Modvat credit on capital goods cannot be denied solely for producing the original invoice instead of the duplicate copy.

Modvat credit on capital goods could not be denied merely because the assessee produced the original invoice instead of the duplicate copy. Rule 57G(2A) allowed credit on the original invoice where the duplicate had been lost in transit, subject to the Assistant Commissioner's satisfaction, and Rule 57T(3) required only an invoice, bill of entry or similar document evidencing duty payment. As the assessee produced the original invoice as supporting evidence, insistence on the duplicate copy was not an absolute condition and denial of credit was unsustainable.

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Issues: Whether Modvat credit on capital goods could be denied merely because the assessee produced the original invoice instead of the duplicate copy.

Analysis: Rule 57G(2A) permitted credit on the basis of the original invoice where the duplicate copy had been lost in transit, subject to the satisfaction of the Assistant Commissioner. Rule 57T(3), governing capital goods, required receipt of goods under cover of an invoice, bill of entry, or other specified document evidencing duty payment, and did not insist on production of the duplicate invoice as an absolute condition. Since the assessee had produced the original invoice as supporting evidence, the denial of credit on the ground of non-production of the duplicate copy was not sustainable.

Conclusion: The assessee was entitled to Modvat credit on the basis of the original invoice, and the denial of credit was set aside.

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