The removeItem callback prop you pass into the Section component is the way to go and you should get rid of passing setSections down to it as well.

removeItem={(i) => removeItem(index, i)}

Child components shouldn't do parent's work so you had it right at first, I'm going to help you implement that since I can already see the removeItem handler being there in the App component.

removeItem has already all the info you need, I'm going to rename the arguments so it's more clear.

const removeItem = (sectionIndex, index) => {
  const newSections = sections.slice();
  const newItems = newSections[sectionIndex].items.slice();
  
  newItems.splice(index, 1);
  newSections[sectionIndex].items = newItems;
  
  setSections(newSections);
};

Then get rid of removeItem implementation in the Section component and destructure it from the props.

You are using setSections, but you return a single section instead of an array of sections. You probably need something like this:

// using the `section` variable from the upper scope
const removeItem = (i) => {
    setSections((sections) => {
      const itemTarget = section.items[i];
      const filtered = section.items.filter((item) => item !== itemTarget);
      const newSections = [...sections];
      newSections[section.id] = {
        ...section,
        items: filtered,
      };
      return newSections;
    });
  };

A few tips (you don't have to follow them): TypeScript can prevent such mistakes and give useful error messages. Immer.js can make writing such code simpler.

Your problem is that section is an array. So you are currently accessing the undefined property items on it. You would have to change your function to something like this

  const removeItem = (i) => {
    setSections((section) /* aqui vc tinha chamado de prev*/ => {
      const itemTarget = section[i].items[j];
      const filtered = section[i].items.filter((item) => item !== itemTarget);
      return [...section, {
        ...section[i],
        items: filtered,
      }]
    });
  };

where i is the section in question and j is the item you want to delete.