Reassessment Set Aside as JCIT cannot Sanction Notice After 4 Years: Delhi HC

Sukhbir S. Dagar Vs ITO (Delhi High Court) New Delhi: The Delhi High Court has set aside a reassessment order and the corresponding ruling of the Income Tax Appellate Tribunal (ITAT), holding that the reassessment proceedings were initiated without the mandatory approval of the appropriate authority as required by the Income Tax Act, 1961. The judgment underscores the critical importance of obtaining the correct statutory sanction for issuing notices to reopen concluded assessments, particularly after a significant period has elapsed. The case, involving taxpayer Sukhbir S. Dagar and the Incom...