I see what you're talking about. I can't be entirely sure if that's not just debris that looks like damage, but it DEFINITELY looks like damage.I cannot tell which cylinder these are, but there are two pistons that look like they've been hit with a hammer on the top edge and swaged the piston towards the sidewall. It does NOT look like this has been dragging on the cylinder wall, so this may be something done by the current disassembler, especially since it looks "fresh." Very clear on the bottom left of the bottom cylinder in the bottom picture and on the upper left on the cylinder above it.
Upon further review, it appears these must be cylinder 3 and 4. There is a picture of the HG in post #24 that would appear that the HG has corresponding sealing ring failures in corresponding locations. I wonder if this is NOT the original HG, but a poorly done replacement and not a Toyota gasket. If this indeed looks like it's been running like that, then you may be OK.
I see some discoloration in the one cylinder directly above the dent on the piston. If this looks "fresh" maybe the PO did a shytty job of a HG and knew this was an issue. This would have been discovered at startup because this impact would have "seized" the engine unless the starter was able to ram it past this point.
This is very concerning to me. The fact that there is no carbon trace on the edge of it is what makes me think this is post disassembly. Let them explain. Ask them how they went about disassembly and if they stuck a pry bar in there or hit it with a hammer to break anything loose. Don't be accusatory. Just keep asking for information.
These are the only red flag to me. If those were not a problem before, they will be now because it also may have affected the clearances on the top compression ring. It may cause the ring to hang up and not rotate like it's supposed to do. It will also drag the wall as the pistons heat up and expand.
As far as ring groove, there is not one visible. It becomes a lip at the top of the cylinder wall about 1/4" to 3/8" down where the top ring stops and the end of each stroke. When the cylinder fires, it creates an enormous amount of pressure at ignition and is causes the ring to exert more force at that point, so it wears more right there. On the old SBC's, you could catch a fingernail on the ring groove and it would have to be cut out before you could remove the pistons.
There is some slight wear on the left and right of the cylinder walls, but it is minor, especially with 271K on it. It's not enough to cause sealing issues with the rings.
If you need to pull the pistons for this inspection, you need to pull the engine. If you're pulling the engine, you have crossed a line and may just need to go with a new short block to offset the cost of labor, disassembly, inspection, and machining.
Just perfect... hammer and chisel mechanic destroys the pistons taking the engine apart and then says, "Yep, you need a new engine."
