Maha: Volkswagen-Skoda urges HC to hear them on Rs 11,000 crore tax notice
05-Feb-2025 06:49 PM 2767
Mumbai, Feb 5 (Reporter) Škoda Auto Volkswagen India Private Limited, the wholly-owned Indian subsidiary of German automotive manufacturing company, on Wednesday urged the Bombay High Court to urgently hear their plea over a Rs 11,000 crore show-cause notice from tax authorities for alleged Customs duty fraud. The case involves the import of cars as completely knocked down units. Advocate Naresh Thacker, along with Adv Gopal Mundhra, mentioned the petition before the bench of Justices B P Colabawalla and Firdosh Pooniwalla while stating that the plea is challenging a show-cause notice issued in September 2024 under the Customs Act. They urged the court to urgently hear them, upon which the court agreed and adjourned the hearing and listed the matter for hearing on February 17. The Volkswagen Group, currently led in the country by Skoda Auto Volkswagen India, has been accused of deliberately misleading Customs authorities through its mode of import of parts as individual units rather than as a component of a ‘completely knocked down’ (CKD) unit, which attracts higher import duty. It is understood that the alleged Customs duty fraud is applicable only to cars, which are brought under the CKD route. The VW Group, through its various brands including Audi, VW and Skoda, sold a variety of models, which have been imported as CKD units and assembled in India. Some of the models include Octavia, Superb, Kodiaq, Passat, Jetta and Tiguan...////...
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