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TMI Blog1985 (10) TMI 140X X X X Extracts X X X X X X X X Extracts X X X X ..... t, 1957? 2. Mr. B. K. Iyer, who appeared on behalf of the Department, submitted that he has no suggestions on the statement made earlier. Mr. L. C. Patni, the ld. counsel for the assessee on the other hand, submitted that the only issue with which the Department is concerned, is whether the firm is an industrial undertaking or not. This is based on the fact that according to Department there is hardly any machinery worth the name with the firm in which the assessee is a partner. He referred to the statement of case made out by the Department. In this connection where it has been stated that the assessee firm was getting the precious stones manufactured from Karigars and the firm did not own any machinery or plant. It is under these circum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons are carried out from outside labour. As held in the above mentioned Calcutta High Court case which has been accepted by the CBDT, it is not necessary that a manufacturer should own plant and machinery and should also carry out the job himself. This being a proposition accepted by the Board the reference is not at all necessary. He also referred to the Supreme Court decision in the case of CGT vs. Kusum Ben D. Mahadevia (1980) 14 CTR (SC) 366 : (1980) 122 ITR (SC)) 122 ITR (SC) for the proposition that where the questions are self-evident or are concluded by the decisions of the Supreme Court, the Tribunal is not bound to call upon the Tribunal to refer the question. He referred to the Supreme Court decisions in the case of DCM Ltd. AIR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ed out outside by use of Karigars or laboureRs. It is a fact that a precious stones manufacturer have that very little machinery. It has been observed in similar cases that the cutting and the sizing operations of the precious stones is done under the supervision of the ProprietoRs. The last operation which is the ProprietoRs. The last operation which is the polishing operation is got done from specialists who are outsiders and who carry out such jobs. 4. These facts, when compared to the publisher s case referred to above by the ld. counsel Mr. L. C. Patni as also the Board Circular No. 347., it becomes clear that the Board of Direct Taxes have accepted the fact that to be a manufacturer, it is not a necessary condition to own the plant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 6. The principle of State decisions, i.e., similar question identical situation already stands referred to the Hon ble High Court of Rajasthan for their valued opinion. In this connection the observation made by the their Lordships of the Supreme Court in the case of Distributors Baroda Pvt. Ltd. is a well observed principle which we respectfully and humbly accept and apply the same to the instant case. Their Lordships observed: "To perpetuate an error is no heroism. To rectify it is the compulsion of the judicial conscience A judge ought to be wise enough to know that he is falliable and therefore ready to learn, great Honest enough to discard all more pride of opinion follow truth whenever it may lead, and courage enough o acknowl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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