Modvat credit cannot be denied on a technical mismatch when gate passes match the declaration and similar documents were earlier accepted.

Modvat credit could not be denied where the gate pass description of inputs matched the declaration filed under Rule 57G and the department had earlier accepted similar documents. The matching descriptions showed compliance with the declaration requirement, and prior acceptance of comparable documents supported the assessee's claim that there was no material discrepancy. On those facts, the technical objection as to description failed, and credit was allowed to the assessee.

---

---

Issues: Whether Modvat credit was admissible where the description of inputs in the gate passes matched the description in the declaration filed under Rule 57G and the department had earlier accepted similar documents.

Analysis: The description of the inputs in the gate passes and in the declaration was found to be the same. The allowance of Modvat credit on similar documents in earlier periods, without departmental objection, supported the assessee's claim that there was no discrepancy warranting denial of credit. In these circumstances, the requirement under Rule 57G was treated as satisfied.

Conclusion: Modvat credit could not be denied on the facts, and the issue was decided in favour of the assessee.

Ratio Decidendi: Where the documentary description of inputs is consistent with the declaration and the credit has been accepted on similar documents, Modvat credit cannot be denied merely on a technical objection as to description.

---