Survey notice for records does not start assessment limitation under VAT law; limitation begins with the first assessment notice.

A notice issued during a survey to call for books, vouchers and other records under the inspection power is not a notice for assessment proceedings under the evasion provision. Limitation under the assessment provision begins only when the first notice under that provision is issued to the dealer, not from earlier survey notices. Because the decision to initiate assessment was taken only after the inspection report and transfer for further action, the earlier notices did not trigger the limitation period. The assessment proceedings were therefore not time-barred and were not without jurisdiction.

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Issues: Whether the show cause notices initiating proceedings under section 25 of the Rajasthan Value Added Tax Act, 2003 were barred by limitation on the ground that earlier notices issued during survey under section 75(1) of the Act amounted to the date of making out the case.

Analysis: The notices issued after the survey were issued only to require production of books, vouchers and other records for verification under section 75(1)(b) of the Act. They were not notices issued under section 25(1) for assessment in cases of evasion or wrongful availment of input tax credit. The date of making out the case under section 25(3) is the date on which notice in pursuance of section 25 is first issued to the dealer. Since the decision to initiate assessment proceedings was taken only after the inspection report was submitted and the matter was transferred for further action, the earlier survey notices could not start the limitation period under section 25(3).

Conclusion: The proceedings under section 25(1) were not time-barred and were not initiated without jurisdiction.

Final Conclusion: The writ petitions challenging the impugned notices failed, and the interim protection granted earlier was vacated.

Ratio Decidendi: A notice issued during survey to call for records under the inspection power is not a notice under the assessment provision for evasion, and limitation under the assessment provision begins only from the first notice issued under that assessment provision.

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