Gold prices dip as hawkish Fed minutes weigh ahead of Jackson Hole
Investing.com -- South Korean automaker, Kia, is disputing a $14 million tax demand from Indian authorities, the company revealed on Friday. The tax demand alleges that Kia wrongly claimed lower tariffs on certain electronic car part imports, using free trade agreements as a basis.
The issue first came to light through a confidential notice issued by the Indian authorities in 2023. Although this notice is not public, it was reviewed by a news agency. The notice accuses Kia of importing some electronic parts and incorrectly claiming benefits of lower duties. These lower duties did not apply to the imported components under India’s free trade agreements with Korea and ASEAN nations.
In response to the tax demand, Kia issued a statement on Friday. The company described the issue as an "interpretational issue" regarding misclassification. Kia has already submitted a detailed response to the tax authorities, who are currently reviewing the matter.
Kia India further elaborated on the issue in an emailed response. The company noted that such matters are typically resolved at the level of regulatory authorities. However, depending on the severity of the interpretation, some issues may need to be escalated to a higher level.
This event marks the latest tax dispute between Kia and New Delhi, adding another chapter to the ongoing tussle between the South Korean automaker and Indian authorities.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.