CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Hyundai Challenges Indian Tax Claim

Hyundai Challenges Indian Tax Claim

by Mary Swire, Tax-News.com, Hong Kong

09 August 2011


India’s largest car exporter and second largest car manufacturer, Hyundai Motor India Ltd (HMIL), is challenging a show cause notice that has been served on it by the Department of Revenue Intelligence (DRI) for alleged customs irregularities over the last five years.

The DRI is claiming that Hyundai has mis-declared the value of imported components to the value of INR2.66bn (USD59m), however a spokesperson for Hyundai has said that the company’s legal team is already in the process of preparing an appropriate response to the notice rejecting the DRI’s claim. He also said that the INR2.66bn referred to was only 2% of the total value of imports over five years.

A statement issued by the company said: "HMIL totally denies the allegations of resorting to mis-declaration of the value of components imported by it for the manufacture of passenger cars or having suppressed information of the same."

The statement added: "Hyundai imports all the components based on transaction value and the relevant duty has been paid to the appropriate authorities with full documentation. Therefore any allegation that HMIL is resorting to mis-declaration is false, baseless and unfounded.”

A show cause notice served by the DRI requires the company in receipt of such a document to explain its position, usually within one month.

TAGS: tax | business | India | manufacturing | import duty

To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »