Modvat credit on dealer invoices failed for want of proof of timely Central Excise registration; remand was refused.

Modvat credit was unavailable where the inputs were purchased from dealers whose Central Excise registration was not shown to be in force when credit was taken, because the scheme required reliance on specified duty-paying documents issued by duly registered dealers. The later amendment and Board circular did not assist the assessee absent proof that the dealers had obtained registration by the stipulated date. As no material established timely registration, the condition for credit was not met. Remand was unnecessary because adequate opportunity had already been given to substantiate the claim, so the disallowance of credit and rejection of remand were upheld.

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Issues: Whether Modvat Credit was admissible on inputs purchased from dealers who were not shown to be registered with the Central Excise Department when the credit was taken, and whether the matter required remand for verification of such registration.

Analysis: Modvat Credit was available only on the basis of specified duty-paying documents. The relevant scheme required invoices issued by dealers registered with the Central Excise Department, and the later amendment and Board circular permitted such invoices to be accepted only if the dealers had obtained registration by the stipulated date. The assessee did not place material on record to establish that the dealers were registered within the prescribed time. In the absence of proof of timely registration, the condition for availing credit was not satisfied. No further remand was warranted because adequate opportunity had already been given to establish the claim.

Conclusion: Modvat Credit was rightly disallowed, and the request for remand was rejected.

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