I was reading on the internet that the return line should ideally be zero PSI but in some cases could be up to 100 PSI, i really have no clue about this.
I was thinking if the return line has no pressure, gravity feed, then all the plumbing the cooler and filter should run down hill from control valve to tank. I guess I would like to know can the cooler and/or filter be above the outlet on control valve or below the tank, will it push the fluid uphill?
Theoretically a return line should work best if it were at zero PSI, but of course there is always some resistance to flow. If nothing else, there is the fluid friction in the return line itself as well as the cooler and whatever filtration is there. But the lower the PSI in the return line the better.
You need to be thinking in terms of fluid FLOW and not PSI. Try to think of it this way: The hydraulic pump creates flow; any resistance to that flow is what creates pressure.
If there is no work being done by valves and cylinders, the flow just circulates from sump to pump and then back to the sump through the return. The only pressure is the frictional pressure through the hoses and fittings. But anytime you block the flow at all, pressure is created. Blocking the flow can happen be deliberately when a valve activates a cylinder, or it could happen by accident if say a pipe in the cooler was smashed flat.
Whenever there is a restriction to flow, the pressure at all points between the pump and that restriction will rise. The pump doesn't know where the restriction is. It doesn't know if it is working a control valve and cylinder like normal.... or working against a plugged return line component. The pump will just keep on pushing and the PSI will keep on rising untl something moves, breaks, or a safety relief bypass valve is activated.
BTW, that is why every system downstream of the pump will have it's own relief/bypass valve.
What we just said means that a return can have some resistance to flow and a sump doesn't really have to be the lowest point in the system. The hydraulic pump will just see that rreturn resistance as something to overcome and will create enough PSI to keep the fluid moving. The reason you want the return flow to be low resistance is that if the pump has to push hard to flow through the return, its doing so also makes the pressure everywhere in the system higher. That higher system "backpressure" can interfere with the smooth operation of some control valves.
Hope this helps,
rScotty