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2011 (12) TMI 714 - AT - Income TaxFiling of Return u/s 153A beyond the period of limitation - The assessee had claimed interest expenditure of loan in the returns filed u/s. 153A which was not claimed in the returns of income filed u/s. 139(1) - Increase in loss was not carry-forward as response to notice u/s 153A was beyond time limit HELD THAT:- As laid down by the Mumbai Bench of the Tribunal THE DY. COMMISSIONER OF INCOME-TAX CENTRAL CIRCLE 6 MUMBAI. VERSUS M/S. EVERSMILE CONSTRUCTION CO. PVT. LTD. [2011 (8) TMI 495 - ITAT MUMBAI], If any deduction is claimed by the assessee in the proceedings u/s 153A that cannot be rejected simply on the ground that it was not claimed in the original assessment or was disallowed. In the case of SUJANI TEXTILES (P.) LTD. VERSUS ASSISTANT COMMISSIONER OF INCOME-TAX. [2003 (1) TMI 281 - ITAT MADRAS-B], it was held that, if the assessee has filed a loss return u/s. 139(3) within the period provided under the Act and if the assessee has filed a revised loss return under Sub-section (5) thereof again within the prescribed time limit, the A.O is bound to take cognizance of the revised return because the original return is replaced by the revised return, undisputedly, the assessment u/s. 153A r.w.s. 143(3) of the Act has been framed on the basis of return filed in response to notice issue u/s. 153A of the Act. Hence, now it is not open to raise contention by the revenue that return was filed beyond the prescribed time period mentioned in the notice issued u/s. 153A of the Act. The return of income filed in response to the notice u/s. 153A on the basis of which assessment in question has been framed thus has replaced the original return for determining the net income in the assessment u/s. 153A. Thus, in a sense, return filed in response to the notice issued u/s. 153A was a revised return and the assessment was re-assessment. For the purpose of levy of penalty u/s. 271(1)(c ), excess income in difference to the originally assessed income may be subject matter under the facts and circumstances of the case that the same was due to concealment of particulars of income or furnishing inaccurate particulars thereof, but for the purpose of assessment of net income, the return filed in response to notice u/s. 153A of the Act is the revised return superseding earlier return of income and the assessment based upon that original return of income. We, thus, following the ratio laid down by the Mumbai Bench of the Tribunal in the case of DCIT Vs. Eversmile Construction Pvt. Ltd., hold that the A.O was not justified in denying the claim of carry forward of loss in question in the A.Ys. under consideration - Decision in favour of Assessee.
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