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TMI Blog1987 (3) TMI 489X X X X Extracts X X X X X X X X Extracts X X X X ..... f any materials. The contracts were all in the nature of works contracts. The assessing authority did not accept this argument. The claim accordingly was disallowed. The appellate authority disposed of the appeal, the assessee had filed against the order of the assessing authority, with a direction to re-examine the claim afresh. The department challenged the said order of the appellate authority before the Appellate Tribunal. The Appellate Tribunal, relying on a decision of the Supreme Court in Assistant Sales Tax Officer v. B.C. Kame [1977] 39 STC 237 held that in making the photo blocks and supplying them to the customers, there was no element of sale involved; the contracts essentially and undisputably were in the nature of works cont ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d for making the blocks. It cannot be disputed that for making the photo block, the block-maker should first take a photograph of the subject, develop it and also enlarge it to the corresponding size of the desired block. The block-maker thereafter has to engrave it on a zinc plate. To engrave it on a zinc plate some processing with the aid of chemicals is required. The zinc plate afterwards is affixed on to a hard wooden block. It can thus be seen that the labour and skill a block-maker should put in in making the blocks, are more than the labour and skill a photographer may put in to take a photograph. It is true that the value of the materials contained in the block and the price of the block are also relevant considerations though not c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 5.. With respect we agree with this decision of the Madhya Pradesh High Court. 6.. The learned Government Pleader, however, submits that the question whether a contract for preparation of blocks is a contract for skill and labour, has not been considered by the Appellate Tribunal in the right perspective. According to him necessary facts have not been found by the Appellate Tribunal. That the decision of the Appellate Tribunal is based on the ruling of the Supreme Court in Assistant Sales Tax Officer v. B.C. Kame [1977] 39 STC 237, relied on by the Madhya Pradesh High Court to come to the above conclusion, is beyond dispute. However, according to the learned counsel, the Tribunal has not considered all the relevant aspects to arrive a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... udi, etc., are sending photos to them and giving orders to them to take or engrave photo blocks from these photos for printing in their newspapers or periodicals. They are submitting that when a photo is brought, a block is engraven using their expertise or skill, as, otherwise, the photo or periodical (sic). According to them, it is not even like mere composing in a printing press, which work can be said to be mechanical even and requires more practice than skill, but for engraving photo blocks, it requires more skill, expertise and attention. It cannot be disputed that any one can take a photo with a camera but whether the photo is good or not will depend upon the training or expertise and skill of the photographer. Same is the position w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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