Invalid Sanction Kills Reopening: ITAT Says PCIT Cannot Replace JCIT Under Old Section 151(2)

Umar Daraj Vs ITO (ITAT Delhi) Reassessment Quashed for Want of Proper Sanction: PCIT Approval Invalid u/s 151(2); ₹82.89 Crore Disallowance u/s 40A(3) Falls Reassessment was initiated vide notice u/s 148 dated 30.03.2021 proposing disallowance of ₹82.89 crore u/s 40A(3) for alleged cash purchases of livestock, along with other issues. Tribunal held that since notice was issued prior to 01.04.2021 & more than four years had elapsed, sanction u/s 151(2) (old regime) was mandatorily required from the Joint Commissioner; however, approval was obtained from PCIT, rendering the notice juris...