Fresh deduction claims require a revised return before the Assessing Officer, while the Tribunal may consider new legal pleas on existing facts.

A fresh deduction claim cannot be entertained by the Assessing Officer at the assessment stage unless it is made through a revised return. A claim introduced only by letter during assessment is therefore not validly raised before the Assessing Officer. The Tribunal's power under section 254 of the Income-tax Act, 1961, remains broader in this respect and may permit a new legal plea on an existing factual foundation, but that jurisdiction does not extend to the Assessing Officer's assessment-stage powers. The appeal was dismissed, while the Tribunal's jurisdiction under section 254 was left unaffected.

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Issues: Whether an assessee can claim a deduction before the Assessing Officer otherwise than by filing a revised return.

Analysis: The claim for deduction was sought to be introduced by a letter during assessment, not through a revised return. The Tribunal's power under section 254 of the Income-tax Act, 1961, to entertain a new point of law on an existing factual foundation does not extend to the Assessing Officer's power to allow a fresh deduction claim at the assessment stage without a revised return.

Conclusion: The Assessing Officer could not entertain the deduction claim otherwise than through a revised return. The appeal was dismissed, and the Tribunal's jurisdiction under section 254 was left unaffected.

Ratio Decidendi: A fresh claim for deduction cannot be entertained by the Assessing Officer at the assessment stage except through a revised return, although the Appellate Tribunal may consider a new legal plea under section 254 where the necessary facts are already on record.

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