JOGINGER PAYLA,HARYANA V. DCIT, DELHI

ITA 2746/DEL/2025

AI Insights

The case involves multiple appeals by different assessees against the orders of the Commissioner of Income-tax (Appeals) and the Assessing Officer, concerning various assessment years. The primary contention revolved around the procedural and substantive validity of the assessments made under sections 143(3) and 153C of the Income-tax Act, 1961. The appellants argued that the additions were made on a protective basis without any incriminating material, and specifically for AY 2020-21, the assessment should have been under section 153C as it was a search year. The tribunal found merit in the appellants' arguments and restored the matter to the CIT(A) for a detailed examination.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 832270 (ITAT-DELHI)
• Duration Of Justice: 8 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 25-04-2025
• Other Referred Cases: Saksham Commodities Ltd. Vs. ITO (2024) 464 ITR 1 (Delhi), CIT Vs. RRJ Securities Ltd. (2016) 380 ITR 612 (Delhi)
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: POOJA SWAROOP
• Assessee Lawyers: MONIKA GHAI
• Section: 143(3)

Judgement Text

"P a g e | 1 16 Appeals JoginderPayla IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, DELHI BEFORE SHRI ANUBHAV SHARMA, JUDICIAL MEMBER & SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA Nos. 2741 to 2746/Del/2025 ITA Nos. 2819 & 2820/Del/2025 (Assessment Years: 2013-14 to 2020-21) Sh. Joginder Payla H.No. 453, Sector-17, Faridabad, Haryana – 121002 Vs. DCIT, Central Circle-27 Room No. 348, 3rd Floor, Jhandewalan Extension, New Delhi – 110055 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No: ANXPP9610M Appellant .. Respondent ITA Nos.3157 to 3162/Del/2025 (Assessment Years: 2014-15 to 2018-19 & 2020-21) Sh. Narender Singh DSS No. 29, 1st Floor HUDA Shopping, Centre Sector-31, Faridabad Haryana – 121003 Vs. ACIT, CC-27 Room No. 348, 3rd Floor, Jhandewalan Extension, New Delhi – 110055 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No: FEGPS4745H Appellant .. Respondent ITA Nos.4685 to 4689/Del/2025 (Assessment Years: 2012-13 to 2016-17) Sh. Kailash Kumar Village Fatupura, Tehsil Vs. DCIT, CC-27 Room No. 348, 3rd Floor, Printed from counselvise.com P a g e | 2 16 Appeals JoginderPayla Tigaon Faridabad, Haryana – 121002 Jhandewalan Extension, New Delhi - 110055 ̾थायीलेखासं./जीआइआरसं./PAN/GIR No: BAYPK0955K Appellant .. Respondent Appellant by : Ms. Monika Ghai, Adv. Sh. Sharad Aggarwal, Adv. Respondent by : Ms. PoojaSwaroop, CIT, DR Date of Hearing 13.01.2026 Date of Pronouncement 23.01.2026 O R D E R PER ANUBHAV SHARMA, JM: These are appeals preferred by the Assessee against the orders of the Ld. Commissioner of Income-tax (Appeals) (hereinafter referred to as the First Appellate Authority or ‘the ld. FAA’ for short) in appeals filed before him against the orders of the ld. Assessing Officer (hereinafter referred to as the Ld. AO, for short) passed u/s 143(3)/153C of the Income-tax Act, 1961 (hereafter referred to as ‘the Act’). Further details of the orders of the lower authorities are as under:- ITA No. & AY Ld. FAA who passed the appellate Appeal No. & Date of order of the Ld. FAA AO who passed the assessment order Printed from counselvise.com P a g e | 3 16 Appeals JoginderPayla order &Date of order 2741/D/25 2013-14 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073208869(1) Dated 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2742/Del/25 2014-15 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073209135(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2743/Del/25 2015-16 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073209552(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2744/Del/25 2016-17 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073209869(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2745/Del/25 2017-18 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073210072(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2746/Del/25 2018-19 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073210367(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2819/Del/25 2019-20 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073210585(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 2820/Del/25 2020-21 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1073210750(1) 12.02.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 3157/Del/25 2014-15 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074711052(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 3158/Del/25 2015-16 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074712378(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 3159/Del/25 2016-17 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074711875(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 Printed from counselvise.com P a g e | 4 16 Appeals JoginderPayla 3160/Del/25 2017-18 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074713073(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 3161/Del/25 2018-19 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074714873(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 3162/Del/25 2020-21 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2024- 25/1074713963(1) 19.03.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 4685/Del/25 2012-13 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2025- 26/1076592531(1) 30.05.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 4686/Del/25 2013-14 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2025- 26/1076592156(1) 30.05.2025 DCIT, CC-27, New Delhi, dated 30.03.2023 4687/Del/25 2014-15 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2025- 26/1076592215(1) 30.05.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 4688/Del/25 2015-16 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2025- 26/1076592299(1) 30.05.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 4689/Del/25 2016-17 CIT(A)-31, Delhi DIN & Order No : ITBA/APL/S/250/2025- 26/1076592396(1) 30.05.2025 ACIT, CC-27, New Delhi, dated 30.03.2023 2. At the time of hearing ld. DR has sought adjournment on the basis that additions in the hands of these assessees have been made on protective basis while additions on substantive basis have been made in the hands of Robert Wadhera and in fact, the appeals of the Robert Wadhera are still pending Printed from counselvise.com P a g e | 5 16 Appeals JoginderPayla before the Ld. First Appellate Authority, therefore, till the disposal of that appeal the present appeals be kept pending. 3. Ld. Counsels appearing for the assessee, however, submitted that in any case the years involved are unabated years and neither in the satisfaction note recorded to take cognizance u/s 153C of the Act or in the impugned orders there is any reference of any incriminating material found and relied. Reliance was heavily placed on the decision of Hon’ble Delhi High Court in the case of Saksham Commodities Ltd. Vs. ITO (2024) 464 ITR 1 (Delhi). It was also pointed out that in regard to AY: 2020-21 in fact the assessment should have been u/s 153C as a search year has to be determined on the basis of date of recording of satisfaction note. Therefore, assessment concluded u/s 143(3) for AY: 2020-21 are not sustainable in the light of decision of Hon’ble Delhi High Court in CIT Vs. RRJ Securities Ltd. (2016) 380 ITR 612 (Delhi). 4. We are of the considered view that where ld. First Appellate Authority was yet to make final conclusion with regard to substantive additions sustaining protective additions lacks legal sanctity as protective additions Printed from counselvise.com P a g e | 6 16 Appeals JoginderPayla independently have no legal substratum to sustain and same has caused prejudice to the cause of justice for both the assessee and Revenue. 5. Therefore, the factual legal aspect as raised before us with regard to absence of incriminating materials being referred in the satisfaction note or the assessment orders and that in regard to AY: 2020-21 assessment should have been u/s 153C of the Act require indulgence of the Ld. First Appellate Authority independently too. 6. Thus, we allow the appeals for statistical purposes and restore the issues involved in appeals to ld. CIT(A) to give assessee fresh opportunity of hearing on aforesaid question of facts and law and to give conclusive findings on the same, only consequent to determination of issues in hand of assesse, where substantive additions have been made. 7. The appeals are allowed for statistical purposes. Order pronounced in the open court on 23.01.2026 Sd/- (Manish Agarwal) Sd/- (Anubhav Sharma) ACCOUNTANT MEMBER JUDICIAL MEMBER Printed from counselvise.com P a g e | 7 16 Appeals JoginderPayla Dated 23.01.2026 Rohit, Sr. PS Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI Printed from counselvise.com "