed to invite a reference to Ministry's letter F. No. B. 22/8/86-TRU (Pt.), dated the 21st May, wherein it was prescribed that whereas RG 23A, Part I register be maintained in a consolidated manner, the RG 23A Part II register should be maintained separately for each of the final products. 2. In the context of these instructions, various representations have been received from the Trade stating that it is extremely difficult to maintain the accounts each final productwise. The problem is more acute in the case of a manufacturer having a large number of final products which may be made out of same inputs. There are also cases where the same input goes into final products. It has been suggested that manufacturers should be permitted to maintain a consolidated RG 23A Part II register also. 3. The matter has been examined in the Ministry. Having seen to the difficulties expressed, it has been decided that a manufacturer may be allowed to maintain RG 23A Part II register Chapterwise. During the course of the month, the manufacturers utilise the Modvat credit (by debit) without indicating the details separately each final productwise. However, to ensure there is no misuse of the Modvat credit, the manufacturers would be required to submit a monthly statement along with the RT 12 separately for each final product, the details of input duty availed of. 4. Collectors may bring these instructions to the notice of the Trade and in case there are any doubts, difficulties, same may be brought to the notice of the Board promptly. 5. Receipt of this letter may please be acknowledged. 6. Hindi version of this letter will follow in due course.