India’s $1.4 billion tax demand a matter of survival for Volkswagen India unit, says lawyer. Indian authorities claim the company was using a strategy of breaking down imports of some VW, Skoda and Audi cars into individual parts to pay a lower duty. Volkswagen is a tiny player in India’s car market, the world’s third biggest, where its Audi brand lags competitors in the luxury segment like Mercedes-Benz, and BMW. The tax demand will hamper its business plans and is detrimental to the foreign investment climate, according to the German carmaker. The court will continue hearing the case on Thursday, with the case expected to last until the end of the month, if not longer. The company employs 6,000 people locally, and says it is committed to investing in the country’s fastest-growing major economy, the NSE said in a statement on Monday. Click here to read more about the case in the Indian edition of this week’s Daily Mail. Back to Mail Online home.Back to the page you came from.
