COMMISSIONER OF WEALTH TAX Vs. VIMAL CHAND DAGA HUF

JUDGEMENT

(1.) THIS order shall dispose of Wealth-tax References Nos. 66 of 1981, 110 of 1984, 111 of 1984, 117 of 1984, 118 of 1984, 6 of 1985, 14 of 1985, 57 of 1985, 60 of 1985, 65 of 1985, 83 of 1986, 84 of 1986 and 75 of 1986, all of which are similar matters involving the same point for decision.

(2.) THIS reference under Section 27(1) of the Wealth-tax Act, 1957, is at the instance of the Commissioner of Wealth-tax, Jaipur, to decide the following question of law, namely :

(3.) IN reply, learned counsel for the assessee strenuously urged that the benefit of this provision was rightly given to the assessee. He argued that the skilled labourers through whom the work was got done by these firms were piece-rated workmen of these firms and the jural relationship of employer and employee existed between the firms and these skilled labourers. He argued that the conditions necessary to make them "industrial undertakings" are present and at least a part of the manufacture or processing of goods if not the entire activity was done by the firms themselves in their own premises in addition to the work which was got done through skilled labourers. On this basis, it was contended'that even if the work which was got done through the skilled labourers was treated as a part of the manufacture or processing of goods by an outside agency, the remaining part of the manufacture or processing of goods done in the premises of the firms directly was sufficient to attract this provision in order to entitle the assessee to this benefit. The findings of fact recorded by the Tribunal in all the connected matters is similar and, therefore, our decision in all of them is the same.