TMI Blog2019 (12) TMI 597X X X X Extracts X X X X X X X X Extracts X X X X ..... ement filed along with it. Hon ble Punjab and Haryana High Court in the case of Beco Engineering Co., Ltd., Vs. CIT [ 1984 (2) TMI 83 - PUNJAB AND HARYANA HIGH COURT] has held that in a case assessee files the revised return then it is to be taken into consideration for the purpose of making an assessment and the original return cannot be adverted. once the revised return has been filed by the assessee u/s 139(5) of the Act and the same has been accepted, then it is not open to the authorities to take into consideration the original return of income for determining the total income in the assessment proceedings. Set aside the order of AO and direct the AO to consider the total income declared by the assessee u/s 139(5) of the Act for de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ollowing grounds : 1. The learned CIT(A) erred in confirming the action of the A.O. in rejecting the total income of ₹ 5,50,4201- declared by the assessee as per the revised return filed u/s 139(5) and assessing he total income at ₹ 19,03,485/- as per the original return filed u/s 139(1) without appreciating that the said action was not justified on facts and in law 2. The learned CIT(A) erred in holding that the assessee had failed to substantiate the mistake committed by it while filing the original return which resulted into excess-declaration of total income and thereby holding that the revised return duly filed u/s 139(5) subsequently declaring lower income was only an afterthought and he ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sing the total income declaring therein. The reason for revising the return of income was stated to be considering the wrong figure of sales for computing of business profit. The assessee was asked to substantiate the revised sales figure, to which the assessee submitted the details and also produced sales bills of one month for random checking. Assessee also filed the revised service tax return filed by it with the appropriate authorities. The submissions of the assessee were not found acceptable to the AO. AO was of the view that assessee could not justify the revised return by adopting revised sales. He therefore rejected the sales figure disclosed by the assessee in the revised return of income and considering the return of income origi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e revised return u/s 139(5) of the Act is not correct. He submitted that once a valid return u/s 139(5) of the Act is filed by the assessee then the original return u/s 139(1) of the Act is substituted by the revised return and the original return filed u/s 139(1) of the Act gets obliterated for all the purposes under the Act. In such a situation, the AO cannot consider the original return of income during the course of assessment proceedings for determining the total income of the assessee. In support of his contention that when valid return is filed u/s 139(5) of the Act, the original return u/s 139(1) of the Act cannot be taken into account for making the assessment, he relied on the following decisions : a) CIT Vs. Manga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... also a fact that the revised return was duly processed u/s 143(1) of the Act. I find that Hon ble Karnataka High Court in the case of CIT Vs. Mangalore Chemicals and Fertilizers reported in [191 ITR 156 (Kar)] has held that once the original return is withdrawn or is substituted by filing a valid return, the only consequence is that the earlier return is effaced or obliterated for all purposes under the Act. I further find that Hon ble Gujarat High Court in the case of CIT Vs. Arun Textile [192 ITR 700 (Guj)] has held that once the revised return is filed u/s 139(5) of the Act, the original return is substituted by the revised return and it is not open to the AO to advert to the original return of income or the statement filed along with i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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