Limitation under agricultural income-tax law cannot be revived by later amendment once the assessment was already time-barred.

The Kerala Agricultural Income-tax Act's unamended limitation period under Section 35(2) was three years from the end of the year in which the income first became assessable, so the assessment should have been completed by 31 March 1975. An assessment made on 29 March 1976 was therefore already time-barred. The later amendment extending the period to five years operated only from 27 October 1975 and contained no express indication that it could revive an assessment which had already become barred. A subsequent amendment cannot validate or sustain a proceeding that had already ceased to be competent under the earlier law.

---

---

Issues: Whether the assessment for assessment year 1972-73 was barred by limitation under Section 35(2) of the Kerala Agricultural Income-tax Act, 1950, and whether the subsequent amendment extending the limitation period could revive an assessment already time-barred.

Analysis: The unamended provision prescribed a three-year period from the end of the year in which the agricultural income first became assessable. On that footing, the assessment ought to have been completed by 31 March 1975, and the assessment made on 29 March 1976 had already become barred. The later amendment extending the period to five years took effect only from 27 October 1975 and contained no express provision showing an intention to revive an assessment that had already become time-barred. A subsequent amendment cannot confer authority to complete or sustain a proceeding which had already ceased to be competent under the unamended law.

Conclusion: The assessment was barred by limitation. The answer to the referred question was in the negative and against the Revenue, and in favour of the assessee.

---