BMW faces a whopping Rs 650-crore duty evasion notice in India

The high-flying carmaker has been jolted out of cruise control by CBEC in India.

The CBEC is likely to serve a Rs 650-crore show-cause notice to luxury car maker BMW alleging that it imported semi-knocked down cars but paid duty for completely-knocked down car units.

“The Central Board of Excise and Customs (CEBC) Chennai office will serve Rs 650 crore show-cause notice to BMW,” a Finance Ministry official said.

“The department believes that BMW imported semi-knocked down (SKD) cars but paid duty for completely-knocked down (CKD) cars. The company will be served notice shortly,” the official added.

Story continues below this ad

The customs duties on SKD and CKD are 30 per cent 10 per cent,respectively.

When contacted for comment,BMW India spokesperson said,”An inspection is in process by the authorities at BMW Plant in Chennai. We are co-operating with the authorities in the inspection process.”

India will be back on negotiating table in 1-2 months seeking a deal, 'saying sorry', says US Commerce Secretary Lutnick

India will be back seeking a deal, ‘saying sorry’, says US Commerce Secretary Lutnick

Business7 hr ago

US Commerce Secretary Howard Lutnick predicts that India will apologise and return to the negotiating table within the next month or two to sign a trade deal with the US. He urges India to choose between supporting the US or aligning with Russia and China. Lutnick also criticised India's retaliatory tariffs and calls Prime Minister Modi's meeting with Chinese and Russian leaders "bravado."

View all shorts

Live Blog