• Latest
  • Trending
  • All
Indian Govt Says Quashing The Demand Would Be ‘Catastrophic’

Indian Govt Says Quashing The Demand Would Be ‘Catastrophic’

2 years ago
US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

1 hour ago
जम्मू-कश्मीर:दावा सिर्फ एक आतंकी सक्रिय होने का, पोस्टर में चार वांटेड, पूरी घाटी में हाई अलर्ट घोषित – Security Forces Have Issued Wanted Posters For Four Local Terrorists

जम्मू-कश्मीर:दावा सिर्फ एक आतंकी सक्रिय होने का, पोस्टर में चार वांटेड, पूरी घाटी में हाई अलर्ट घोषित – Security Forces Have Issued Wanted Posters For Four Local Terrorists

2 hours ago
जिला उन्नाव: क्रांति की ज्वाला, साहित्य का रस और सियासी हलचल की माटी – Unnao District Profile land of poet nirala and Chandika devi mandir up election 2027 Bangarmau Kuldeep sengar bjp lclam

जिला उन्नाव: क्रांति की ज्वाला, साहित्य का रस और सियासी हलचल की माटी – Unnao District Profile land of poet nirala and Chandika devi mandir up election 2027 Bangarmau Kuldeep sengar bjp lclam

4 hours ago
Session Unprorogued for Record 88 Days: Congress

Session Unprorogued for Record 88 Days: Congress

5 hours ago
Govardhan Puja Shubh Muhurat 2026 : 10 नवंबर को मनाई जाएगी गोवर्धन पूजा, जानें शुभ मुहूर्त और मंत्र

Govardhan Puja Shubh Muhurat 2026 : 10 नवंबर को मनाई जाएगी गोवर्धन पूजा, जानें शुभ मुहूर्त और मंत्र

5 hours ago
अजित पवार की मौत में तटकरे की भूमिका पर संदेह:शिवसेना नेता कदम का दावा, बोले- वे डिप्टी CM बनना चाहते थे; NCP सांसद बोले- कानूनी नोटिस भेजूंगा

अजित पवार की मौत में तटकरे की भूमिका पर संदेह:शिवसेना नेता कदम का दावा, बोले- वे डिप्टी CM बनना चाहते थे; NCP सांसद बोले- कानूनी नोटिस भेजूंगा

5 hours ago
Netanyahu signals joining hands with Eisenkot, calls for unity government in Israel: ‘Enough with boycotts’

Netanyahu signals joining hands with Eisenkot, calls for unity government in Israel: ‘Enough with boycotts’

6 hours ago
How Tanvi Patri’s unique journey was forged in China

How Tanvi Patri’s unique journey was forged in China

6 hours ago
HSBC Upgrades Indian Equities to ‘Overweight’ Amidst Resilient Growth & Diversification

HSBC Upgrades Indian Equities to ‘Overweight’ Amidst Resilient Growth & Diversification

6 hours ago
PM Modi Talks With Ukraine President Zelenskyy on Russia War Peace Efforts

PM Modi Talks With Ukraine President Zelenskyy on Russia War Peace Efforts

9 hours ago
Govt Employee Automatic Suspension After 48hr Custody

Govt Employee Automatic Suspension After 48hr Custody

10 hours ago
Arpita Singh: in the solitude of her studio

Arpita Singh: in the solitude of her studio

10 hours ago
Monday, November 9, 2026
  • PRESS RELEASE
  • ADVERTISE
  • CONTACT
  • Game
India News Online
  • Home
  • News
    • India
    • Punjab
    • International
    • Entertainment
  • Hindi News
  • Politics
  • Health
  • Business
  • Sports
  • Technology
  • Lifestyle
  • Video
    • All
    • Hindi Songs
    • Punjabi Songs
    Refugee (Official Music Video) Jordan Sandhu | Latest Punjabi Songs 2026

    Refugee (Official Music Video) Jordan Sandhu | Latest Punjabi Songs 2026

    New Songs 2026 | Kitna Pyar Hai | New Hindi Song | Ariyan Khan | Rashmika | Latest Romantic Song

    New Songs 2026 | Kitna Pyar Hai | New Hindi Song | Ariyan Khan | Rashmika | Latest Romantic Song

    Girls Night Mix | Video Jukebox | Hindi Bollywood Songs | Chhaliya, Lucky Boy & more

    Girls Night Mix | Video Jukebox | Hindi Bollywood Songs | Chhaliya, Lucky Boy & more

    Sappan De Ghar | Gulab Sidhu | New Punjabi Song 2026 | Latest Punjabi Song | Finetone Music

