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TMI Blog2000 (1) TMI 85X X X X Extracts X X X X X X X X Extracts X X X X ..... he final products. This logic is incorrect. If the final product cannot be manufactured except by the use of machinery, and the lubricating oil is essential to keep the machinery in working order, it would follow that the oil is used in or in relation to the manufacture of the final product. A series of decisions of this Tribunal cited by the Advocate for the appellant, its latest being CCE, Calcutta v. Black Diamond Beverages Ltd., 1999 (32) RLT 375, have held that lubricating oil has to be considered as an eligible input on the reasoning we have followed. Polybutene Seal Oil : 4. It was explained by the Advocate for the appellant that this oil circulated in the reactor where the chemical transformation takes place in the polybutene p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tes as a filtering medium. Dismissal of the claim by the Commissioner (Appeals), on the ground that the input is used for preparation of spin packs in spinning section and does not play any part in the manufacture of the final product, cannot be sustained, in the light of the explanation. If filtration is necessary in order for the filament to be extorted from the spinnerettes, and for that purpose alloy steel powder is to be employed, it would not be correct to say that it does not play any role in the manufacture of the final product. This is therefore to be considered as an input. Polypropylene/homopolymer powder : 8. This polypropylene powder which was explained as being used to charge the reactor before the processing starts, and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... c would have to be applied, and the goods held to be inputs. Helium Gas : 11. This gas was explained to the Commissioner as being used to test the level of vacuum. The Commissioner has denied not as an input for the reason that it does not play any part in the final product. It appears that the facts have not been very clearly explained to him and he came to the conclusion that it used to maintain the level of vacuum in the air separation unit. If the helium gas is used, as is stated before us to ensure that the sample being tested is not contaminated and if such testing is required as seems reasonable to carry out technical processes of the kind and level require for manufacture, it would follow that without the use of the helium gas ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eactor. The further explanation offered before us that they also help to break up the falcity of ethylene as it is fed into the chamber so as to ensure greater miscibility between the various products involved, does not alter this fact. 14. The question is whether because they so did, they are to be considered to be machine, machinery, plant, equipment, apparatus or tools. The Commissioner (Appeals), after describing the goods as equipment goes into considerable details which would indicate that this he considered it to be a plant. He has quoted extensively from the Income Tax judgment to show that the term 'plant' used in the Income Tax Act has a very wide meaning. The decision of the successor Commissioner (Appeals) holding the goods t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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