( I) No per~on who IS not a 1 egt stet ed dealer shall collect any amount by way of tax under th1s Act ;
nm shall a 1 egtstered dealer make any such collection except m accord ance with such condttions and restnctwns, 1f any, as may be pt escri bed:
Provided that nothing cotamed in thts sub-section shall apply to the Central Government, a State Government or a local authonty.
(2) If any dealer or person who is not liable 'to tax under th1s Act collects any amount purportmg to be by way of tax, such dealer or person shall, unless 1t IS established to the sat1sfact10n of the assessing authonty that the amount so collected has been refunded to the person '"'ho had ongmally patd the amount, pay over to the Govemmcnt w1thin such time and m such manner as may be prescribed all amounts so collected.
(3) If any dealer or person collects tax on transactions not !table to tax under th1s Act or m exces~ of the tax leviable under th1s Act, such dealer or person shall, unless 1t is estabhshed to the satisfactiOn of the assessing authority that the tax so collected has been refunded to the person who had onginally pa1d the tax, pay over to the Govern ment, in addition to the tax payable, the amount so collected, withm such time and in such manner as may be prescnbed.
(4) A local authority wh1ch collects any amount by way of tax under this Act shall pay over to the Government the amount so collect ed, and if any such amount 1s not so paid the Collector of the d1st11ct concerned shall, on requis1t1on by the asse~smg authollty, make an order directing the person having the custody of the fund'> of the local authority to pay 1t in puonty to any other charge against such fund e:-..ccpt charges for the service of authm ised loans; and such pe1 son shall be bound to comply w1th such order.