TMI Blog1990 (1) TMI 24X X X X Extracts X X X X X X X X Extracts X X X X ..... this court by the Tribunal under section 256(1) of the Income-tax Act, 1961 : "(1) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in holding that the assessee was an industrial company within the meaning of section 2(7)(c) of the Finance Act, 1981 ? (2) Whether, on the facts and in the circumstances of the case, the Tribunal was justified in directing t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the basis of inputs prepared from various types of data. These are thereafter fed into the computer which, through a series of programmes, generates the desired output as per the instructions of the programmes on a high speed printing machine on a preassigned format. Not only that the results are thus printed, the computer also handles the input data through its various types of machines such as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o us, the decision of the learned Commissioner of Income-tax (Appeals) is entirely correct. The activity undertaken by the assessee is not only intellectual activity, based on mere speculation and the exercise of the brain, but in the undertaking of it, the assessee has to take the help of machines including computers and related electronic equipment. A process in which mechanical help is taken wo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be interpreted according to the dictionary meaning according to which, where commodity is subjected to a process or treatment with a view to its development or preparation for the market, as for example, by sorting and repacking fruits and vegetables, it would amount to processing of the commodity. The nature and extent of processing may vary from case to case ; in one case, the processing may be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on is concerned, since we hold that it is an industrial company within the meaning of section 2(7)(c) of the Finance Act, 1981, the assessee is entitled to get investment allowance in respect of the generator installed by it. In the circumstances, the questions of law referred are answered as follows : Question No. 1 is answered, in the affirmative and in favour of the assess. Question No. 2 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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