Activity of converting boulders into grit/stone chips/powder amounts to production and the assessee is entitled to a deduction under s 80-IB

CIT Vs Mallikarjun Geo resources Associates (Uttarakhand High Court)- The word “production” takes in all the by-products, intermediate products and residual products, which emerge in the course of manufacture of goods. It, accordingly, pronounced that even if the action of manufacturing may not produce new goods, but if the activity entails production of a by-product or intermediate produce or residual product, the same will be production. Applying the said test, the Honourable Supreme Court pronounced that excavation of marble blocks, squaring them up, sawing them for making slabs, fill...