Where any amount payable by a dealer in respect of any period on account of tax assessed, penalty imposed or late fee and interest determined is reduced in consequence of any order passed on re-assessment, re-determination, penalty, revision or review, as the case may be, and if it is found that the amount payable is less than the amount paid for such period, including the amount recovered under section 55, if any,the appropriate assessing authority or the appellate authority or revisional authority shall serve upon such a dealer, a revised notice in Form 27 or Form 27A or Form 28, as the case may be, specifying therein the amount paid in excess and the excess amount shall be refunded to the dealer by the appropriate assessing authority in accordance with sub-rule (4), sub- rule (5) and sub-rule (6) of rule 59:

Provided that where any amount of tax assessed, penalty imposed, late fee determined or interest determined in respect of a dealer for any period remains unpaid till the date of the order in consequence of which such refund arises, the appropriate assessing authority or the appellate authority or the revisional authority shall adjust the amount of excess payment towards the arrear tax, penalty, late fee or interest and thereupon, if any amount still remains refundable, he shall specify such adjustment in the said revised notice in Form 27 or Form 27A or Form 28, as the case may be and send to the dealer alongwith such notice a Refund Adjustment Order or the said authority shall refund the excess amount to the dealer in accordance to sub-rule(4), sub-rule(5) and sub-rule (6) of rule 59:

Provided further that, if the amount of tax, penalty, late fee or interest due from a dealer in respect of any period, proceedings for the recovery of which as an arrear of land revenue have been commenced under section 55, is subsequently reduced in consequence of any order referred to above, the appropriate assessing authority shall send a copy of the aforesaid notice to the Certificate Officer or Tax Recovery Officer to whom the Certificate has been sent.