54. Refund:-

(1) In cases where refund is due to a dealer as per Section 22 or Section 29 or Section 50 or Section 53 or Section 55 the Assessing Authority shall issue a refund voucher in Form VAT-35. It shall be payable at the treasury to which it is addressed.

Provided that if the dealer desires payment by adjustment towards any amount subsequently payable by him, he may exercise option in writing before the issuance of notice of demand or revised demand as the case may be. The Assessing Authority shall issue refund adjustment order in Form VAT-36 authorizing the dealer to deduct the sum refundable from amount payable in respect of next return period following the sanction of refund and the dealer shall attach the said order with the next return to be furnished by him.

(2) The Assessing Authority shall soon after the issue of the refund voucher issue an advice in Form VAT-37 to the Treasury Officer concerned, containing therein the name and address of the refundee, the amount of refund, date of issue and serial No. of refund voucher.

(3) When the Assessing Authority commences the use of a fresh refund voucher book he shall intimate to the Treasury Officer(s) of his District the serial number of the book and the serial Number of the vouchers contained in it.

(4) The refund shall be payable within a period of 90 days from the date it is granted. If the refundee fails to encash it within the aforesaid period, he shall return it to the Assessing Authority who shall extend the date or its validity for a further period of 30 days after being satisfied that the refund voucher has not been encashed. He shall also send intimation to this effect to the concerned Treasury Officer.

(5) If the refund voucher has been lost or damaged before encashment the Assessing Authority shall after being satisfied with the contention of the refundee obtain from him an indemnity bond in Form VAT-38 and issue a fresh refund voucher and also send information to this effect to the concerned Treasury Officer provided that the date of issue of original refund voucher shall be the date on which refund is granted.

(6) The authority issuing the refund order in Form VAT-35 shall forward his specimen signatures duly attested by the next higher authority to the treasury to whom the refund vouchers are addressed for encashment.