    Sappan De Ghar | Gulab Sidhu | New Punjabi Song 2026 | Latest Punjabi Song | Finetone Music

    90’S Old Hindi Songs🥰 90s Love Song😍 Udit Narayan, Alka Yagnik, Kumar Sanu songs Hindi Jukebox

    90’S Old Hindi Songs🥰 90s Love Song😍 Udit Narayan, Alka Yagnik, Kumar Sanu songs Hindi Jukebox

    90’S Old Hindi Songs💗 90s Love Song💛Udit Narayan, Alka Yagnik, Kumar Sanu, Sonu Nigam songs Hindi

    90’S Old Hindi Songs💗 90s Love Song💛Udit Narayan, Alka Yagnik, Kumar Sanu, Sonu Nigam songs Hindi

    Bollywood 90’s Romantic Songs | Audio Jukebox | Hindi Love Songs | Tips Official | 90’s Hits

    Bollywood 90’s Romantic Songs | Audio Jukebox | Hindi Love Songs | Tips Official | 90’s Hits

    Instagram Viral Love Mashup | Non-Stop Jukebox | Best Viral Hindi Songs 2026 | Amit Vedwal

    Instagram Viral Love Mashup | Non-Stop Jukebox | Best Viral Hindi Songs 2026 | Amit Vedwal

    2026🔥 Best of Sidhu Moose Wala | All Time Hits Punjabi Songs | Greatest Hits Collection | 😎

    2026🔥 Best of Sidhu Moose Wala | All Time Hits Punjabi Songs | Greatest Hits Collection | 😎

  • Travel
  • Game
No Result
View All Result
India News
No Result
View All Result
Home Business

Indian Govt Says Quashing The Demand Would Be ‘Catastrophic’

by India News Online Team
March 23, 2025
in Business
0
Indian Govt Says Quashing The Demand Would Be ‘Catastrophic’
Share on FacebookShare on TwitterShare on Email


The Indian government has strongly opposed Volkswagen’s plea to annul a $1.4 billion tax demand, warning that such a move could set a dangerous precedent. In a court filing in Mumbai, the Centre argued that accepting the automaker’s request would encourage businesses to withhold critical information and prolong investigations.

The tax demand, the highest of its kind in India concerning import duties, follows a review of 12 years of Volkswagen’s shipments, reported Reuters. The case has reignited concerns among foreign investors about prolonged investigations in the country.

Volkswagen’s Indian subsidiary, Skoda Auto Volkswagen India, has been accused of misclassifying imported components for its Audi, VW, and Skoda vehicles to avoid higher tariff rates. The company has countered the allegations, asserting that tax officials failed to promptly review shipments, which contributed to the prolonged inquiry.

Volkswagen has described the dispute as a “matter of life and death” for its business in India and has taken the matter to the Mumbai High Court.

The tax authority, however, has refuted this claim, stating in a 78-page court filing dated March 10 that the delays occurred because Volkswagen withheld key import data. The government argued that if the court sides with the automaker, importers could use similar tactics to evade scrutiny and later claim that tax authorities exceeded the allowed timeframe for investigations. Such an outcome, the filing states, would have “catastrophic consequences.”

Implications for Volkswagen and Foreign Investment

The case is scheduled for a hearing on Monday. Neither Volkswagen nor the Indian government have released any official comment on the matter.

Despite being a small player in India’s automotive sector—now the world’s third-largest—Volkswagen could face significant financial consequences if found guilty. Including penalties and interest on delayed payments, the total tax liability could rise to $2.8 billion. The company’s Audi brand also lags behind luxury competitors such as Mercedes-Benz and BMW in the Indian market.

India has been actively working to attract foreign investment, with Prime Minister Narendra Modi promoting simpler regulations and reduced bureaucratic obstacles. However, the persistence of lengthy tax disputes remains a major concern for investors.

Volkswagen has argued that if the tax review was concluded earlier, it could have adjusted its import strategy or challenged the findings more effectively. The company claims the tax notice issued in September 2024 jeopardises the confidence foreign investors place in India’s regulatory system.

In its latest filing, the tax authority stated that Volkswagen only provided necessary documents in phases, delaying the process. The government is now urging the court to instruct the automaker to comply with procedural requirements and respond to the tax notice through engagement with the tax department rather than through judicial intervention.

Additionally, officials have accused Volkswagen of structuring its imports strategically over the years to avoid detection. Instead of declaring its shipments as “completely knocked down” (CKD) units—subject to a 30 per cent to 35 per cent tax—the company allegedly imported parts separately, thereby benefiting from lower tariff rates of 5 per cent to 15 per cent.

As the legal battle unfolds, the outcome of this high-stakes dispute could have broader implications for multinational corporations operating in India and their approach to regulatory compliance.



Source link

Tags: CatastrophicDemandgovtIndianquashing
Share199Tweet125Send

Related Posts

HSBC Upgrades Indian Equities to ‘Overweight’ Amidst Resilient Growth & Diversification
Business

HSBC Upgrades Indian Equities to ‘Overweight’ Amidst Resilient Growth & Diversification

November 9, 2026
GMR Aero Technic Expands Hyderabad MRO Facility, Adds Wide-Body Painting
Business

GMR Aero Technic Expands Hyderabad MRO Facility, Adds Wide-Body Painting

November 9, 2026
Tata Motors vs Mahindra: EVs Fuel Fierce Battle for India’s Second Largest Passenger Vehicle Market Share
Business

Tata Motors vs Mahindra: EVs Fuel Fierce Battle for India’s Second Largest Passenger Vehicle Market Share

November 9, 2026
Indian Stock Markets See Marginal Dip in Special Muhurat Trading Session
Business

Indian Stock Markets See Marginal Dip in Special Muhurat Trading Session

November 8, 2026
Load More
  • Trending
  • Comments
  • Latest
9 Festivals to Celebratein August in India

9 Festivals to Celebratein August in India

August 8, 2025
Corruption cases against govt officials: SC bats for striking balance | Latest News India

Corruption cases against govt officials: SC bats for striking balance | Latest News India

August 5, 2025
Guru Randhawa – SIRRA ( Official Video )

Guru Randhawa – SIRRA ( Official Video )

July 1, 2025
US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

0
COVID-19: Delhi govt-run medical colleges to re-open; students to join in phased manner

COVID-19: Delhi govt-run medical colleges to re-open; students to join in phased manner

0
WhatsApp updates terms of service, privacy policy for user data processing and Facebook integration- The New Indian Express

WhatsApp updates terms of service, privacy policy for user data processing and Facebook integration- The New Indian Express

0
US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants

November 9, 2026
जम्मू-कश्मीर:दावा सिर्फ एक आतंकी सक्रिय होने का, पोस्टर में चार वांटेड, पूरी घाटी में हाई अलर्ट घोषित – Security Forces Have Issued Wanted Posters For Four Local Terrorists

जम्मू-कश्मीर:दावा सिर्फ एक आतंकी सक्रिय होने का, पोस्टर में चार वांटेड, पूरी घाटी में हाई अलर्ट घोषित – Security Forces Have Issued Wanted Posters For Four Local Terrorists

November 9, 2026
जिला उन्नाव: क्रांति की ज्वाला, साहित्य का रस और सियासी हलचल की माटी – Unnao District Profile land of poet nirala and Chandika devi mandir up election 2027 Bangarmau Kuldeep sengar bjp lclam

जिला उन्नाव: क्रांति की ज्वाला, साहित्य का रस और सियासी हलचल की माटी – Unnao District Profile land of poet nirala and Chandika devi mandir up election 2027 Bangarmau Kuldeep sengar bjp lclam

November 9, 2026
India News Online

24x7 Online News From India
India News Online is your news, entertainment, music fashion website. We provide you with the latest breaking news and videos straight from the entertainment industry.

Categories

  • Business
  • Entertainment
  • Health
  • Hindi News
  • Hindi Songs
  • India
  • International
  • Lifestyle
  • Panjab
  • Politics
  • Punjabi Songs
  • Sports
  • Technology
  • Travel
  • Uncategorized
No Result
View All Result

Recent Posts

  • US H1B Visa Rules | Donald Trump Deportation Plan for Indian Immigrants
  • जम्मू-कश्मीर:दावा सिर्फ एक आतंकी सक्रिय होने का, पोस्टर में चार वांटेड, पूरी घाटी में हाई अलर्ट घोषित – Security Forces Have Issued Wanted Posters For Four Local Terrorists
  • जिला उन्नाव: क्रांति की ज्वाला, साहित्य का रस और सियासी हलचल की माटी – Unnao District Profile land of poet nirala and Chandika devi mandir up election 2027 Bangarmau Kuldeep sengar bjp lclam
  • Home
  • Disclaimer
  • DMCA
  • Privacy Policy
  • Cookie Privacy Policy
  • Terms and Conditions
  • Contact

Copyright © 2021 - India News Online.

No Result
View All Result
  • Home
  • News
    • India
    • Punjab
    • International
    • Entertainment
  • Hindi News
  • Politics
  • Health
  • Business
  • Sports
  • Technology
  • Lifestyle
  • Video
  • Travel
  • Game

Copyright © 2021 - India News Online.