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TMI Blog1975 (2) TMI 103X X X X Extracts X X X X X X X X Extracts X X X X ..... h June, 1960, came to the conclusion that in selling the said goods, viz., the said hand-blended oil, the respondent had not made a resale as defined in section 2(26) of the said Act and hence disallowed the claim of the respondent for deduction in respect of the amount realised from the said sales. The respondent appealed against this decision to the Assistant Commissioner of Sales Tax, who dismissed the appeal holding that the process of hand-blending changed the thickness or thinness of the oil as a result of which its value was changed and the said blending turned out a different article. Against this decision the respondent preferred a second appeal to the Sales Tax Tribunal. The Tribunal allowed the said appeal and came to the concl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1959, of the oils purchased?" The relevant part of sub-section (26) of section 2 of the said Act runs as follows: "'resale', for the purposes of sections 7, 8, 9, 10, 12 and 13, means a sale of purchased goods- (i) in the same form in which they were purchased, or (ii) without doing anything to them which amounts to, or results in, a manufacture.............." In the case before us, it has not been disputed that even after handblending the said oil retained its previous form, viz., the liquid state. The only contention of Mr. Andhyarujina, the learned counsel for the applicant, was that as a result of hand-blending the density of the said oil or lubricating oil was bound to be altered and, according to him, this alteration resulte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce as a result of the process of hand-blending applied by the respondent to the oil purchased by it. If such was the case of the department, it was for the department to prove it and it has failed to do so. In fact, it does not seem to have been contended at all by the department before the Tribunal that a different commercial commodity had come into existence as a result of the process of hand-blending applied to the goods in question by the respondent. The process of hand-blending applied by the respondent cannot, therefore, be said to amount to "manufacture" as contemplated under section 2(17) of the said Act, and the contention of Mr. Andhyarujina in this regard must be rejected. In the result, the question referred to us must be ans ..... X X X X Extracts X X X X X X X X Extracts X X X X
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