9911796707
TMI Blog1972 (9) TMI 114X X X X Extracts X X X X X X X X Extracts X X X X ..... les, 1941. In respect of the assessment made on the petitioner for the 4 quarters ending 31st December, 1955, the Board of Revenue decided that the tubewells and pumps are "plant" and "machinery" intended !or use in the actual process of manufacture of paper and pulp and the petitioner's claim for exemption under section 5(2)(a)(ii) was allowed. For the assessment for four quarters ending 31st December, 1963, the petitioner submitted return showing Rs. 29,66,666.86 as the gross turnover and claimed Rs. 3,76,510.29 as the turnover exempted from tax under section 5(2)(a)(ii) of the Act. Out of the said amount of Rs. 3,76,510.29, a sum of Rs. 59,193.18 was claimed as also exempt as labour charges. The petitioner claimed exemption under section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to exemption. Mr. Chowdhury contended that water is also essential ingredient for manufacture of goods other than paper and pulp. Water is certainly an essential ingredient for the purpose of manufacturing plastic machinery, tyres, tubes, etc., and if, the tube-wells and pumps are required and used for the purpose of manufacturing the goods, the petitioner is entitled to the exemption. Mr. Sen Gupta, on behalf of the respondents, however, contended that water is not an essential ingredient for the said manufacture and tube-well is not a machinery within the meaning of the Act. For the purpose of exemption under section 5(2)(a)(ii), Mr. Chowdhury relied upon the cases reported in The Mining and Chemical Industries v. Commissioner of Sales T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... panies, namely, Indian Iron and Steel Co. Ltd., Indian Standard Wagon Co. Ltd. and Hooghly Docking and Engineering Co. Ltd., and wanted exemption under section 5(2)(a)(ii) of the Act, which having been disallowed by the Commercial Tax Officer, challenged the order, which ultimately went up to the Supreme Court. The Supreme Court held as follows: "We have now to find out what exactly is the meaning of the expression 'for use by him in the manufacture of goods for sale'. Identical words are used in section 8(b) of the Central Sales Tax Act, 1956. This court was called upon to find out the scope of that expression in J.K. Cotton Spinning Weaving Mills Co. Ltd. v. Sales Tax Officer, Kanpur[1965] 16 S.T.C. 563 (S.C.) [1965] 1 S.C.R. 900. Dea ..... X X X X Extracts X X X X X X X X Extracts X X X X
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