The beverages corporations of Andhra Pradesh and Telangana have been served demand notices to the tune of over Rs 1,500 crore by the Income-Tax department.
Sources said the corporations of the two States were involved in a blame game on receipt of the notices with both of them disowning any liability.
The corporation representing Andhra Pradesh maintained that its Telangana counterpart was liable for payment as it was headquartered in Hyderabad in the years for which the demand was raised. But, the corporation of Telangana was firm that all the transactions for which the demand was raised took place in the combined State.
Income-Tax officials confirmed to The Hindu that the department had some problems of assessment with the sales by corporation.