INCOME TAX OFFICER,UDAIPUR vs M/S ARIHANT TILES & MARBLES(P)LTD.

The Supreme Court determined that the conversion of marble blocks into polished slabs and tiles constitutes 'manufacture or production' under Section 80IA of the Income Tax Act, 1961. The Court emphasized that the processes involved, including sawing, polishing, and reinforcing, result in a new and distinct product, thus qualifying for tax benefits. The ruling affirmed the assessee's entitlement to deductions under the Income Tax Act for the assessment year 2001-2002, recognizing the broader interpretation of 'production' compared to 'manufacture'.