Volkswagen’s Indian operations have been accused of evading $1.4 billion in import duties, marking one of the largest tax-related demands against a multinational in India. The allegations stem from claims that the German automaker misclassified imported car components to pay lower taxes, a practice the authorities deem “wilful evasion.” This controversy adds to Volkswagen’s mounting challenges, both within India and globally, as it grapples with labor disputes, competitive pressures, and dwindling market share in key territories. The Allegations: Misclassification and Underpaid Duties Indian authorities allege that Volkswagen’s local unit, Skoda…
Volkswagen Faces $1.4 Billion Tax Evasion Allegations in India: A Deep Dive into the Controversy
