Hyundai Motor India Ltd has disclosed that it received a show cause notice from the Maharashtra State Tax Authority demanding over Rs 5 crore, including interest. The notice, issued on November 25, alleges that the company claimed excess input tax credit (ITC) in violation of prescribed norms.
The tax authority contends that the excess ITC claimed and the tax paid under the reverse charge mechanism (RCM) do not align with the applicable regulations. According to the notice, the demand comprises Rs 2.741 crore in tax and Rs 2.279 crore as interest.
In response, Hyundai Motor India stated it will submit a detailed reply to the adjudicating authority within the specified timelines.
The company clarified that the show cause notice will not impact its financial position, operations, or other activities.
About the Company:
Hyundai Motor India Ltd (HMIL) is a leading automobile manufacturer and the second-largest carmaker in India. A wholly owned subsidiary of Hyundai Motor Company, South Korea, HMIL began operations in 1996 and has since established itself as a pioneer in the Indian automotive industry. The company operates a state-of-the-art manufacturing facility in Sriperumbudur, Tamil Nadu, with an annual production capacity of over 7.5 lakh units. Known for its innovation and commitment to quality, Hyundai offers a diverse portfolio of vehicles, ranging from compact cars to premium SUVs, catering to a wide spectrum of customer preferences. HMIL also plays a significant role in the export market, serving over 85 countries. With a robust dealer network and customer-first approach, Hyundai Motor India continues to drive growth and excellence in the Indian automotive landscape.
MORE.... New Compliance Campaign Launched to Assist Taxpayers with Foreign Assets for AY 2024-25