Telecom

China Telco Giant Vivo Accused of $280m India Tax Evasion

 

Chinese telecoms giant Vivo Mobile has been accused by an Indian government agency of evading taxes worth $280 million.

The tax evasion allegation is India’s second this week against a Chinese phone-maker.

India’s Directorate of Revenue Intelligence (DRI) said it had detected customs duty evasion, following which it has issued a show cause notice to Vivo India, it said in a statement.

A show cause notice is a formal demand on an accused party to justify themselves.

 

Also on AF: China Hits Taiwan With Economic Sanctions as Pelosi Visits

 

The DRI’s investigation led to the finding of “incriminating evidence indicating wilful mis-declaration in the description of certain items imported,” the statement said.

Vivo India did not immediately respond to a Reuters request for comment.

Last month, Reuters reported India’s financial crime-fighting agency, the Enforcement Directorate, raided Vivo.

On Tuesday, the DRI issued a show-cause notice to Oppo, another Chinese phone-maker, demanding duty of 44 billion Indian rupees ($556.57 million).

 

  • Reuters with additional editing by Sean O’Meara

 

Read more:

China’s Vivo Hid Evidence, Not Cooperating, Says India

Chinese Smartphone Maker Vivo’s India Office Raided

 

 

Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.

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