Escorts Kubota Faces Rs 14 Crore Customs Demand: Company to Appeal

New Delhi, Jun 25 (PTI) Farm equipment and construction equipment firm, Escorts Kubota Ltd on Tuesday said it has received demand and penalty of over Rs 14 crore from customs authority, which it intends to challenge.

The Commissioner of Customs (Adjudication), Delhi Zone has passed an order confirming the demand of Rs 4,42,10,867 along with applicable interest and has also imposed a penalty of Rs 9,87,10,867 on valuation issue on imported goods, Escorts Kubota said in a regulatory filing.

The company intends to file an appeal against the said order, it added.

In a separate matter, the company said the Deputy Commissioner of State Tax, Bihar has passed an order confirming the penalty of Rs 3,74,301 on the issue of computation of turnover, disallowance of discounts and sales return.

"Further, the department has adjusted Rs 2,88,113 against the said penalty," it added.