No TCS exemption to contractors who purchased tendu leaves used by assessee for manufacture of bidis

INCOME TAX: Where contractors of tendu leaves, appointed by assessee-association were purchasing tendu leaves from State forest department and thereupon selling them to assessee after drying, sprinkling of water for maintaining requisite moisture, sorting out and screening of leaves, bundling it, etc., such activities of contractors were in nature of trading of leaves and not in nature of manufacturing and contractors were not eligible for exemption under section 206C(1)

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