Section 139(3) of the Income Tax Act

Income-tax Act, 2025: s.263

Section 139(3) falls under section 139 of the Income-tax Act, 1961, which corresponds to section 263 (Return of income) of the Income-tax Act, 2025.

Read section 263 of the 2025 Act

Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.

The decision most relied on for Section 139(3) is Rayala Corporation (P.) Ltd. v. Assistant Commissioner of Income-tax (72 Taxmann.com 149), cited in 22 of the 118 judgments on BharatTax that turn on this section.

Leading authorities on Section 139(3)

Rayala Corporation (P.) Ltd. v. Assistant Commissioner of Income-tax
72 Taxmann.com 149 · 2016 · Supreme Court
22
citing judgments

Income derived from renting out property by a company whose business, as per its Memorandum of Association, is commercial exploitation of property is to be treated as business income, even if it is in the nature of rent.

Similarly, in CIT v. Whirlpool of India Ltd.
318 ITR 347 · 2009 · High Court
17
citing judgments

Whether a business is considered 'setup' depends on the specific facts of each case, considering whether the business involves manufacturing or providing services, and the nature of those services.

CIT v. Aggarwal Engineering Co.
156 Taxmann 40 · 2006 · High Court
11
citing judgments
National Co-operative Development Corporation v. Commissioner of Income Tax
427 ITR 288 · 2020 · Supreme Court
9
citing judgments
CIT v. Capital Electronics
261 ITR 4 · 2003 · High Court
8
citing judgments
CIT v. Hughes Escorts Communications
165 Taxmann 318 · 2007 · High Court
8
citing judgments
Maruti Insurance Broking Private Limited v. Deputy Commissioner of Income Tax
435 ITR 34 · 2021 · High Court
6
citing judgments
CIT v. Capital Electronics( Gariahat)
257 ITR 677 · 2002 · High Court
5
citing judgments
PCIT v. Smt. Vidhi Agarwal
88 Taxmann.com 306 · 2017 · High Court
5
citing judgments
Gajendra Kumar T. Agarwal v. ITO
11 Taxmann.com 231 · 2011 · Reported
4
citing judgments

Judgments on Section 139(3)

Shri Simerdeep Singh, Jalandhar vs. Deputy Commissioner of Income Tax Central Circle-1, Jalandhar

The appeal stand allowed in terms of our above order

ITA 260/ASR/2022[2016-17]Status: DisposedITAT Amritsar06 Jun 2025AY 2016-17

Bench: Hon’Ble Shri Manoj Kumar Aggarwal, Am & Hon’Ble Shri Udayan Das Gupta, Jm आयकरअपीलसं./ Ita No. 260/Asr/2022 (िनधा"रणवष" / Assessmentyear: 2016-17) Shri Simerdeep Singh Dcit बनाम/ Vs. H. No. 833 Urban Estate Phase-I Central Circle-1 Jalandhar- 144001. Jalandhar. "थायीलेखासं./जीआइआरसं./Pan/Gir No. Abrps-8245-F (अपीलाथ"/Appellant) : (""थ" / Respondent) अपीलाथ"कीओरसे/Appellant By : S/Shri J. S. Bhasin (Advocate)& A. P. Singh (Ca) –Ld.Ars ""थ"कीओरसे/Respondentby : Ms. Vandana Vijay Mohite (Cit) – Ld. Dr सुनवाईकीतारीख/Date Of Hearing : 23-04-2025 घोषणाकीतारीख /Date Of Pronouncement : 06-06-2025 आदेश / O R D E R Manoj Kumar Aggarwal ()

For Appellant: S/Shri J. S. Bhasin (Advocate)& A. P. SinghFor Respondent: Ms. Vandana Vijay Mohite (CIT) – Ld. DR
Section 132Section 139Section 153A

Jharkhand Urjaa Sancharan Nigam Ltd., Ranchi vs. ITO Ward 1(4), Ranchi

In the result, this appeal of assessee is dismissed

ITA 78/RAN/2023[2017-18]Status: DisposedITAT Ranchi30 May 2025AY 2017-18

Bench: Shri George Mathan & Shri Ratnesh Nandan Sahay(Virtual Hearing) Jharkhand Urjaa Sancharan Nigam I.T.O., Limited, Ward 1(4), Vs. Sldc Building, Ranchi-834002. Ranchi. Pan No. Aadcj 3112 A Appellant/ Assessee Respondent/ Revenue

