Mar 18: Tamil superstar Vijay was found guilty of not paying entry tax on his Rolls-Royce Ghost and ordered to pay Rs 1 lakh, but during the most recent hearing, Vijay’s lawyer insisted that the penalty should have been 2% a month instead of 400%.
Tamil Nadu’s commercial tax department has required actor Vijay to pay entrance tax on his Rolls-Royce, which he imported from the United States in 2005. An appeal was filed in the Madras High Court on behalf of Vijay in order to have the tax dismissed.
Having learned that states have the authority to collect entry taxes, Vijay paid Rs 7,98,075 in entry tax in September 2021, and the Commercial Tax Department later demanded a fine of Rs 30,23,609 for non-payment of tax between December 2005 and September 2021.
In the hearing on March 14, 2022, Vijay’s lawyer claimed they would be penalized by only 2% per month from the time the car was imported, but the fine ended up being 400%. The department of commercial taxes, on the other hand, wants the case dismissed in favour of a fine for the delay in payment of tax.
Import taxes in India are among the highest in the world, and people often try to avoid paying them by any means. For example, even though the Rolls-Royce Ghost is the most affordable Rolls-Royce in their line-up, it still costs around Rs 5 crore in India, so the import tax can be in the lakh for a vehicle such as that.
