SHRI RAM READY MIX CONCRETE PRIVATE LIMITED,DELHI V. DCIT CENTRAL CIRCLE-30, DELHI

ITA 1063/DEL/2025

AI Insights

The case involves seven appeals by two companies, Sh. Ram Ready Mix Concrete Pvt. Ltd. and Kamdhenu Cement, against the assessments made by the DCIT under section 153C of the Income Tax Act for the assessment years 2018-19 to 2021-22. The assessments were based on a search operation conducted on the Sanjay Jain and Mehta group on 26.10.2020. The primary legal issue was the validity of the section 153C assessments, which required a clear demonstration that the seized material was related to the assessees. The Tribunal, referencing several precedents, concluded that the satisfaction note did not adequately establish this connection, leading to the quashing of the assessments.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 829186 (ITAT-NEW DELHI)
• Duration Of Justice: 10 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Delhi
• Assessment Year: misc
• Appeal Filed On: 24-02-2025
• Other Referred Cases: Commissioner Vs. Dilip Kumar (2018) 9 SSC 1 (SC), CIT Vs. RRJ Securities Ltd. (2016) 380 ITR 0612, PCIT vs. Jasjit Singh (2024) 336 CTR 634 (Delhi), PCIT vs. Ojjus Medicare Pvt. Ltd. (2024) 465 ITR 101 (Del.)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMISHA S. GUPT
• Assessee Lawyers: AJAY WADHWA
• Keywords: Search and seizure
• Section: 143(3); 132