Section 139(1)Section 139(3)Section 139(4)Section 143(3)Section 80

Radhey Shyam Agarwal (Deceased) Through Legal Heir Gaurav Agarwal, Jaipur vs. ITO, Ward 7(1), Jaipur

The appeal of the assessee is allowed

ITA 1449/JPR/2024[2019-20]Status: DisposedITAT Jaipur13 Mar 2025AY 2019-20

Bench: Shri Gagan Goyal & Shri Narinder Kumar

For Appellant: Mr. Mukesh Khandelwal, CA, Ld. ARFor Respondent: Mr. Gautam Singh Choudhary, Addl. CIT
Section 139(1)Section 139(3)Section 139(4)Section 143(1)Section 250Section 35ASection 73ASection 80

Bbr Projects Private Limited, Hyderabad vs. DCIT., Circle-1(1), Hyderabad

In the result, appeal of the assessee is allowed in part and for statistical purposes

ITA 367/HYD/2023[2015-16]Status: DisposedITAT Hyderabad06 Feb 2025AY 2015-16

Bench: Shri Manjunatha. G & Shri K. Narasimha Chary

For Appellant: Shri P. Murali Mohan Rao, ARFor Respondent: Shri Suresh Babu KN, Sr. AR
Section 115JSection 143(3)

Shiva Speciality Yarns Ltd., Ludhiana vs. The Dy. Commissioner of Income Tax, Circle-I, Ludhiana

Appeal of the assessee is allowed for

ITA 1049/CHANDI/2024[2018-19]Status: DisposedITAT Chandigarh22 Jan 2025AY 2018-19

Bench: Shri Rajpal Yadav & Shri Vikram Singh Yadav

For Appellant: Shri Navneet Sehgal, CA and Ms. Naina Gaba Sehgal, CAFor Respondent: Smt. Kusum Bansal, CIT DR
Section 139(1)Section 139(3)Section 143(2)Section 270ASection 80

Shri Gayatri Constructions, Nellore vs. DCIT., Circle-1, Nellore

In the result, the appeal of assessee for A

ITA 294/HYD/2024[AY 2018-19]Status: HeardITAT Hyderabad07 Jan 2025

Bench: SHRI LALIET KUMAR (Judicial Member), SHRI MADHUSUDAN SAWDIA (Accountant Member)

Section 132Section 139Section 139(1)Section 143(3)Section 153ASection 153A(1)(a)Section 153DSection 80

The Yanam Co Operative Stores Limited, Yanam vs. Prinicipal Commissioner of Income Tax, Visakhapatnam

In the result, appeal of the assessee is partly allowed

ITA 360/VIZ/2024[2017-18]Status: DisposedITAT Visakhapatnam13 Dec 2024AY 2017-18

Bench: Shri K. Narasimha Chary, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपीलसं./I.T.A.No.360/Viz/2024 (निर्धारण वर्ा/ Assessment Year: 2017-18) The Yanam Cooperative Stores Limited V. Pr.Cit 3-2-058, Vishnalayam Street Aayakar Bhavan Dabagarden – 530020 Yanam – 533464 Visakhapatnam Puducherry Andhra Pradesh [Pan: Aadft3518R] (अपीलार्थी/ Appellant) (प्रत्यर्थी/ Respondent)

Section 139(1)Section 143(2)Section 147Section 148Section 263

Akshaya Pvt. Ltd., Chennai vs. ITO, Corporate Circle-1(1), Chennai

In the result, appeal filed by the assessee is allowed

ITA 1931/CHNY/2024[2023-24]Status: DisposedITAT Chennai13 Dec 2024AY 2023-24

Bench: Shri Aby T. Varkey & Shri S.R.Raghunatha

For Appellant: Shri Kumar, AdvocateFor Respondent: Shri R. Clement Ramesh –
Section 139(1)Section 139(3)Section 143(1)

Ncgb Retrofit Pvt. Ltd., Kolkata vs. D.C.I.T., Circle - 11(1), Kolkata

In the result, the appeal of the assessee is allowed, subject to the verification as mentioned

