Another Chinese company under lens: Tax raids on MG Motors – Times of India

NEW DELHI: In what is seen as a fresh crackdown against alleged irregularities by companies from across the border, the income tax department on Friday launched search operations at MG Motor India, the local arm of Chinese car giant SAIC.
Sources said searches were going on till evening, although the scale of the operation was not clear yet. A tax department official confirmed the development but said the details will only be available once the operations are over.
MG Motor, which sells Hector, Astor and Gloster in India, is the latest Chinese company to come under the scanner after several entities related to the telecom sector, including Xiaomi, Vivo, Oppo, Huawei and ZTE. In some of the cases, the companies are accused of manipulating the books to evade taxes and booking bogus expenses.
Companies such as Huawei and Vivo are also being investigated by the enforcement directorate.
Since China’s intrusion into Ladakh and disputes over border territories, the government has stepped up vigil on Chinese entities. These companies were expanding rapidly in the country, by putting all fresh investments only after approval. Chinese telecom companies are out of reckoning for telecom contracts and several apps have also been banned.
Some Chinese companies have also gone to court.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *