Volkswagen has sued Indian authorities to quash an "impossibly enormous" tax demand of $1.4 billion, arguing the ask is contradictory to New Delhi's import taxation rules for car parts and will hamper the company's business plans,

Volkswagen has sued the Indian government over a tax demand of $1.4 billion, which it considers "impossibly enormous." The German automaker contends that the demand goes against India's import taxation rules on car parts and may even jeopardize its business.

Volkswagen has challenged a $1.4 billion tax demand by Indian authorities, arguing it contradicts New Delhi's car part import taxation rules. The dispute jeopardizes Volkswagen's $1.5 billion investments in India.