Tax recovery certificate limitation and revision issues: valid forwarding preserved recovery, with liability limited to the revised amount.

Recovery proceedings initiated by a certificate under section 46(2) were treated as timely where the certificate had been forwarded to the Collector within the statutory period, because that forwarding constituted commencement of recovery under section 46(7). The later misplacement of the original certificate did not defeat proof of receipt by the Collector. The limitation period was computed from the demand under section 29, not from the later communication of revised figures. A certificate validly issued on the assessment then in force did not become invalid merely because the liability was later reduced on revision; only the reduced amount lawfully due after revision could be recovered on the existing certificate.

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Issues: Whether recovery proceedings initiated by a certificate under section 46(2) were barred by limitation under section 46(7), and whether the certificate became invalid because the tax liability was later reduced on revision.

Analysis: The certificate forwarded to the Collector within time constituted a proceeding for recovery within section 46(7), and the later misplacement of the original certificate did not negate receipt by the Collector. The limitation period was computed from the demand under section 29, not from the later communication of the revised figures. A certificate validly issued on the basis of the assessment then in force did not become non est merely because the Commissioner subsequently reduced the liability. Only the amount lawfully due after revision could be recovered, and the existing certificate could support recovery of that reduced amount.

Conclusion: The objections based on limitation and invalidity of the certificate failed, and recovery on the basis of the certificate was upheld.

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