CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT v. M/s.Asian Granito India Ltd. (

246 ITR 671High Court2000#3359 most cited

What is CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT v. M/s.Asian Granito India Ltd. ( authority for?

Additions to income based solely on sectoral power consumption trends are not sustainable if there is no specific fault found with raw materials or fixed assets.

35

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2019 to 2025.

Also referred to as

CIT Vs. Ram Steel Industries · 246 ITR 671 · search assessment · sectoral power consumption · raw material · fixed assets · addition unsustainable · presumption · natural justice

Sections most often in play

Section 132Section 132(4)Section 131Section 153CSection 69BSection 132(1)Section 132(3)Section 139

Issues it is cited on

section 134section 9(1)(ii)section 108section 80absection 271aab(1a)section 158basection 73section 158b(b)section 43(5)section 113section 158bb(1)clarificatory amendment

Judgments citing CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT v. M/s.Asian Granito India Ltd. (

Assistant Commissioner of Income Tax, Cental Circle -2(2), Nagpur vs. Shri Narendra Maganmal Kothari, Nagpur

In the result, this appeal of the revenue is dismissed

ITA 329/NAG/2019[2012-13]Status: DisposedITAT Nagpur20 Dec 2021AY 2012-13

Bench: Shri Sandeep Gosain, Jm & Shri O.P. Kant, Am

For Appellant: Shri Hitesh P Shah (CA)For Respondent: Shri Pradeep Hedaoo (CIT-DR)
Section 139(1)Section 143(3)Section 153ASection 276C

…IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR BEFORE SHRI SANDEEP GOSAIN, JM & SHRI O.P. KANT, AM ITA Nos. 326, 327, 328, 329, 330, 331 & 332/NAG/2019 Assessment Years: 2009-10, 2010-11, 2011-12, 2012-13, 2013-14, 2014- 15 & 2015-16 A.C.I.T., Vs. Shri Narendra Maganmal Kothari Central Circle-2(2), 1164, Kothari Enclave, Bhaji Nagpur. Mandir, Nikalas Mandir Road, Sarafa Bazar, Itwari, Nagpur- 440002. PAN No. AATPK 4111 B Appellant Respondent Revenue by : Shri Pradeep Hedaoo (CIT-DR) Assessee by: Shri Hitesh P Shah (CA) Date of Hearing: 27/10/2021 Date of Pronouncement: 20/12/2021 ORDER PER: SANDEEP G…

Assistant Commissioner of Income Tax, Cental Circle -2(2), Nagpur vs. Shri Narendra Maganmal Kothari, Nagpur

In the result, this appeal of the revenue is dismissed

ITA 328/NAG/2019[2011-12]Status: DisposedITAT Nagpur20 Dec 2021AY 2011-12

Bench: Shri Sandeep Gosain, Jm & Shri O.P. Kant, Am

For Appellant: Shri Hitesh P Shah (CA)For Respondent: Shri Pradeep Hedaoo (CIT-DR)
Section 139(1)Section 143(3)Section 153ASection 276C

…IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR BEFORE SHRI SANDEEP GOSAIN, JM & SHRI O.P. KANT, AM ITA Nos. 326, 327, 328, 329, 330, 331 & 332/NAG/2019 Assessment Years: 2009-10, 2010-11, 2011-12, 2012-13, 2013-14, 2014- 15 & 2015-16 A.C.I.T., Vs. Shri Narendra Maganmal Kothari Central Circle-2(2), 1164, Kothari Enclave, Bhaji Nagpur. Mandir, Nikalas Mandir Road, Sarafa Bazar, Itwari, Nagpur- 440002. PAN No. AATPK 4111 B Appellant Respondent Revenue by : Shri Pradeep Hedaoo (CIT-DR) Assessee by: Shri Hitesh P Shah (CA) Date of Hearing: 27/10/2021 Date of Pronouncement: 20/12/2021 ORDER PER: SANDEEP G…

Assistant Commissioner of Income Tax, Cental Circle -2(2), Nagpur vs. Shri Narendra Maganmal Kothari, Nagpur

In the result, this appeal of the revenue is dismissed

ITA 327/NAG/2019[2010-11]Status: DisposedITAT Nagpur20 Dec 2021AY 2010-11

Bench: Shri Sandeep Gosain, Jm & Shri O.P. Kant, Am

For Appellant: Shri Hitesh P Shah (CA)For Respondent: Shri Pradeep Hedaoo (CIT-DR)
Section 139(1)Section 143(3)Section 153ASection 276C

…IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR BEFORE SHRI SANDEEP GOSAIN, JM & SHRI O.P. KANT, AM ITA Nos. 326, 327, 328, 329, 330, 331 & 332/NAG/2019 Assessment Years: 2009-10, 2010-11, 2011-12, 2012-13, 2013-14, 2014- 15 & 2015-16 A.C.I.T., Vs. Shri Narendra Maganmal Kothari Central Circle-2(2), 1164, Kothari Enclave, Bhaji Nagpur. Mandir, Nikalas Mandir Road, Sarafa Bazar, Itwari, Nagpur- 440002. PAN No. AATPK 4111 B Appellant Respondent Revenue by : Shri Pradeep Hedaoo (CIT-DR) Assessee by: Shri Hitesh P Shah (CA) Date of Hearing: 27/10/2021 Date of Pronouncement: 20/12/2021 ORDER PER: SANDEEP G…

Assistant Commissioner of Income Tax, Cental Circle -2(2), Nagpur vs. Shri Narendra Maganmal Kothari, Nagpur

In the result, this appeal of the revenue is dismissed

ITA 326/NAG/2019[2009-10]Status: DisposedITAT Nagpur20 Dec 2021AY 2009-10

Bench: Shri Sandeep Gosain, Jm & Shri O.P. Kant, Am

For Appellant: Shri Hitesh P Shah (CA)For Respondent: Shri Pradeep Hedaoo (CIT-DR)
Section 139(1)Section 143(3)Section 153ASection 276C

…IN THE INCOME TAX APPELLATE TRIBUNAL, NAGPUR BENCH, NAGPUR BEFORE SHRI SANDEEP GOSAIN, JM & SHRI O.P. KANT, AM ITA Nos. 326, 327, 328, 329, 330, 331 & 332/NAG/2019 Assessment Years: 2009-10, 2010-11, 2011-12, 2012-13, 2013-14, 2014- 15 & 2015-16 A.C.I.T., Vs. Shri Narendra Maganmal Kothari Central Circle-2(2), 1164, Kothari Enclave, Bhaji Nagpur. Mandir, Nikalas Mandir Road, Sarafa Bazar, Itwari, Nagpur- 440002. PAN No. AATPK 4111 B Appellant Respondent Revenue by : Shri Pradeep Hedaoo (CIT-DR) Assessee by: Shri Hitesh P Shah (CA) Date of Hearing: 27/10/2021 Date of Pronouncement: 20/12/2021 ORDER PER: SANDEEP G…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 402/HYD/2020[2016-17]Status: DisposedITAT Hyderabad24 Sept 2021AY 2016-17

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 401/HYD/2020[2015-16]Status: DisposedITAT Hyderabad24 Sept 2021AY 2015-16

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 400/HYD/2020[2014-15]Status: DisposedITAT Hyderabad24 Sept 2021AY 2014-15

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 399/HYD/2020[2013-14]Status: DisposedITAT Hyderabad24 Sept 2021AY 2013-14

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 398/HYD/2020[2012-13]Status: DisposedITAT Hyderabad24 Sept 2021AY 2012-13

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Hyderabad vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 397/HYD/2020[2011-12]Status: DisposedITAT Hyderabad24 Sept 2021AY 2011-12

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

K.B.Rolling Mills Private Limited, Ranga Reddy vs. Asst. Commissioner of Income Tax, Central Circle-3(1), Hyderabad

Appeals are allowed in above terms

ITA 396/HYD/2020[2010-11]Status: DisposedITAT Hyderabad24 Sept 2021AY 2010-11

Bench: Shri S.S.Godara & Shri Laxmi Prasad Sahu

For Appellant: Shri P.Murali Mohana Rao, ARFor Respondent: Shri D.Srinivas, DR
Section 132Section 143(1)(a)Section 143(3)Section 153ASection 40A(3)Section 68

…ecific fault with the raw-material consumed as well as the corresponding fixed assets etc. showing any abnormal repairs etc. Case law (2015) 371 ITR 373 (P&H) CIT Vs. Ram Steel Industries; (2020) 182 ITD 441 (Ahmedabad), DCIT Vs. M/s.Asian Granito India Ltd. (246 ITR 671) (Bombay), CIT Vs. C.J.Shah and Co. (2000) [246 ITR 671] (Bom) hold that such an addition based merely on sectoral power consumption trends is also not sustainable. 6. Learned departmental representative lastly submitted that the assessee’s authorised person had duly admitted the impugned suppressed turnover in the search statement. We do not fi…

Nish Developers Pvt. Ltd., Mumbai vs. DCIT- CC- 6(3), Mumbai

In the result, all the appeals of the assessee except ITA

ITA 3131/MUM/2018[2010-11]Status: DisposedITAT Mumbai12 Mar 2021AY 2010-11

Bench: Shri Rajesh Kumar & Shri Ram Lal Negi

For Appellant: Shri Rakesh Joshi, A.RFor Respondent: Shri P.C. Chhotaray
Section 132(4)

…the basis of incriminating documents found at premises of the assessee and not on the basis of estimation. The appellant also rely on the decision of Jurisdictional High Court in case of CIT Vs Dr M K E Memon( 248 ITR 310)(Bombay) and CIT Vs. C J Shah & Co. ( 246 ITR 671)(Bombay). In both these cases Hon’ble High Court has held that income cannot be made on estimation without any documents. Therefore, considering the facts of the case as well as judicial decisions on the issue it is requested to kindly delete addition made merely on the basis of third party evidences which are purely conjectures and estimates. Ld…

Nish Developers Pvt. Ltd., Mumbai vs. DCIT - CC -6(3), Mumbai

In the result, all the appeals of the assessee except ITA

ITA 3129/MUM/2018[2011-12]Status: DisposedITAT Mumbai12 Mar 2021AY 2011-12

Bench: Shri Rajesh Kumar & Shri Ram Lal Negi

For Appellant: Shri Rakesh Joshi, A.RFor Respondent: Shri P.C. Chhotaray
Section 132(4)

…the basis of incriminating documents found at premises of the assessee and not on the basis of estimation. The appellant also rely on the decision of Jurisdictional High Court in case of CIT Vs Dr M K E Memon( 248 ITR 310)(Bombay) and CIT Vs. C J Shah & Co. ( 246 ITR 671)(Bombay). In both these cases Hon’ble High Court has held that income cannot be made on estimation without any documents. Therefore, considering the facts of the case as well as judicial decisions on the issue it is requested to kindly delete addition made merely on the basis of third party evidences which are purely conjectures and estimates. Ld…

Savaliya Developers Pvt. Ltd., Ahmedabad vs. The Dy.CIT, Central Circle-2(1), Ahmedabad

Appeals are dismissed whereas assessee’s three appeals and three cross objections are allowed

ITA 402/AHD/2014[2011-12]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2011-12

Bench: Shri Pradip Kumar Kedia & Shri Mahavir Prasad

For Respondent: Shri Surendra Kumar, CIT.DR

…para of the order of the CIT(A) hereunder: “8. Before taking a decision in this case, it will be worthwhile to go through the relevant judicial decisions in this regard: (a) It was held by Hon'ble High Court of Bombay in the case of CIT vs. C. J. Shah & Co. (246 ITR 671) that estimation of undisclosed profit made by AO for the entire block period on the basis of seized loose papers which indicated undisclosed sales for three months was not justified. (b) In the case of Dolphin Builders Pvt. Ltd (356 ITR 420), Hon'ble High Court of Madhya Pradesh held that making addition merely on the basis of seized documents w…

M/S. Savaliya Buildcon, Ahmedabad vs. The Dy.CIT, Central Circle-2(1), Ahmedabad

Appeals are dismissed whereas assessee’s three appeals and three cross objections are allowed

ITA 401/AHD/2014[2011-12]Status: DisposedITAT Ahmedabad30 Apr 2019AY 2011-12

Bench: Shri Pradip Kumar Kedia & Shri Mahavir Prasad

For Respondent: Shri Surendra Kumar, CIT.DR

…para of the order of the CIT(A) hereunder: “8. Before taking a decision in this case, it will be worthwhile to go through the relevant judicial decisions in this regard: (a) It was held by Hon'ble High Court of Bombay in the case of CIT vs. C. J. Shah & Co. (246 ITR 671) that estimation of undisclosed profit made by AO for the entire block period on the basis of seized loose papers which indicated undisclosed sales for three months was not justified. (b) In the case of Dolphin Builders Pvt. Ltd (356 ITR 420), Hon'ble High Court of Madhya Pradesh held that making addition merely on the basis of seized documents w…