TaxTMI 
TaxTMI 
1991 (8) TMI 3
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....e appellant laid claim to such benefits by contending that it came within the meaning of "industrial company". The question that was referred by the Income-tax Appellate Tribunal to the High Court was : "Whether, on the facts and in the circumstances of the case, the assessee-company running a cold storage could be held to be an industrial company for purposes of section 2(7)(c) of the Finance Act, 1973, and the First Schedule thereto ?" The Income-tax Officer had not accepted the claim of the appellant but the Appellate Assistant Commissioner conceded the claim and directed remission of the proceedings to the Income-tax Officer for recomputation of the tax by treating the appellant as an "industrial company". The Tribunal accepted the ap....
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....e goods or materials'." The Division Bench of the Calcutta High Court looked for the meaning in the Oxford Dictionary, Webster's New International Dictionary, Words and Phrases Legally Defined, Volume 4, and in Encyclopaedia Britannica, Volume 9. The High Court was impressed by the statement in Encyclopaedia Britannica, Volume 9, pp. 543, 545, where it was said (p. 71 of 126 ITR): "The only method by which fresh foods may be preserved for considerable period in the raw state is by subjecting them to as low temperature as possible without causing damage by freezing. Storage at temperature above freezing, in the neighbourhood of 350 F/20 C is known as cold storage. Storage at such temperature makes possible the holding in good condition of m....
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....7 STC 124 to find out the true meaning of the two words "manufacture" and "processing". After discussing some precedents, this court observed thus (at p. 131): "What is necessary in order to characterise an operation as 'processing' is that the commodity must, as a result of the operation, experience some change. Here, in the present case, diverse quantities of ore possessing different chemical and physical compositions are blended together to produce ore of the requisite chemical and physical compositions demanded by the foreign purchaser and obviously as a result of this blending, the quantities of ore mixed together in the course of loading through the mechanical ore handling plant experience change in their respective chemical and phys....
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....lcutta. The other cases that have been cited in the Calcutta judgment or at the Bar are cases not relating to the meaning or ambit of the relevant expression in the definition of section 2 (7) (c) of the Finance Act, 1973: We have already noted that processing is a term of wide amplitude and has various aspects and meanings. In common parlance, "processing" is understood as an action which brings forth some change or alteration of the goods or material which is subjected to the act of processing. The dictionary meaning of the term is not very different from this meaning in one sense, while various other meanings of wider amplitude are also available. The view taken by the Allahabad and Calcutta High Courts did not find favour with the thr....