Limitation finality bars a merits challenge when the time-bar finding is left unappealed and conclusive.

Once a show cause notice is held time-barred and that limitation finding is not challenged, the Department cannot later reopen the dispute by arguing the merits. The prior adjudication had already withdrawn the notice on limitation, and that determination attained finality. Because the bar of limitation remained unassailed, a merits-based challenge could not displace the earlier final finding or cure the time-bar defect. The Department was therefore precluded from contesting the matter on merits after limitation had become final against it.

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Issues: Whether the Department could challenge the order on merits when the finding on limitation had attained finality and was not appealed against.

Analysis: The prior adjudication had withdrawn the show cause notice as time-barred, and that finding was never assailed by the Department. Once limitation remained unchallenged, the Department could not be permitted to bypass that final finding by raising a fresh ground on merits, since success on merits alone would not cure the bar of limitation.

Conclusion: The Department was not entitled to contest the matter on merits after the limitation finding had become final against it.

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