(1) (a) No application is required for sanction of refund arising out of any order of assessment, appeal, revision or rectification under the Act and such refund shall be allowed within sixty days of the date of receipt of such order by the assessing authority.

(b) Refund sanctioned under clause (a) shall be paid either through refund adjustment voucher in Form E 35 or through refund payment voucher in Form E 36 or both.

(2) Omiited w.e.f. 23-10-09.

(3) (a) Where any dealer claims refund in return furnished for a tax period on account of sales in course of export out of the territory of the India or on account of deductions or exemptions provided under the Act and these rules, he shall make an application in Form E 37 to the assessing authority of the circle or range, as the case may be, within thirty days from the date of furnishing such return:

Provided that an application for refund made after thirty days may be admitted, if the assessing authority is satisfied that the dealer has sufficient cause for not making the application within the said period.

(b) Where the refund is claimed on account of sale in the course of export out of the territory of India, the application shall be accompanied by the evidences including the purchase order placed by the foreign buyer with the date, the agreement with the foreign buyer, bill of lading, letter of credit, evidence of payment made by the foreign buyer and / or such other evidences as may be required to establish the claim of refund and where the refund is claimed on account of deductions or exemptions as provided under the Act and these rules,

the application shall be accompanied by such evidences as may be required to establish the claim of refund.

(c) The assessing authority, on receipt of the application for refund along with the documents referred to in clause (b), shall refer the case for tax audit to determine the admissibility, or otherwise, of the claim of refund.

(d) If the application for refund as referred to in clause (b) is correct and complete and if after completion of the tax audit, the claim of refund is found to be correct and supported by required evidences, the assessing authority concerned, after receipt of report of such findings, shall sanction the refund claimed.

(e) Where the tax audit results in assessment, the claim of refund shall be subject to the result of such assessment :

Provided that in calculating the period of ninety days, the period taken for completion of assessment consequent upon tax audit, shall be excluded.