Extended limitation for escaped turnover assessments applies where the earlier period had not expired before the new Act commenced.

The article states that escaped turnover could be assessed within three years under Rule 17(1) of the Madras General Sales Tax Rules, 1939, but Section 14(4) of the Andhra Pradesh General Sales Tax Act, 1957 extended that period to four years. It explains that the decisive question was whether the earlier limitation had already expired before the new Act commenced. Because finality of assessment arose only after the appeal, revision, and additional-assessment periods had run out, and that period had not expired, the amended regime applied to the pending liability. The claims based on vested rights and Section 41 were rejected, and the additional assessment was treated as within time.

---

---

Issues: Whether the additional assessment was barred by limitation under Rule 17(1) of the Madras General Sales Tax Rules, 1939, and whether Section 14(4) of the Andhra Pradesh General Sales Tax Act, 1957 applied to an assessment not yet final when the new Act came into force.

Analysis: Rule 17(1) prescribed a period of three years from the end of the assessment year for escaped turnover to be brought to tax. Section 14(4) of the Andhra Pradesh General Sales Tax Act, 1957 enlarged that period to four years. The material question was not whether the new provision operated retrospectively in the abstract, but whether the earlier period of limitation had already expired before the new Act commenced. Finality of assessment did not attach on the mere making of the original assessment; it attached only after the period for appeal, revision, or additional assessment had expired. As that period had not expired when the new Act came into force, the amended statutory regime governed the pending liability. The plea based on accrued or vested rights and the saving provision in Section 41 failed for the same reason.

Conclusion: The additional assessment was valid and within time under Section 14(4) of the Andhra Pradesh General Sales Tax Act, 1957, and the revision was liable to be dismissed.

---