Belated section 143(2) notice invalidates assessment where statutory time limit is missed and jurisdiction fails.

A valid notice under section 143(2) within the prescribed time was mandatory for a lawful assessment under the Income-tax Act, 1961. Because the notice in this search-related assessment was issued after the limitation period and the Department did not dispute that fact from the records, the jurisdictional defect went to the root of the assessment. The assessment was therefore void and unsustainable, so the additions did not require examination on merits.

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Issues: Whether the assessment was liable to be annulled for want of issue of notice under section 143(2) of the Income-tax Act, 1961 within the statutory time limit.

Analysis: The assessment was made pursuant to search proceedings, but the notice under section 143(2) was issued after the prescribed limitation date. The Department did not dispute this position from the assessment records. Since issuance of a valid notice within time is a mandatory requirement, the belated notice went to the root of the assessment's validity. Once the notice was held to be time-barred, the assessment could not be sustained and there was no necessity to examine the merits of the additions.

Conclusion: The assessment was void and the issue was decided in favour of the assessee.

Final Conclusion: The appeal succeeded on the preliminary jurisdictional defect, and the additions were not examined on merits.

Ratio Decidendi: Failure to issue notice under section 143(2) of the Income-tax Act, 1961 within the prescribed time renders the assessment unsustainable and void.

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