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of <h1>Modvat Credit Allowed on Caustic Soda and Sulfuric Acid for Sodium Sulfate Production u/r 37A Guidelines.</h1> The circular addresses the eligibility of Modvat credit for caustic soda and sulfuric acid used in producing sodium sulfate, a by-product in the manufacture of viscose staple fiber. It clarifies that under Rule 37A, Modvat credit is permissible for duty paid on these inputs, which can be used to offset the duty on sodium sulfate. The Central Board of Excise & Customs has examined the issue, confirming that both inputs and the by-product are covered under the relevant notification. Pending assessments should be finalized based on these guidelines, and relevant parties informed.
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