Modvat credit on supplementary invoices remains subject to the six-month document time bar under Rule 57G(2).

Modvat credit claimed on supplementary invoices under Rule 57E remained subject to the document and time-limit requirements of Rule 57G(2). Rule 57E operated only as an enabling provision for adjustment of credit when input duty changed later; it did not displace the requirement that credit be taken on prescribed duty-paying documents within six months of their issue. Because the credit was availed after that period, it was held to be time-barred and was rightly disallowed. The cited authorities were treated as inapplicable on the facts, and the later supplier certificate did not alter the result.

---

---

Issues: Whether Modvat credit taken on supplementary invoices under Rule 57E of the Central Excise Rules, 1944 was governed by the six-month restriction in Rule 57G(2) of the Central Excise Rules, 1944.

Analysis: Rule 57E operates as an enabling provision for adjustment of credit when the duty on inputs is varied subsequently, but it does not itself prescribe the document basis for availing such credit. For identifying the relevant documents, reference must be made to Rule 57G(2), which permits credit only on prescribed duty-paying documents and expressly bars credit being taken after six months from the date of issue of such documents. Since the appellants availed credit on supplementary invoices after more than six months from their dates, the credit fell within the statutory time bar. The cited authorities were held not applicable on the facts, and the later certificate issued at the supplier's end was not relied upon by the appellants for taking the credit.

Conclusion: The time-limit under Rule 57G(2) applied to the credit claimed under Rule 57E, and the credit was rightly disallowed; the issue is decided against the assessee and in favour of the Revenue.

Ratio Decidendi: Where Modvat credit under Rule 57E is claimed on the strength of duty-paying documents, the credit must satisfy the document and time-limit requirements of Rule 57G(2), including the six-month bar.

---