(1)(a) Subject to the provisions of section 11, the eligible units to whom a Certificate of Entitlement has been issued under sub-rule(4) of rule 18A shall be granted refund of the tax paid on purchase of taxable goods.

(b) Since the eligible unit is entitled to refund of the tax paid on purchases, it shall not adjust such tax credit against output tax liability.

(c ) The eligible unit shall make an application for refund along with its return to the concerned Commercial Tax Officer and such Officer shall, as far as possible, grant refund subject to provisions of section 40, within one months after the receipt of the application for refund.

(d) The refund under this rule shall not be admissible unless the eligible unit furnishes the copies of tax invoices of the purchases for which refund thereof is claimed.

(2) The eligible unit availing benefit of tax remission shall not be entitled to tax credit under section 12.

(3) The eligible unit availing tax remission shall collect the tax on sales effected by him and shall not pay such tax in to Government Treasury. The concerned Commercial Tax Officer shall pass order for remission of such tax separately for each tax paid.

(4) The eligible unit shall be entitled to remission of the central sales tax payable under the provisions of the Central Sales Tax Act, 1956 on the sales effected by him in the course of inter-State trade and commerce.