NOT TO GO ONLY BY DICTIONARY MEANING
SUPREME COURT OF INDIA while deciding the Civil Appeal No. 786 of 2010 with C.A. Nos. 787-792 of 2010, on 20.01.10, in re: COMMISSIONER OF INCOME TAX, MUMBAI vs EMPTEE POLY-YARN PVT. LTD, observed as follows: -
QUOTE: Repeatedly this Court has recommended to the Deaprtment, be it under Excise Act, Customs Act or the Income Tax Act, to examine the process applicable to the product in question and not to go only by the dictionary meanings. This recommendation is not being followed over the years. Even when the assessee gives an opinion on a given process, the Department does not submit any counter opinion wherever such counter opinion is possible. PRIMA FACIE, however, in this case, we do not see possibility of any counter opinion to the opinion given by the Mumbai University, vide letter dated 10th July, 1999.
[for full text of the judgement please visit http://www.taxesinindia.com and click on the citation taxind_2010_sc_ca_786]
SUPREME COURT ORDERS
VENKATRAMAN RAGGHUPATHY, Web admin.
