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original return for the purpose of allowing depreciation which can be expressly withdrawn by filing the revised return. This view has been approved by Hon'ble Supreme Court in the case of CIT Vs. Mahendra Mills, 243 ITR 56. Hon'ble Supreme Court held that if the revised return is valid return and the assessee has withdrawn the claim of depreciation it cannot be granted relying on the original return as assessment is based on revised return. Hon'ble Allahabad High Court in the case of Niranjan Vs. CIT, 134 ITR 352 has considered whether a revised return which has been filed under section 139(5) itself can be revised or not. Hon'ble Allahabad High Court held that a revised return may be furnished at any time before the assessment is made by person who has furnished the return under section 139(1). Once a revised return has been filed under section 139(5), the original return is substituted by the revised return. The return filed under section 139(5) being a voluntary return is of the nature of a return under section 139(1), therefore, a second revised return can be filed under section 139(5) correcting omission and wrong statement made in the first revised return, for the first revised return filed under section 139(5), in law be a return under section 139(1) also.
xxxxx From the aforesaid ruling of Hon'ble Supreme Court, it can be held that where the assessee is required to exercise an option before a particular date and thus such op9tion is exercised in the original return, yet if the assessee files a valid revised return, the option cannot be said to have been exercised and he will have right to change his option by filing a fresh and revised return before the assessment is made for that year. In view of this, it can be held that the option exercised by the assessee in respect of claim on depreciation on SLM method gets substituted by the option of claim of depreciation as per WDV method. Accordingly, the Assessing Officer is directed to allow the depreciation on the basis of revised claim made in the revised return."