Hyundai Motor India Ltd on Tuesday said it has received a demand of Rs 517.34 crore from tax authorities, along with penalty, for alleged short payment of GST compensation cess on its certain SUV models.
The company has received an order from Commissioner (Appeals), CGST Dept, Tamil Nadu, confirming GST compensation cess demand of Rs 258.67 crore, along with penalty of Rs 258.67 crore, on the allegation of short payment of GST compensation cess on certain SUV models for the period September 2017 - March 2020, Hyundai Motor India Ltd said in a regulatory filing.
Reacting to the demand, a company spokesperson said, "HMIL is of the view that the amendment and the clarifications given by the Central Board of Indirect Tax and Customs to resolve the issue faced by the industry on this matter are in favour of the company. We are in the process of reviewing the order and will exercise the right to seek a legal remedy through an appropriate forum."
The company asserted that there is no impact on its financial, operation or other activities due to the order and is reviewing the order and will exercise the right to file appeal.
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