sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
Customs and Excise »
 Delhi Customs launches special drive to help exporters get quick tax refunds
  Customs Audit Regulations, 2018
 Customs Audit Regulations, 2018
 Central Board of Excise and Customs to be renamed CBIC by April
 Central Board Of Excise & Customs New Delhi GST Flyers
 Hike in customs duty on electronics likely to boost revenue collection
 Customs duty raised on electronic goods
 Ministry Of Finance (Central Board Of Direct Taxes) Notification
 Refund of IGST paid on export of goods under rule 96 of CGST Rules,2017
 Customs And Central Excise Drawback – Part II
 Customs Valuation (Determination of Value of Imported Goods) Rules 2007

SC asks Skoda to deposit Rs 30cr with Customs Department
May, 04th 2011

The Supreme Court has upheld tax appellate tribunal CESTAT's direction to Skoda India to submit deposit of Rs 30 crore dispute over in Rs 194 crore duty by the Customs Department.

The Customs Department had demanded Rs 194 crore as duty on Skoda Auto India for $45 million royalty paid to its parent company which is a subsidiary of Volkswagen Group.

A bench comprising justices D K Jain and H L Dattu on Monday dismissed the petition filed by Skoda India asking the auto maker to pay as per the directions of the Customs Excise and Service Tax Appellate Tribunal.

Earlier, the Bombay High court had also rejected Skoda's petition.

"We do not find any ground to interfere with the impugned order passed by the High Court. Accordingly, the special leave petition is dismissed," said the Supreme Court.

However, providing some relief to the company, which is 100 per cent owned by the Czech major, the apex court extended the time by four weeks for depositing the money with the authorities.

"We extend the time granted by the high court for deposit of Rs 30 crores by a further period of four weeks from today," the bench said.

According to the Custom Department, $45 million was paid by Skoda India in the name of technology tranfer agreement, was in fact part of the value of 45,000 car kits supplied by parent firm to Skoda India from time and time.

Skoda India, which has set up its plant in Auranagabad, manufactures cars by importing kits from its parent firm.

On the basis of the material found during a search operation and the statements made by various persons, the department had issued showcause notices Skoda India asking it why why $45 million paid by it should not be considered as part of the value of the raw materials imported from Skoda.

The department laster slapped a duty of Rs 97.15 crore and imposed a penalty of equivalent amount under Section 114A of the Customs Act, 1962.

The tax department had also levied penalty against the ex Managing Directors as well as the chartered accountants of Skoda India.

This was challenged by Skoda India before the CESTAT, which on May 12, 2010 directed it to make predeposit of Rs 30 crore.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Enterprise Resource Planning Solutions ERP Solutions Enterprise Resource Planning Software Solutions ERP Software Solutions Supply Chain Management Solutions SCM Solutions Supply Chain Management Software Solutions SCM Software Solutions Enterprise Resource Planning Solutions India ERP Solutions India Enterprise Resource Planning Software Solutions India ERP Software Solutions India Supply Chain Management Solutions India SCM Solutions India Supply Chain Management Software Solutions India SCM Software Solutions India

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions