2015 (1) TMI 44

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..... s. 174, 175 and 186 of 2004 for the assessment years 1999-00, 2000-01 and 2001-2000, respectively. The facts briefly is that the applicant/revisionist is a dealer engaged in the business of purchase and sale of sweetmeats, namkins, liquid form of syrup and confectioneries. The applicant made purchases of synthetic soft drink concentrate syrup (hereinafter referred to as the syrup) from registered dealers inside State of U.P., by use of fountain machine, the said syrup was converted into liquid form by processing the syrup through carbon dioxide, which makes it consumable as soft drink. The applicant did not admit any tax liability on the said soft drink. The assessing authority proceeded to impose tax on the liquid (soft drink) obtained fr .....

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..... struing the word 'manufacture' in other statutes are not necessarily applicable when interpreting Section 2(e-1) of the UP Trade Tax Act. As stated above, the definition of 'manufacture' in Section 2(e-1) of the UP Trade Tax Act is very wide, which includes processing, treating or adapting any goods. Hence, in our opinion, the expression 'manufacture' covers within its sweep not only such activities which bring into existence a new commercial commodity different from the articles on which that activity was carried on, but also such activities which do not necessarily result in bringing into existence an article different from the articles on which such activity was carried on. For example, the activity of ornamenting .....

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..... les Tax Act, the definition itself is very widely worded. However, every change, which is mentioned in the definition of the word 'manufacturer' does not amounts into resulting in a manufacturing activity only and unless the new commodity emerges, which is commercially different and has a distinct name, character or use or identity." Having heard learned counsel for the parties, I am of the opinion that the decision rendered by the Tribunal is lawful. In the facts of the present case, there is processing, treating or adopting of the syrup and converting into soft drink after subjecting the syrup through carbon dioxide in a fountain machine. The commercial product is out come of a process to manufacture as defined in Section 2(e-1) .....

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