Limitation for revisional tax action requires actual commencement within time; mere file movement does not preserve validity.

Revisional action under section 22-A of the Karnataka Sales Tax Act had to be commenced within four years from the order sought to be revised, subject only to exclusion of time covered by a stay or injunction. Although the records were placed before the Commissioner within time, the departmental note showed that proceedings could not then be initiated because a related Supreme Court decision was awaited. That internal movement of files did not amount to initiation of action within the limitation period. A later show cause notice issued after expiry of the statutory period was therefore time-barred and could not be sustained.

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Issues: Whether action purportedly taken under section 22-A of the Karnataka Sales Tax Act, 1957 was initiated within the prescribed period of limitation.

Analysis: Section 22-A(2) permitted exercise of the revisional power only within four years from the date of the order sought to be revised, subject only to exclusion of time covered by a stay or injunction. The records were placed before the Commissioner within the limitation period, but the departmental note expressly stated that action could not be initiated at that stage because the decision of this Court in the related matter was awaited. That note negatived the claim that proceedings had been initiated on receipt of the records. The subsequent show cause notice, issued after expiry of the statutory period, therefore could not be supported by the earlier administrative movement of files.

Conclusion: The show cause notices were issued beyond the period of limitation and were liable to be ignored.

Ratio Decidendi: For a revisional power confined by a statutory limitation period, mere receipt or examination of records does not amount to initiation of action unless the authority has in fact decided to commence proceedings within time.

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