TaxTMI 
TaxTMI 
2013 (7) TMI 286
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....earned on manufacturing of Engineered Floor Board at industrial unit at Silvasa on the facts and circumstances of the case and in law. 2. The learned Hon'ble CIT (A) erred in concluding that no manufacturing activity is carried out by the appellant on the facts and circumstances of the case and in law. 3. The learned Hon'ble CIT (A) erred in not appreciating the fact that Engineered Floor Board is separate, distinct and identifiable new commercial product different from its raw material wood log on the facts and circumstances of the case and in law. 2. The solitary issue is with regard to the denial of deduction under section 80IB of Rs. 12,08,700/-. 3. The facts are that the assessee is in the business....
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....gs. Therefore, the Engineered Floor Board is new and distinct product having separate identity and commercially recognized. Such floor boards are used for making wooden sports flooring at the site. Therefore, such activity is a manufacturing activities. It is further, argued that the principal raw material is timber, in the form of logs or slabs which are cut to proper size to smaller slices and thereafter sent for seasoning to have minimum moisture contents. Thereafter framing of timber slice is done from 4 sides at site planner machine and thereafter such timber slices are again machined to a special tongue and groove designed with random length from 1 ft to 3 ft and width from 65 mm. Such tongue and groove timber strips are joined by usi....
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....aphics Creations (P) Ltd. & Anr. 197 CTR 668; Rajasthan High Court in Arihant Tiles & Marbles (P) Ltd. Vs. ITO 211 CTR 169:295 ITR 148; Karnataka High Court in CIT Vs. Mysore Minerals Ltd. 166 CTR 142 : 250 ITR 725; Karnataka High Court in CIT Vs. Darshak Ltd. 165 CTR (Kar) 17: 247 ITR 489; Hon'ble Mumbai Tribunal in Aakash Stone Industries Ltd. Vs. ACIT 106 TTJ (Mumbai) 128; Hon'ble Ahmedabad Tribunal (TM) in ACIT Vs. National Lamination Industries 111 TTJ 754; Hon'ble Bangalore Tribunal in Print Point Vs. ACIT 2 SOT 520 (Bang); Hon'ble Punjab & Haryana High Court in CIT Vs. Anand Affiliates 221 CTR 167 and has argued that case laws relied upon by the Ld. Assessing Officer are not relevant to the issue as Appellant manufactures different t....
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.... of wood. In fact, there is no production of new and distinct objector article having different chemical composition, therefore the decision of Hon'ble High Court in the case of Lucky Matemat Pvt. Ltd Vs. CIT 162 CTR 404 (SC) and CIT Vs. Gems Manufacturing (I) Ltd 172 CTR 615 (SC) are nor out of context but supports the finding of the Assessing Officer. Because of the above facts narrated briefly, the case laws cited and relied upon by the Ld. AR are not relevant to the present context and facts of the case. As there is no different product, distinct product or a commercially new product than slab of wood which is with some process cut into size affixes with the help of adhesive, nail and wood pin to make the main product smooth and accordi....
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....f the Assessing Officer is approved and disallowance of claim of deduction under section 80IB to the extent of Rs. 6,33,260/- is upheld". Thus, the CIT(A), sustained the order of the AO, rejecting the claim of the assessee. 7. Aggrieved, the assessee is now before the ITAT. 8. Before us, the assessee reiterated its submissions made before the revenue authorities and also produced for our examination the wooden plank purchased by it and the final product, as manufactured by the assessee. From the submissions, photographs and from actual examination of the raw material and final product, we are of view that raw plank cannot be used and marketed by the assessee for the purpose it has set up its manufacturing unit. The reasoning given ....