Limitation on reassessment cannot revive a time-barred assessment absent clear legislative language to do so.

A reduced reassessment limitation period under Section 21(2) of the U.P. Trade Tax Act did not revive a completed assessment that had already become time-barred under the earlier regime. The saving date of 31.3.2002 was construed as preserving pending matters still within the former eight-year period, not as authorising reopening of stale assessments by necessary implication. The notice dated 13.3.2002 for assessment year 1990-91 was therefore barred by limitation, and the reassessment proceedings were quashed.

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Issues: Whether the amended limitation provision in Section 21(2) of the U.P. Trade Tax Act, 1948 authorised reopening of the completed assessment for assessment year 1990-91 by notice dated 13.3.2002.

Analysis: The amended proviso to Section 21(2) reduced the period for assessment or reassessment to six years from the end of the relevant year or up to 31.3.2002, whichever is later. The question was whether this language operated retrospectively so as to revive a reassessment power that had already become barred on the unamended provision. The Court held that limitation provisions affecting accrued rights cannot be treated as retrospective unless the statute clearly so provides by express words or necessary implication. The saving phrase 31.3.2002 was read as protecting pending matters that were still within the earlier eight-year regime, not as reviving all stale assessments regardless of the assessment year.

Conclusion: The reassessment notice issued on 13.3.2002 for assessment year 1990-91 was barred by limitation and was invalid.

Final Conclusion: The appeal succeeded and the reassessment proceedings were quashed on the ground of limitation, leaving the assessee protected from reopening of the completed assessment.

Ratio Decidendi: An amendment reducing the reassessment period and adding a saving date is only partly retrospective; it cannot be construed to revive a time-barred assessment unless the legislative language clearly manifests such revival.

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