CAN A RETURN BE REVISED AFTER INTIMATION U/S 143(1)

QUESTION:

From- CA Dipjyoti Majumdar

Dear Akshay,

One of our employee filed a physical ITR for AY 12-13, FY 11-12. He claimed donation to Child Rights and You (CRY) @ 100% under 80G. The AO has issued an intimation under 143(1) disallowing the full donation.

We have observed that donation to CRY is entitled to 50% deduction under 80G. So it was an excess claim made in the ITR.

In the case at hand, should the individual file a 154 application or file a revised ITR after paying 50% of demand. I believe a revised ITR can be filed within 31^st March 2014 even after an intimation under 143(1).

ANSWER:

Hi Dipjyoti Majumdar,

First of all I would like to thank you for regularly asking queries on our Blog, hope that you will do so in future as well.

Secondly, you are correct a return can be revised after intimation under section 143(1). Intimation under section 143(1) is not considered assessment as given in section 139(5):

If any person, having furnished a return under sub-section (1), or in pursuance of a notice issued under sub-section (1) of section 142, discovers any omission or any wrong statement therein, he may furnish a revised return at any time before the expiry of one year from the end of the relevant assessment year or before the completion of the assessment, whichever is earlier :..”

So you can file revise return upto 31st March, 2014. Just see that the return is not a Belated return. You can also go for rectification of return under section 154. 

Just pay the required tax and choose between any of the two medium.