The Office of Treasury and Fiscal Services is authorized to pay, on the order of the commissioner, claims for refunds of cigar or cigarette taxes found by the commissioner or the courts to be due any distributor, dealer, or taxpayer. The commissioner, upon proof satisfactory to him and in accordance with regulations promulgated by him, shall refund the cost price of stamps affixed to any package of cigars or cigarettes or shall refund the tax paid on cigars under the alternate method when the cigars or cigarettes have become unfit for use, consumption, or sale and have been destroyed or shipped out of the state.