https://www.taxtmi.com/caselaws?id=52936 Modvat credit was admissible on duty-paid goods returned by customers for reprocessing where a valid declaration had been filed, the receipts were recorded in statutory registers, and the goods were re-used in manufacture before being cleared again on payment of duty. The Revenue did not dispute these factual records. Credit could not be denied merely because the goods had earlier been rejected by buyers or because the procedure under Rule 173H was not followed, since the returned goods formed part of the declared input stream and the reprocessing was duly established. The disallowance was therefore unsustainable. en-us Fri, 16 Apr 2004 00:00:00 +0530 Fri, 08 Oct 2010 16:04:52 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=52936 Modvat credit was admissible on duty-paid goods returned by customers for reprocessing where a valid declaration had been filed, the receipts were recorded in statutory registers, and the goods were re-used in manufacture before being cleared again on payment of duty. The Revenue did not dispute these factual records. Credit could not be denied merely because the goods had earlier been rejected by buyers or because the procedure under Rule 173H was not followed, since the returned goods formed part of the declared input stream and the reprocessing was duly established. The disallowance was therefore unsustainable. Case-Laws Central Excise Fri, 16 Apr 2004 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=52936