DCIT CENTRAL CIRCLE 32, DELHI vs. SH. ISHWAR GUPTA, DELHI

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ITA 4120/DEL/2026Status: DisposedITAT Delhi09 September 2026AY 2010-115 pages
AI SummaryDismissed

What did the Tribunal hold?

The Tribunal upheld the CIT(A)'s decision that the assessment proceedings and order under Section 153C were unsustainable as the notice was time-barred, following the Delhi High Court's precedent.

What were the facts?

The assessee challenged a notice under Section 153C of the Income Tax Act, 1961, for AY 2010-11. The Delhi High Court had previously quashed a similar notice for another assessment year as time-barred.

What were the issues?

Whether a notice issued under Section 153C was time-barred and if consequential assessment proceedings could be sustained.

Which sections of the Income-tax Act were involved?

Section 153C,Section 250

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘F’: NEW DELHI

For Appellant: Shri Sumit Lal Chandani, Advocate, Ms. Ananya Kapoor, Advocate, Ms. Sejal Arora, Advocate
For Respondent: Shri K. Hauthang, CIT DR
Hearing: 13.08.2026Pronounced: 09.09.2026

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘F’: NEW DELHI BEFORE SHRI S.RIFAUR RAHMAN, ACCOUNTANT MEMBER and SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No.4120/DEL/2026 (Assessment Year: 2010-11) DCIT, Central Circle 32, vs. Shri Ishwar Gupta, Delhi. B-9, Bhagwan Dass Nagar, East Punjabi Bagh, New Delhi - 110 026. (PAN : AAJPG3274F) (APPELLANT) (RESPONDENT) ASSESSEE BY : Shri Sumit Lal Chandani, Advocate Ms. Ananya Kapoor, Advocate Ms. Sejal Arora, Advocate REVENUE BY : Shri K. Hauthang, CIT DR Date of Hearing : 13.08.2026 Date of Pronouncement : 09.09.2026 O R D E R PER S.RIFAUR RAHMAN,AM: 1. This appeal is filed by the assessee against the order passed by the ld. Commissioner of Income-tax (Appeals)/National Faceless Appeal Centre (NFAC), Delhi [for short ‘ld. CIT (A)] dated 12.12.2025 for the Assessment Year 2010-11.

2.

At the time of hearing, with the permission of the Bench, ld. AR of the assessee brought to our notice the relevant facts of the case and his

2 ITA No.4120/Del/2026 submissions as under. He submitted that during the course of appellate proceedings, notices u/s 250 of the Act were issued to the assessee and in response, the assessee filed submission informing that while he had filed appeal before the CITA) against the impugned assessment order, he had also filed a Writ petition before the Hon'ble Delhi High Court against the notice u/s 153C of the Income-tax Act, 1961 (for short ‘the Act’) dated 22.08.2022 for the impugned AY 2010-11. He further submitted that the Hon'ble Delhi High Court vide Order dated 03.04.2024 in W.P.(C) 2017/2024 & CM APPL. 8476/2024 has allowed the Writ Petition filed by the assessee for the AY 2015-16 and quashed the impugned notice dated 22.08.2022 issued u/s 153C of the Act being time barred and a copy of the order is placed on record. He further submitted that Hon'ble Delhi High Court has duly disposed of the writ petition and quashed the impugned notice on April 03, 2024, by relying on the findings in the case of Vineeta Gupta v. Income Tax Officer Ward 46(4) Delhi and Anr (2024:DHC:2629-DB].

3.

He further submitted that ld. CIT (A), relying on the aforesaid decision of Hon’ble Delhi High Court in the case of the assessee, observed that the notice u/s 153Cof the Act dated 22.08.2022 already stands quashed and respectfully following the same, he held that the consequential assessment proceedings and the impugned assessment order passed u/s

3 ITA No.4120/Del/2026 153C of the Act for the AY 2010-11 also cannot be sustained having no legs to stand and are annulled.

4.

Ld. AR of the assessee, however, submitted a chart showing that the notice u/s 153C issued on 22.08.2022 is time barred as under :-

Date of 153C Notice : 22.08.2022 Date of satisfaction note recorded by the JAO : 16.07.2022 (i.e. ay 2023-24) Relevant Assessment Year for No. of Remarks if any initiating proceedings under section years 153C of the Act 2023-24 1 2022-23 2 2021-22 3 2020-21 4 2019-20 5 2018-19 6 2017-18 7 2016-17 8 2015-16 9 2014-15 10 2013-14 Time Barred 2012-13 Time Barred 2011-12 Time Barred 2010-11 Time ITA No.4120/Del/2026 (AY Barred 2010-11) [PRESENT APPEAL] 5. He submitted that in the light of the above, it is prayed that the impugned notice is already quashed by the Hon'ble Delhi High Court and the impugned order passed by the AO is consequential and also barred by limitation, hence the Revenue’s appeal may be dismissed. 6. On the other hand, ld. DR of the Revenue, however, did not controvert the factual position and heavily relied on the findings of the AO.

4 ITA No.4120/Del/2026 7. Considered the rival submissions and material placed on record. We observed that assessee has filed Writ petition before Hon'ble Delhi High Court against the notice u/s 153C of the Act dated 22.08.2022 for the impugned AY under consideration i.e. 2010-11. We further observed that Hon'ble Delhi High Court vide Order dated 03.04.2024 (supra) quashed the impugned notice dated 22.08.2022 issued u/s 153C of the Act being time barred. We further find that ld. CIT (A), relying on the aforesaid decision of the Hon’ble Delhi High Court, observed that notice u/s 153C already stands quashed and accordingly, he held that the consequential assessment proceedings and the impugned assessment order passed u/s 153C of the Act for the AY 2010-11 also cannot be sustained having no legs to stand and are annulled. Further, from the chart reproduced above filed by the assessee, we observed that the notice u/s 153C is time barred as per law. Accordingly, we are not inclined to disturb the findings of the ld. CIT(A) and uphold the same. 8. In the result, the appeal filed by the Revenue is dismissed.

Order pronounced in the open court on this 9th day of September, 2026.

Sd/- sd/- (VIMAL KUMAR) (S. RIFAUR RAHMAN) JUDICIAL MEMBER ACCOUNTANT MEMBER

Dated: 09.09.2026 TS

5 ITA No.4120/Del/2026

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