Reopening assessment limitation under VAT law: notice within the amended six-year period was upheld despite a mistaken earlier-limit assumption.

The amended limitation period for reopening assessments under the Kerala Value Added Tax Act applied to the relevant assessment year, so a notice issued within the extended six-year period was not time-barred. The writ court's contrary view rested on an erroneous factual assumption that the earlier five-year limit governed, and that mistake could not invalidate the notice. The challenge on limitation therefore failed, the Single Judge's finding was set aside, and the writ petition was dismissed.

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Issues: Whether the notice issued for reopening the assessment under Section 25(1) of the Kerala Value Added Tax Act, 2003 was barred by limitation.

Analysis: The assessment year in question was 2013-14. The period prescribed under Section 25(1) stood amended in 2017 so as to extend the time for reopening assessment from five years to six years. The notice in the present case was issued within the six-year period applicable to the assessment year concerned, and the conclusion reached by the writ court on limitation proceeded on an erroneous factual assumption.

Conclusion: The notice was within limitation and the challenge to the assessment on the ground of delay failed. The finding of the Single Judge was set aside, and the writ petition was dismissed.

Ratio Decidendi: Where the amended statutory period for reopening an assessment is applicable to the relevant assessment year, a notice issued within that period is not time-barred and cannot be quashed on a mistaken assumption that the earlier limitation period governs.

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