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TMI Blog1980 (2) TMI 240X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee was a manufacturer and powdered items sold by it were not minerals and were taxable as unclassified items. Mineral is defined as a solid homogenous crystalline chemical element or compound that results from inorganic process of nature and that has a crystalline structure or chemical composition or range of compositions. Emery occurs as mixture of mineral corundum magnesite and others. It is very hard and is used as abrasive. Dolomite contains calcium and magnesium metals in the form of carbonates. Alumina is an oxide of aluminium metal found in earth along with silica. In fact the Commissioner did not dispute that these items were minerals. The question is whether these minerals obtained from earth continue to be so even after ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t sense including in its fold all varieties of minerals. Reliance was also placed on Porritts & Spencer (Asia) Ltd. v. State of Haryana[1978] 42 S.T.C. 433 (S.C.)., where the expression "all varieties of textiles" was extended by the Supreme Court to cover even dryer felts. The learned counsel placed ISI specifications, which, according to him, have been approved as standard even by the Supreme Court in Union of India v. Delhi Cloth and General Mills Co. Ltd.A.I.R. 1963 S.C. 791. and urged that powdered ore is described as non-ferrous metal in ISI; therefore, on the same analogy, powdered mineral should be understood as mineral. For purposes of taxability under the Sales Tax Act what has to be seen is whether a new commercial commodity was ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o section 2 by U.P. Act No. 38 of 1975 with retrospective effect from 13th October, 1972, defines manufacture to mean even processing or treating. According to him, as items in dispute were crushed and processed to make them marketable, it amounted to manufacture and, therefore, a new commercial commodity shall be deemed to have come into being. The argument is correct only to the extent that even processing amounts to manufacture. But if by processing no new commercial commodity has been produced it is doubtful if it can be treated as separate item for taxability. Manufacture means to produce, to bring out something. If nothing has been produced, no new thing has been brought out, then an item cannot be said to have been manufactured. It w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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