India court to re-hear Volkswagen's challenge to $1.4 billion tax demand, sources say

NEW DELHI: An Indian court will re-hear Volkswagen’s challenge to a $1.4 billion tax demand for allegedly undervaluing some auto imports, according to two sources with direct knowledge of the matter.

The decision on Tuesday comes more than a year after arguments in the case were concluded. No verdict has been announced.

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The Indian tax authorities allege the automaker mis-declared its auto component imports in the country over a 12-year period to pay lower taxes. The German group has defended its practice.