TMI Blog2018 (9) TMI 1630X X X X Extracts X X X X X X X X Extracts X X X X ..... e, which provides them an opportunity to rectify the defects. Since the intention being that the assessment proceedings are an outcome of dialogue and discussion, the Assessing Officer is entitled to clarify all issues by issuing notice to the assessee and calling upon them to produce documents and explain their books of accounts, etc. Unfortunately, in the instant case, such procedure was not adopted when the revised return was rejected at the very threshold, which, in our considered view, ought not to have been done. For the above reasons, on the peculiar facts and circumstances of the case, we find that the assessee had not been given an opportunity as contemplated under Sub-Section (9) of Section 139 of the Act and therefore, we dee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unal dated 04.5.2007. The appeal has been admitted on 17.9.2008 on the following substantial question of law : Whether, on the facts and circumstances of the case, the finding of the Tribunal is not perverse considering that the claim of loss of stock of time expired soft drinks and bad debts made in the revised return are within the parameters of Section 139(5) and also in view of the provisions of Section 143(2) of the Act 3. The short issue, which falls for consideration, is as to whether the revised return filed by the assessee for the assessment year in question could have been refused to be accepted for the reasons assigned by the Assessing Officer. 4. In the revised return, the assessee reduced the value of the closing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hus, the Assessing Officer proceeded to hold that as the condition stipulated namely debt to be written off during the relevant accounting year was not fulfilled, the claim for bad debt would not be admissible. 6. The appeal filed before the Commissioner of Income Tax (Appeal) [for brevity, the CIT (A)] also met with the same fate and the appeal was dismissed vide order dated 13.11.2001. Though the assessee filed an appeal before the Tribunal, the Tribunal concurred with the findings given by the Assessing Officer as well as the CIT (A) and dismissed the appeal vide order dated 04.5.2007. Challenging the order passed by the Tribunal, the assessee is before us. 7. On facts, it has to be seen as to whether the assessee was entitled to f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t is not rectified within the said period of fifteen days or as the case may be, the further period so allowed, then, notwithstanding anything contained in any other provision of this Act, the return shall be treated as an invalid return and the provisions of this Act shall apply as if the assessee had failed to furnish the return. The Proviso states that where the assessee rectifies the defect after the expiry of the said period of fifteen days or the further period allowed, but before the assessment is made, the Assessing Officer may condone the delay and treat the return as a valid return. 11. Thus, in our considered view, Sub-Section (9) of Section 139 of the Act is a beneficial provision to the assessee, which provides them an oppor ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
