TMI Blog1976 (12) TMI 58X X X X Extracts X X X X X X X X Extracts X X X X ..... al undertaking on its total income at the rate of 55 per cent. under Paragraph F of the First Schedule to the Finance Act, 1968 ? " The assessee is the printer and publisher of a fortnightly journal known as Sales Tax Cases. The printing of the journal was done in the press known as " S.T.C. Press " till it was sold on July 16, 1966, to a proprietary concern known as " Techniprint ". The assessee got the printing work done from the said proprietary concern. Under Paragraph F of the First Schedule to the Finance Act, 1968, the rates of income-tax in the case of companies are set out. The relevant provision runs as follows : " In the case of a company, other than the Life Insurance Corporation of India established under the Life Insuran ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . The Appellate Assistant Commissioner, therefore, submitted the report and thereafter the Appellate Tribunal disposed of the appeal finally. The Tribunal held that the assessee was entitled to the benefit of the rate of tax at 55 per cent. under Paragraph F of the First Schedule to the Finance Act, 1968. It is this order of the Tribunal which is challenged in the question that has been extracted already. At this stage, it is necessary to point out that the question as framed by the Tribunal does not bring down the real controversy. As pointed out already, the expression " industrial company " as defined by section 2(6)(d) of the Finance Act, 1968, refers to "manufacture" or " processing " of goods. In the question as framed, the express ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be considered is whether the folding and stitching of the printed sheets would come within the scope of " processing of goods ". The learned counsel for the revenue submitted that this is a case where there are actually no operations of manufacture conducted by the assessee-company. The printing having been done by a different concern, the question as to whether the assessee has been carrying on the business of manufacture would not arise on the facts here. However, the expression used in section 2(6)(d) is " manufacture or processing of goods ". Therefore, it is enough if the assessee, in order to get the benefit of this provision, is engaged in the " processing " of goods. The goods in the present case would be the parts or volumes of Sa ..... X X X X Extracts X X X X X X X X Extracts X X X X
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