https://www.taxtmi.com/caselaws?id=15433 A firm that merely supplied raw material to independent weavers and sold the finished cloth was not carrying on manufacture or processing itself for section 5(1)(xxxii) of the Wealth-tax Act, 1957. The benefit of the exemption was available only where the assessee itself conducted the manufacturing activity; here, the firm neither owned the manufacturing facility nor employed the weavers, and its role was limited to procuring materials and arranging production through others. The Court therefore held that outsourcing the work to independent persons did not amount to an industrial undertaking, and the question was answered against the assessee and in favour of the Revenue. en-us Thu, 01 Apr 1999 00:00:00 +0530 Thu, 06 Aug 2009 15:36:17 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=15433 A firm that merely supplied raw material to independent weavers and sold the finished cloth was not carrying on manufacture or processing itself for section 5(1)(xxxii) of the Wealth-tax Act, 1957. The benefit of the exemption was available only where the assessee itself conducted the manufacturing activity; here, the firm neither owned the manufacturing facility nor employed the weavers, and its role was limited to procuring materials and arranging production through others. The Court therefore held that outsourcing the work to independent persons did not amount to an industrial undertaking, and the question was answered against the assessee and in favour of the Revenue. Case-Laws Income Tax Thu, 01 Apr 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=15433