9911796707
TMI Blog2002 (12) TMI 59X X X X Extracts X X X X X X X X Extracts X X X X ..... as not entitled to the benefit of carry forward of loss for the assessment year 1986-87. The assessee challenged the order of the Assessing Officer denying the benefit of carry forward of loss by filing appeal before the Commissioner of Income-tax (Appeals), Madurai. The Commissioner of Income-tax (Appeals) held that there was no delay in filing the return by the assessee and the return filed was within the time prescribed under the Act. He, therefore, held that the assessee was entitled to the benefit of carry forward of loss, particularly, the depreciation loss. He was of the view that the order passed by the Assessing Officer was really passed under section 143(3) of the Act and, accordingly, he held that the appeal was maintainable. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... submission of Mrs. Pushya Sitharaman, learned senior standing counsel, is that a contention was raised before the Appellate Tribunal that the assessee has not sought for extension of time for filing the return and, there fore, the entire order of the Appellate Tribunal proceeds on the assumption that the assessee has actually applied for the extension of time for filing the return of income. We are unable to accept the submission of learned senior standing counsel for the Revenue as the Appellate Tribunal has found as a matter of fact and recorded the finding that "it is not disputed that the assessee has applied for extension of time and the return was therefore a valid return filed within the time allowed". The Revenue has not challenged ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ct been granted. In Karain Singh v. CIT [1977] 110 ITR 726 (P & H); Sunderdas Thackersay and Bros. v. CIT [1982] 137 ITR 646 (Cal) and Harmanjit Trust v. CIT [1984] 148 ITR 214, the Punjab and Haryana High Court as well as the Calcutta High Court has taken the view that the application for extension of time can be made even after the expiry of the prescribed date and once the application has been preferred, a duty is cast on the Income-tax Officer to intimate to the assessee whether his request for extension of time for furnishing the return had been granted or refused. The courts have also taken the view that if there is no reply within a reasonable time from the Income-tax Officer, the assessee could presume that his request for extension ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee to presume that the time sought for had been granted by the Assessing Officer. Under the circumstances, we hold that the Appellate Tribunal was correct in holding that the time sought for by the assessee had been granted and, therefore, the return filed on November 6, 1986, is within the time limit prescribed under the Act. Moreover, the Central Board of Direct Taxes (the "CBDT") has considered the difficulties that were faced by the assessees in filing loss return for the assessment year 1986-87 and the Central Board of Direct Taxes has issued a circular dated September 23, 1986, saying that if a return of loss was filed by the assessee for the assessment year 1986-87 or earlier years within the prescribed period as per the existin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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