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘E’, NEW DELHI Before Sh. Satbeer Singh Godara, Judicial Member & Sh. Naveen Chandra, Accountant Member ITA No. 1061/Del/2025 : Asstt. Year : 2018-19 ITA No. 1062/Del/2025 : Asstt. Year : 2019-20 ITA No. 1063/Del/2025 : Asstt. Year : 2021-22 ITA No. 1064/Del/2025 : Asstt. Year : 2022-23 Sh. Ram Ready Mix Concrete Pvt. Ltd. B-177, Derawal Nagar, Delhi-110009 Vs DCIT, Central Circle-30, New Delhi-110055 (APPELLANT) (RESPONDENT) PAN No. AAPCS51886F ITA No. 1065/Del/2025 : Asstt. Year : 2018-19 ITA No. 1066/Del/2025 : Asstt. Year : 2019-20 ITA No. 1067/Del/2025 : Asstt. Year : 2021-22 Kamdhenu Cement, B-229, 1st Floor, Phase-1, Ashok Vihar H.O., Ashok Vihar, North West Delhi, Delhi-110052 Vs DCIT, Central Circle-30, New Delhi-110055 (APPELLANT) (RESPONDENT) PAN No. AAOFK8997J Assessee by : Sh. Ajay Wadhwa, Adv., Sh. Anil Kumar Choptra, CA, Sh. Shivam Garg, Adv. Revenue by : Ms. Amisha S. Gupt, CIT-DR Date of Hearing: 12.01.2026 Date of Pronouncement: 12.01.2026 ORDER Per Bench: The instant batch of seven appeals involves the twin assessees herein M/s Sh. Ram Ready Mix Concrete Pvt. Ltd. and Kamdhenu Cement. All other relevant details thereof stand tabulated as under: Printed from counselvise.com ITA Nos. 1061 to 1064/Del/2025 Sh. Ram Ready Mix Concrete Pvt. Ltd. ITA Nos. 1065 to 1067/Del/2025 Kamdhenu Cement 2 Sl. No. I TA Nos. A.Y. Appellant Respondent Order passed against Proceedings u/s 1. 1061/Del/2025 2018-19 Sh. Ram Ready M ix Concr ete Pvt. L td. DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 1071680671(1) Dated 30.12.2024 153C r .w.s . 143(3) 2. 1062/Del/2025 2019-20 Sh. Ram Ready M ix Concr ete Pvt. L td. DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 10716850883(1) Dated 30.12.2024 153C r .w.s . 143(3) 3. 1063/Del/2025 2020-21 Sh. Ram Ready M ix Concr ete Pvt. L td. DCIT CI T(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 1071686755(1) Dated 30.12.2024 153C r .w.s . 143(3) 4. 1064/Del/2025 2021-22 Sh. Ram Ready M ix Concr ete Pvt. L td. DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 1071689750(1) Dated 30.12.2024 153C r .w.s . 143(3) 5. 1065/Del/2025 2018-19 Kamdhenu Cement DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 1071679355(1) Dated 30.12.2024 153C r .w.s . 143(3) 6. 1066/Del/2025 2019-20 Kamdhenu Cement DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 10716883192(1) Dated 30.12.2024 153C r .w.s . 143(3) 7. 1067/Del/2025 2020-21 Kamdhenu Cement DCIT CIT(A)-30, New Delhi, DIN & order No.I TBA/APL/M/250/ 2024-25 / 1071683439(1) Dated 30.12.2024 153C r .w.s . 143(3) 2. Heard the assessees as well as the department. Case files perused. 3. We notice at the outset that there arises the first and foremost common/identical issue of validity of all these section 153C assessments itself; framed in furtherance to the department’s section 132 search action dated 26.10.2020, carried out in M/s Sanjay Jain and Mehta group of cases. This is Printed from counselvise.com ITA Nos. 1061 to 1064/Del/2025 Sh. Ram Ready Mix Concrete Pvt. Ltd. ITA Nos. 1065 to 1067/Del/2025 Kamdhenu Cement 3 for the precise reason that Mr. Wadhwa has filed before us a copy of the relevant section 153C satisfaction note by the learned Assessing Officer of the searched person reading as under: Printed from counselvise.com ITA Nos. 1061 to 1064/Del/2025 Sh. Ram Ready Mix Concrete Pvt. Ltd. ITA Nos. 1065 to 1067/Del/2025 Kamdhenu Cement 4 Printed from counselvise.com ITA Nos. 1061 to 1064/Del/2025 Sh. Ram Ready Mix Concrete Pvt. Ltd. ITA Nos. 1065 to 1067/Del/2025 Kamdhenu Cement 5 4. Faced with this situation, learned CIT-DR could hardly dispute that the above extracted section 153C satisfaction note does not throw any light as to whether the corresponding seized material belonged, pertained or related to the assessee; as the case may be. She vehemently argues that it is nowhere necessary for the Assessing Officer to explicitly make clear such a proposition in the satisfaction note. We are afraid that such a stand raised by the learned departmental authorities could not be accepted since going contrary to section 153C(1)(a) & (b) of the Act; be it in un-amended on or before 01.06.2015; or thereafter, as the case may. We thus invoke stricter interpretation as per Commissioner Vs. Dilip Kumar (2018) 9 SSC 1 (SC), CIT Vs. RRJ Securities Ltd. (2016) 380 Printed from counselvise.com ITA Nos. 1061 to 1064/Del/2025 Sh. Ram Ready Mix Concrete Pvt. Ltd. ITA Nos. 1065 to 1067/Del/2025 Kamdhenu Cement 6 ITR 0612, PCIT vs. Jasjit Singh (2024) 336 CTR 634 (Delhi) and PCIT vs. Ojjus Medicare Pvt. Ltd. (2024) 465 ITR 101 (Del.) to conclude that all these impugned assessment are non-est in the eyes of law since based on an invalid satisfaction of the Assessing Officer of the searched assessee. Quashed accordingly. 5. These twin assessee’s seven appeals ITA Nos. 1061 to 1067/Del/2025 are allowed in above terms. A copy of this common order be placed in the respective case files. Order Pronounced in the Open Court on 12/01/2026. Sd/- Sd/- (Naveen Chandra) (Satbeer Singh Godara) Accountant Member Judicial Member Dated: 12/01/2026 *Subodh Kumar, Sr. PS* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR Printed from counselvise.com "