03 August 2015
Dear Nikhil, the time of 120 days are in advisory nature not a statutarily nature.
And if it is statutory nature then please quote the section or rule that prescribe after 120 days from the date of filling of return of income will considered invalid...
03 August 2015
I will refer you to circular 3 of 2009.
'However, if the assessee does not use a digital signature for electronically transmitting the data, he is required to follow-up the electronic transmission of the data by submitting the Form ITR-V with the Income-tax Department as verification of the electronic filing of the return. In such a case, the date of transmitting the data electronically will be the date of furnishing the return if the Form ITR-V is furnished within thirty days after the date of transmitting the data electronically. In case, Form ITR-V, is furnished after the above mentioned period, it will be deemed that the return in respect of which the Form ITR-V has been filed was never furnished and it shall be incumbent on the assessee to electronically re-transmit the data and follow it up by submitting the new Form ITR-V within thirty days."
Though the thirty days have now become 120 days, I dont remember any circular which has removed the above provisions for deeming return as not filed. You may also refer circular 4 of 2014 to appreciate this position
03 August 2015
Dear Nikhil, thanks for information... But you need to refer ruling of Bombay High Court in case of Crawford Baylew & Company (2011) on same issue....
03 August 2015
that judgment didn't set aside the circular. it merely gave the assessee a week's time to correct the defect and for income-tax department to accept such correction. Now one may be correct that where ITRV is not submitted within 120 days, 139(9) should be issued.
But then you can choose between filing a revised return or going for litigation to get a 139(9) notice, whatever suits you. I would never advise a client to choose for litigation when a mere refiling and bearing Rs 40 for a speed-post can suffice the purpose.
03 August 2015
Thanks, now you need to ask from Sahil is there any notice issued under 139(9) ?
You don't need to do anything untill any notice issued under section 139(9). Further when AO willing to treat original return as void he need to initimate his action to Assessee....
03 August 2015
actually you dont need to ask anything. Once the 120 days pass, income-tax department wont process the return. So your advise will hold good if it is a no-refund case...
in case of refund you will get stuck. and again there will be a same question...will you go for litigation or a mere revised return.
legally a defective return will remain defective only. With regards to intimation for treating return void, the circular makes it amply clear that return will be considered void if ITR-V is not submitted in time. I am not saying 139(9) should not be issued. I am just saying there is one thing called a law...and another thing called practice...the practice should work in a manner that it works for all cases...waiting for income-tax department to issue 139(9) wont help if you have refunds..it wont help if you wish to apply for loan since the Bank would check if the ITRV was received at CPC in time or not!
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