Magnetic storage device maker Moser Baer today contested reports that it faces a tax case amounting to Rs 2,978 crore in the Supreme Court.
"These reports are completely erroneous and highly damaging for the company's reputation. It is a sum of Rs 2.97 crore that the Income Tax Department had demanded as tax. This figure has been inflated a 1,000 times...," the company said in a statement.
In March 2003, the Income Tax Department had demanded Rs 2.97 crore as tax. This was successfully challenged by the company before the Commissioner of Income Tax (Appeals) in August 2003.
The department thereafter made a futile appeal to the Income Tax Appellate Tribunal and then before the Delhi High Court. After the High Court also turned it down, the Department has moved the Supreme Court.
