India: Tax evasion notices issued to three Chinese mobile companies, ED investigating

New Delhi, IndiaEdited By: Chaheti Singh SisodiaUpdated: Aug 29, 2022, 03:20 PM IST
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India's Finance Minister Nirmala Sitharaman. Photograph:(ANI)

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Union Finance Minister Nirmala Sitharaman stated that there are numerous telecom businesses under Department of Revenue Intelligence inquiry.

According to Union Finance Minister Nirmala Sitharaman on Tuesday, the government has sent letters to Oppo, Vivo India, and Xiaomi in connection with incidents of potential tax fraud. The cellphone business Oppo has received notification from the Department of Revenue Intelligence (DRI) regarding a total of Rs 4.38 lakh million in customs duties. Xiaomi has received three show-cause letters, and their estimated duty due is Rs 6.5 thousand million. And the third firm is Vivo India, for which a demand notice for Rs 22 billion was also issued, and against which they made a voluntary deposit of Rs 600 million.

Additionally, according to Sitharaman, the ED is looking into 18 Vivo-founded firms where a voluntary deposit of Rs 6.2 lakh million has been made. Sushil Modi, a member of parliament, stated that the department had informed him that Vivo Mobile India had sent approximately Rs. 6.2 lakh million to China and its controlled territories. He then asked what other Chinese companies had sent money to China and its controlled territories and what the amounts involved were. In response to a different question, the minister stated that there are numerous telecom businesses under DRI inquiry.

In response to a BJD member's query on shady loan applications, she stated that the member had expressed "a legitimate concern." According to her, from the perspective of loan-related difficulties, applications are being misused, especially those coming from one specific country, and as a result, many of our residents are harassed and have money extorted from them. Although it has been correctly noted that these Apps are being downloaded in, say, one Odisha, there are other States about which there are reports. MeitY, Corporate Affairs, the Ministry of Finance, and a few other Departments, among others, are all continuously debating and trying to make sure that action is implemented.

(with inputs from agencies)