ITAT Quashes Assessments: Multiple Approvals Granted in One Day Without Scrutiny

MDLR Hotels Pvt. Ltd. vs ACIT (ITAT Delhi) New Delhi: The Income Tax Appellate Tribunal (ITAT), Delhi Bench, has annulled a series of assessment orders passed against MDLR Hotels Pvt. Ltd. and connected entities, citing the absence of valid prior approval as mandated by Section 153D of the Income Tax Act, 1961. The Tribunal found that the approvals granted by the Additional Commissioner of Income Tax were mechanical and did not reflect the necessary application of mind, thereby vitiating the assessment proceedings initiated consequent to search and seizure operations. The case involved a large...