11. Refund of Tax

(1) The assessing authority shall refund to a person the amount of the tax and the penalty, if any, paid by such person in excess of the amount due from him for any period and the refund may be either by cash payment or at the option of the person, by reduction of such excess from the amount of the tax and the penalty, if any, due from that person in respect of any other period:

Provided that the assessing authority shall first apply such excess towards the recovery of any amount due in respect of which a notice under subsection (4) of Section 1 0 has been issued, and shall then refund the balance, if any.

(2) Where as a result of any order passed in appeal or other proceeding under this Act, refund of any amount becomes due to the importer, the assessing authority shall refund the amount to the importer without his having to make any claim in that behalf, or adjust or apply, such amount as provided in sub-section (1).

(3) Where a levy and collection of tax is held invalid by any judgment or order of a Court or Tribunal, it shall not be necessary to refund any such tax to the importer unless it is proved by the importer to the satisfaction of the assessing authority that the tax has not been collected from the purchaser of the motor vehicle.