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TMI Blog1962 (3) TMI 120X X X X Extracts X X X X X X X X Extracts X X X X ..... ous times. In their invoice they described the machines as "Reconditioned Jackstone Junior Frosters Mark II". Later they wrote to the assessee : "We confirm that the two 'Jackstone' Junior Mark II Frosters which you purchased from us in June, 1954, were completely stripped and reassembled to incorporate the latest modifications and were covered by our twelve months' guarantee as in the case of new Frosters." In answer to an enquiry by the Income-tax Officer they said : "The two 'Jackstone' Junior Frosters purchased by the above from us in June, 1954, were completely stripped, worn parts renewed and the latest modifications incorporated before being shipped to our customers. It is confirmed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e noticed from the various statements made by the suppliers themselves, that they were not prepared to call the machines new machines. In fact what they said implied the contrary. The machines were virtually as new. In their opinion the machines were in new condition. They gave a guarantee as in the case of new machines. This was as far as they would go and we should think that, if the suppliers had sold these reconditioned machines as new machines, the assessee would have been the first person to complain. We are not saying that, because the suppliers did not call the machines new machines, they cannot be new within the meaning of the statute but the statements of the suppliers are certainly some indication of what is understood by the wor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nes were taken into parts and were reassembled after replacing worn out parts and after incorporating the latest modifications. It is not as if the old machines were used only as raw material out of which entirely different machines were fashioned. Despite the dismantling, and the reassembly after renewal of worn out parts and the incorporation of modifications, the machines retained their identity and we think it would be doing violence to the language to call them new machines. They may be as good as new. The manufacturers might have had so much confidence in their proper working as to furnish a guarantee which they normally furnish only for new machines. Yet they are not new and are at best only reconditioned machines. As we have said be ..... X X X X Extracts X X X X X X X X Extracts X X X X
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