Mondelez India slapped Rs 300-cr tax notice

It's a development that will leave a bitter taste in the mouth. Upholding a tax demand made by the central excise department in February 2013, the Chandigarh central excise office has issued an order to Mondelez India Monday demanding a payment of over Rs 300 crore for evading taxes on its unit in Himachal Pradesh, reports CNBC-TV18’s Farah Bookwala Vhora.

The tax demand includes Rs 252.45 crore in unpaid taxes, interest and penalty. The Directorate General of Central Excise Intelligence (DGCEI) has alleged that the company evaded excise from its Baddi plant in Himachal Pradesh from March 2010 to January 2013.

According to sources, the DGCEI had issued 2 showcause notices for subsequent periods. The allegations cite that Mondelez India has misled excise department regarding new unit set up at Baddi in 2009 and attempted to evade taxes and benefit from duty and tax waivers.

Mondelez India Spokesperson told CNBC-TV18 that they have not received the order as yet.