1979 (12) TMI 49

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....e Income-tax Appellate Tribunal, Allahabad Bench, Allahabad, has sought our opinion on the following two questions : " 1. Whether the Tribunal was justified in holding that the preparation of biris from tendu leaves and tobacco can be called manufacturing or processing of goods within the meaning of section 5(1)(xxxii) of the Wealthtax Act, 1957 ? " 2. If the answer to the above question is ....

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....al but the appeal failed. The method of manufacture of biris as found by the authorities is stated hereinafter. The firms purchased tendu leaves and tobacco. Both these commodities were then given to local contractors for getting biris manufactured. The labourers cut the useless portion of tendu leaves from all sides and then,cut the leaves to small pieces of required size. These pieces were th....

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.... any land or building or any rights in any land or building or any asset referred to in any other clause of this subsections forming part of an industrial undertaking belonging to the assessee. Explanation.--For the purposes of clause (xxxa), this clause (xxxii) and clause (xxxiv), the term 'industrial undertaking' means an undertaking engaged in the business of generation or distribution of el....

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....erent article must emerge having a distinctive name, character or use. " The process by which biris are made has already been noticed earlier. It is clear that from the tendu leaves and the tobacco, a new and different article, viz., biris, emerge as a result of various processes to which tendu leaves and the tobaccos were subjected. The firm was as such an industrial undertaking as contemplate....