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Claim of exemption under s. 5(i)(xxa) of the WT Act in respect of shareholdings in M/s Doyen Gases (P) Ltd. Analysis: The assessee claimed exemption under s. 5(i)(xxa) of the WT Act for shareholdings in M/s Doyen Gases (P) Ltd. The Tribunal considered the technical aspects of the matter and the definitions provided by various sources. The assessee's counsel argued that the gases manufactured were heavy chemicals, supported by references from technical books and dictionaries. The Departmental Representative contended that the gases produced were not heavy chemicals as per the relevant provisions. After thorough consideration, the Tribunal concluded that the shareholdings were in a concern producing heavy chemicals, as per the definitions and meanings provided by technical sources and dictionaries. The Tribunal found that the assessee's claim deserved to be allowed under s. 5(i)(xxa) of the WT Act. The dispute revolved around the investment of the assessee in equity shares of Doyen Gases (P) Ltd., a company manufacturing industrial and commercial gases. The lower authorities had denied the claim, stating that the company was established to manufacture inorganic heavy chemicals. The Tribunal analyzed the definitions of 'inorganic' and 'heavy chemicals' from literary books and technical sources. It was observed that nitrogen and oxygen were included in inorganic chemistry, and 'heavy chemicals' referred to chemicals produced on a large scale for industrial use. The Tribunal found that the gases manufactured by the company fell under the category of heavy chemicals, as supported by various references and annual reports. The Tribunal held that there was no ambiguity regarding the nature of the company's production, and since the gases were considered heavy chemicals, the assessee was entitled to exemption under s. 5(i)(xxa) of the WT Act. The Tribunal's decision was based on the determination that the gases manufactured by the company were indeed heavy chemicals, entitling the assessee to exemption under s. 5(i)(xxa) of the WT Act. The Tribunal rejected the arguments of the Departmental Representative and reversed the decisions of the lower authorities. The Tribunal emphasized that there was no ambiguity in the definition of 'heavy chemicals' and upheld the assessee's claim for exemption. As a result, the appeals were allowed in favor of the assessee.
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