REVISED RETURN – Section 139(5) of Income Tax Act

 This note pertains to the time limit available for revising an Income Tax Return (ITR) that has already been filed within the statutory time limit as specified under Section 139(1) of the Income Tax Act or within the time limit specified for belated return under Section 139(4) of the Act.

According to Section 139(5) of the Act, a person who has furnished a return under sub-section (1) or sub-section (4) and discovers any omission or wrong statement therein, may furnish a revised return before three months prior to the end of the relevant assessment year or before the completion of the assessment, whichever is earlier.

To file a revised return under Section 139(5) of the Act, two conditions must be satisfied. Firstly, an original return must have been filed within the time limits specified under Section 139(1) of the Act or a revised return must have been filed under Section 139(4) of the Act. Secondly, the assesse must have made an omission or a wrong statement in the return filed under Section 139(1) or Section 139(4) of the Act.

A revised return can be filed up to three months prior to the end of the assessment year or before the completion of the assessment, whichever is earlier. It is important to note that a revised return replaces the original return and if the assessment of income is not completed until the filing of the revised return, then the assessment will be done based on the revised return.

An assesse can also revise a revised return already filed when assessment is yet pending, and even a return of loss filed under Section 139(4) can be revised as per Section 139(5) of the Act.

For example, if an ITR for FY 21-22 (AY 22-23) for a company to which Tax Audit is applicable is filed within the due date (i.e., by 31st October 22), then the ITR can be revised by the company till 31st Dec 22 or till completion of assessment, whichever is earlier, as per Section 139(5) of the Act. On the other hand, if the ITR is not filed within the due date, but the assessment of income is not yet completed, the company can file a belated return under Section 139(4) of the Act till 31st Dec 22. If the company discovers an omission in the belated return filed, it can revise the belated return by filing a revised return under Section 139(5) of the Act, as long as the assessment is yet pending.