New Delhi: Indian tax officials are investigating whether liquor giants Pernod Ricard and Diageo wrongly classified some bulk Scotch imports, allowing them to pay lower tariffs introduced under the recently agreed India-UK trade pact, five industry sources familiar with the matter said.
Import tariff disputes have long been a sore point for foreign investors in India and embroiled companies like Samsung, LG and Volkswagen. They often involve large back-tax demands raised years after the items were imported, with Indian officials saying they are only enforcing the law.