ITA 1511/KOL/2024[2023-2024]Status: DisposedITAT Kolkata06 Dec 2024AY 2023-2024

Bench: Shri Sonjoy Sarma & Shri Rakesh Mishraassessment Year: 2023-24 Ncgb Retrofit Pvt. Ltd. Dcit, Circle-11(1), Kolkata 3A, St. George Terrace, Vs Aaykar Bhavan, P-7, Kolkata-700022, West Bengal Chowringhee Square, Kolkata-700069, West Bengal (Appellant) (Respondent) Pan: Aaacn8752B Present For: Appellant By : Shri Anup Singh, Ar Respondent By : Shri Supriya Pal, Dr Date Of Hearing : 24.09.2024 Date Of Pronouncement : 06.12.2024 O R D E R Per Rakesh Mishra: This Appeal Filed By The Assessee Is Against The Order Of The Ld. Addl/Jcit(A)-12, Mumbai (Hereinafter Referred To As “The Ld. Addl/ Jt. Cit (A)” ) Passed U/S 250 Of The Income Tax Act, 1961 (Hereinafter Referred To As “The Act”) For Ay 2023-24 Dated 22.05.2024, Which Has Been Passed Against The Intimation U/S 143(1) Of The Act Issued By The Cpc, Bengaluru.

For Appellant: Shri Anup Singh, ARFor Respondent: Shri Supriya Pal, DR
Section 139(1)Section 143(1)Section 154Section 234BSection 250

Blue Star Building Material Pvt. Ltd., Uran Panvel vs. ACIT Circle Panvel, Panvel

In the result, appeal of the assessee is allowed for statistical purpose

ITA 1066/PUN/2024[2016-2017]Status: DisposedITAT Pune12 Sept 2024AY 2016-2017

Bench: MS.ASTHA CHANDRA, JUDICIAL MEMBER, AND DR.DIPAK P. RIPOTE (Accountant Member)

Section 139(1)Section 250Section 32(2)Section 72Section 80

A.Raghuram, Valsarawakkam vs. DCIT Central Circle-1(2), Chennai

In the result, the appeal filed by the assessee is partly allowed for statistical purposes

ITA 373/CHNY/2023[2014-15]Status: DisposedITAT Chennai21 Mar 2024AY 2014-15

Bench: Shri V. Durga Rao & Shri Manjunatha, G.आयकर अपील सं./I.T.A. No.373/Chny/2023 िनधा"रण वष"/Assessment Year: 2014-15 A. Raghuram, Vs. The Deputy Commissioner Of No. 20, 3/1A, West Kamakoti Nagar, Income Tax, Agastyar Street, Valasarawakkam, Central Circle 1(2), Chennai 600 087. Chennai. [Pan:Aanpa2155P] (अपीलाथ"/Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri S. Sridhar, Advocate ""थ" की ओर से/Respondent By : Shri V. Nandakumar, Cit सुनवाई की तारीख/ Date Of Hearing : 04.01.2024 घोषणा की तारीख /Date Of Pronouncement : 21.03.2024 आदेश /O R D E R Per V. Durga Rao: This Appeal Filed By The Assessee Is Directed Against The Order Of The Ld. Commissioner Of Income Tax (Appeals)-18, Chennai, Dated 08.03.2023 Relevant To The Assessment Year 2014-15. 2. Brief Facts Of The Case Are That A Search Under Section 132 Of The Income Tax Act, 1961 [“Act” In Short] Was Initiated & Conducted In This Assessee’S Case On 31.10.2013. The Assessee Filed The Return Of Income On 16.04.2015, Admitting Total Income Of ₹.2,03,67,310/-. The Case Was 2

For Appellant: Shri S. Sridhar, AdvocateFor Respondent: Shri V. Nandakumar, CIT
Section 132Section 132(4)Section 142(1)Section 143(1)Section 143(2)Section 143(3)

DCIT, CC-3(3), Kolkata vs. Seven Star Steels Ltd., Kolkata

In the result appeal of the revenue is dismissed and the cross objection of the assessee is allowed

ITSSA 118/KOL/2023[2015-16]Status: DisposedITAT Kolkata05 Mar 2024AY 2015-16

Bench: Shri Rajesh Kumar & Shri Sonjoy Sarma] I.T.(Ss)A. No. 118/Kol/2023 Assessment Year: 2015-16 Dcit, Cc-3(3), Kolkata

Section 139(1)Section 143(1)Section 143(3)Section 153ASection 154Section 245D(4)

Deputy Commissioner of Income Tax, Circle -1(1), Guntur vs. Andhra Pradesh State Housing Corporation Limited, Vijayawada

