IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION ORDINARY ORIGINAL CIVIL JURISDICTION ORDINARY ORIGINAL CIVIL JURISDICTION INCOME TAX APPEAL NO.55 OF 2007 INCOME TAX APPEAL NO.55 OF 2007 INCOME TAX APPEAL NO.55 OF 2007 AND AND AND INCOME TAX APPEAL NO.557 OF 2007 INCOME TAX APPEAL NO.557 OF 2007 INCOME TAX APPEAL NO.557 OF 2007 The Commissioner of Income Tax ..Appellant. V/s. M/s.Fourways International ..Respondent. Dr.A.S.Shivram for appellant. None present for respondent. CORAM : SMT.RANJANA DESAI AND CORAM : SMT.RANJANA DESAI AND CORAM : SMT.RANJANA DESAI AND J.P.DEVADHAR, JJ. J.P.DEVADHAR, JJ. J.P.DEVADHAR, JJ. DATED : 19TH JANUARY, 2009. DATED : 19TH JANUARY, 2009. DATED : 19TH JANUARY, 2009. P.C. :- P.C. :- P.C. :- 1. These appeals were admitted on the following substantial questions of law:- a) Whether in the facts and circumstances of the case and in law the Tribunal is right in holding that the activity of the respondent is the manufacturing activity and therefore deduction u/s. 80-IB is admissible ? b) Whether in the facts and circumstance of the case and in law the activity of cutting of jumbo tape rolls into smaller sizes is manufacturing activity or processing activity ? 2. It is not in dispute that the issue as to whether the activity of cutting jumbo tape rolls into smaller sizes amounts to manufacturing activity has been considered by the Supreme Court in the case of Kores India Ltd. V/s. Commissioner of Central Kores India Ltd. V/s. Commissioner of Central Kores India Ltd. V/s. Commissioner of Central Excise, Chennai Excise, Chennai Excise, Chennai reported in 2004 (174) E.L.T. 7 2004 (174) E.L.T. 7 2004 (174) E.L.T. 7 (S.C.) (S.C.) (S.C.). In this view of the matter, the above questions are answered in favour of the assessee and against the revenue. 3. Both the appeals are accordingly disposed of with no order as to costs. (SMT.RANJANA DESAI, J.) (SMT.RANJANA DESAI, J.) (SMT.RANJANA DESAI, J.) (J.P.DEVADHAR, J.) (J.P.DEVADHAR, J.) (J.P.DEVADHAR, J.)