JUDGMENT

- Dr. Saraf B.P., J.:—

By this reference under section 61(1) of the Bombay Sales Tax Act, 1959 made at the instance of the revenue, the Maharashtra Sales Tax Tribunal has referred following question of law to this Court for opinion:

“Whether on the facts and circumstances of the case, the Tribunal was justified in law in holding that the activity of recording songs and programmes on blank cassette tape does not bring into existence a commercially different commodity and the activity did not amount to “manufacture” within the meaning of sub-section (17) of section 2 of the Bombay Sales Tax Act, 1959? ”

2. The assessee deals in cassette-tapes. On 25th August, 1978, he purchased 1050 pieces of C-60 (red) cassette-tapes at the rate of Rs. 10/- per piece from one M/s Teisco Electronics on payment of sales tax at the rate of 15 paise in a rupee. These cassettes were then given by the assessee to one M/s Oriental Melodies for recording songs and programmes for which a sum of Rs. 5/- per cassette was charged by the said concern. From these cassettes, 35 cassettes with the pre-recorded songs and programmes were sold to one M/s Bharat Electronics Corporation as per bill dated 18th Septe