Tax wrongfully collected and paid to the Central Government or State Government

(1) A registered person who has paid the Central tax and State tax on a transaction considered by him to be an intra-state supply, but which is subsequently held to be an inter-State supply, shall be refunded the amount of taxes so paid in such manner and subject to such conditions as may be prescribed.

(2) A registered person who has paid integrated tax on a transaction considered by him to be an inter-State supply, but which is subsequently held to be an intra-State supply, shall not be required to pay any interest on the amount of State tax payable.