Dual Section 151 Approval Invalidates Reassessment Proceedings: ITAT Delhi

Dil Raj Kaur Vs ITO (ITAT Delhi)

Approval by Both JCIT and PCIT Invalidates Reassessment: Delhi ITAT Quashes Notice for Defective Section 151 Sanction

Sanction for reopening must follow the authority and procedure prescribed by Section 151. In Dil Raj Kaur v. ITO, ITA No. 7712/Del/2026, the Delhi ITAT held that the reassessment could not stand where the approval form recorded independent satisfaction by both the Joint Commissioner and the Principal Commissioner. Following earlier Tribunal decisions, it quashed the proceedings for invalid assumption of jurisdiction.

The order was pronounced on 29 September 2026 for AY 2012–13. Although the assessee had raised other objections to the reassessment, the Tribunal decided the appeal on Ground No. 12, concerning sanction under Section 151. It left the remaining legal and factual grounds open.

What the Approval Form Showed

The Tribunal examined the proforma used by the Assessing Officer to seek approval for reopening. It found that the JCIT, Range 34, New Delhi, had stated that he was satisfied it was a fit case for reopening. According to the ITAT, this was an expression of the JCIT’s own satisfaction. It was not worded as a mere forwarding of papers to the PCIT.

The PCIT, Delhi 12, then recorded his own approval. The order states that both approvals appeared on the proforma with the date 26 March 2019. The question before the Tribunal was whether obtaining these two approvals, each expressing independent satisfaction, complied with Section 151. The source records the Tribunal’s finding that both authorities independently approved the reopening.