Limitation for assessment orders turns on timely issuance, not mere signing, where service occurs after the prescribed period.

Assessment orders were treated as barred by limitation where they were signed within time but dispatched and served only after the prescribed period expired. Applying the principle that an order is not complete or effective until it is issued beyond the authority's control within limitation, the Tribunal held that mere preparation or signing of the order was insufficient. On that basis, the orders were held to be non est and ineffective in law in favour of the assessee.

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Issues: Whether the assessment orders were barred by limitation because they were served after expiry of the prescribed period.

Analysis: The assessment orders were signed within the limitation period but were dispatched and served only after its expiry. Section 153B of the Income-tax Act, 1961 was treated as analogous to the limitation provision considered by the Kerala High Court, and the controlling principle applied was that an assessment order is not complete and effective unless it is issued so as to be beyond the control of the authority within the prescribed time. On that basis, the Tribunal held that mere preparation or signing of the order within time was insufficient when service took place after limitation had expired.

Conclusion: The assessment orders were held to be barred by limitation and therefore non est and ineffective in law, in favour of the assessee.

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