In the result, appeal of the revenue is dismissed

ITA 217/VIZ/2023[2008-09]Status: DisposedITAT Visakhapatnam28 Feb 2024AY 2008-09

Bench: Shri Duvvuru Rl Reddy, Hon’Ble & Shri S Balakrishnan, Hon’Bleआयकर अपील सं./I.T.A.No.217/Viz/2023 (ननधधारण वर्ा / Assessment Year : 2008-09) Dy.Commissioner Of Vs. Andhra Pradesh State Income Tax Housing Corporation Ltd., Circle-1(1) Plot No.11 & 12, Nirman Guntur Bhavan, Near Apiic Colony Autonagar, Vijayawada [Pan : Aabca7206L] (अपीलार्थी/ Appellant) (प्रत्यर्थी/ Respondent)

For Appellant: Shri C.Subrahmanyam, ARFor Respondent: Dr.Satyasai Rath, CIT(DR)
Section 139(1)Section 139(3)Section 143(3)Section 147Section 148Section 154Section 40

Landcraft Developers Pvt. Ltd., New Delhi vs. ACIT, Central Circle- 27, New Delhi

In the result, the appeal filed by the assessee is allowed

ITA 1062/DEL/2019[2013-14]Status: DisposedITAT Delhi08 Jan 2024AY 2013-14
Section 132Section 132(4)Section 143(3)Section 271(1)Section 271(1)(c)Section 271ASection 274Section 69A

M/S. Sanya Hospitality Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, the Appeal of the assessee in ITA No

ITA 3259/DEL/2015[2010-11]Status: DisposedITAT Delhi17 Aug 2023AY 2010-11
Section 139Section 139(3)Section 32

M/S. Sanya Hospitality Pvt. Ltd., New Delhi vs. DCIT, New Delhi

In the result, the Appeal of the assessee in ITA No

ITA 3208/DEL/2015[2011-12]Status: DisposedITAT Delhi17 Aug 2023AY 2011-12
Section 139Section 139(3)Section 32

M/S Ramsons Refractories Pvt . Ltd, Nagpur vs. Assistant Comissioner of Income Tax Central Circle 2(2), Nagpur

In the result, the appeal of assessee is allowed

ITA 208/NAG/2018[2012-13]Status: DisposedITAT Nagpur03 Aug 2023AY 2012-13

Bench: Shri R.S. Syal & Shri S.S. Viswanethra Ravi

For Appellant: Shri Mukesh AgrawalFor Respondent: Shri Maurya Pratap
Section 132Section 139(1)Section 139(3)Section 143(1)Section 153ASection 80

S.R.Digital and Broadband Pvt.Ltd., Indore vs. PCIT(1), Indore

Appeal is allowed

ITA 38/IND/2022[2016-17]Status: DisposedITAT Indore31 Jul 2023AY 2016-17

Bench: Shri Vijay Pal Rao & Shri B.M. Biyaniassessment Year: 2016-17 S.R. Digital Tv & Pcit, Broadband Private Indore बनाम/ Limited, 335 Orbit Mall, A. B.Road, Vs. Indore. (Assessee / Appellant) (Revenue / Respondent) Pan: Aavcs1165L Assessee By Shri S.S.Solanki, C.A. Revenue By Shri P.K.Mishra, Cit Dr Date Of Hearing 02.05.2023 Date Of Pronouncement 31.07.2023

Section 139(1)Section 143(2)Section 143(3)Section 263Section 80

M/S.Madrasa-E-Quwathul Islam, Bengaluru vs. Income-Tax Officer, Exemptions, Ward-2, Bengaluru

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 386/BANG/2023[2017-18]Status: DisposedITAT Bangalore27 Jul 2023AY 2017-18
For Appellant: Mr. Mohammed Tahir Sheik, CAFor Respondent: Mr. Ganesh R. Ghale, Standing Counsel
Section 11Section 12ASection 70Section 80

Virender Gupta, New Delhi vs. DCIT CPC, Bangalore

In the result, appeal of the assessee is allowed

ITA 1780/DEL/2020[2018-19]Status: DisposedITAT Delhi06 Jul 2023AY 2018-19

Bench: Shri Saktijit Dey, Vice- & Shri Girish Agrawalassessment Year: 2018-19

For Appellant: Shri Manu Giri, AdvFor Respondent: Shri Ramdhan Meena, Sr. DR
Section 139(1)Section 139(3)Section 143(1)Section 143(1)(a)Section 154Section 80