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Volkswagen's $1.4 Billion Tax Case: Bombay HC to Rehear Dispute from October 21
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CNBC TV18•21-09-2026, 14:49
Volkswagen's $1.4 Billion Tax Case: Bombay HC to Rehear Dispute from October 21
- •The Bombay High Court will begin fresh hearings in Volkswagen's $1.4 billion tax dispute with Indian authorities starting October 21.
- •The court ordered the case to be re-argued after de-reserving its judgment, which was reserved in April 2025 but never delivered due to "exigency of work."
- •Interim relief granted to Volkswagen will continue until the next hearing, providing temporary protection to the German carmaker.
- •The dispute originated from a September 2024 show-cause notice, accusing Volkswagen of evading import duties by mis-declaring components.
- •Indian customs authorities alleged Volkswagen's India unit imported vehicles in unassembled form, splitting shipments to pay lower duties applicable to individual parts, a claim Volkswagen contests.
Key Questions Answered
The Bombay High Court is scheduled to start fresh hearings for Volkswagen's $1.4 billion tax dispute on October 21, 2026, after the previous judgment was de-reserved due to work exigencies.
Indian customs authorities alleged that Volkswagen evaded import duties by mis-declaring completely knocked-down vehicle components for models like the Audi A4, Skoda Superb, Kodiaq, and VW Tiguan, splitting shipments to pay lower tax rates.
The Bombay High Court ordered that the interim relief previously granted to the German carmaker will remain in effect until the next hearing date, offering temporary legal protection while the case is re-argued.
