Commercial tax dept claims Rs 1.8 cr from Rolls-Royce dealer

Car was transported without the documents required under the Kerala Vat Act

The commercial tax department of Kerala stopped Rolls-Royce's new car Dawn at the Kerala-Tamil Nadu border check post of Walayar, which was on transit to Kerala in a container vehicle. The Chennai-based dealer, which transported the vehicle, obtained an order from the court and released the car today morning from custody, said Commercial Tax officials.

According to an official from Commercial Tax department, the car, which would cost around Rs 8 crore on the road, was transported without the documents required under the Kerala Vat Act, though it did have a customs clearance document. The container was stopped by the tax officials two days back, in Walayar.

Company officials were not available for comment immediately.

The dealer Kun Motoren approached the court pleading that the vehicle had been brought in to the State for a promotional exhibition in a hotel in Kochi and that it would be taken back to Chennai through Walayar check post in Kerala.

"We have stopped the car for being transported without proper documents and have issued a notice asking them to pay Rs 1.88 crore. The dealer has said that they will ship the car back to Tamil Nadu through the same checkpost and we will have a check on it," said J Udayakumar, inspector, Commercial Tax Department.

"Rolls-Royce is a luxury car and usually is manufactured based on a confirmed order. We have no information related to any exhibition being conducted in the said hotel and we have taken the car into custody," said the official.

The British luxury car maker has launched its Dawn convertible model in the country in the end of June, in India, with prices starting at Rs 6.25 crore.