Chinese Business Bodies Ask India to Stop Irregular Tax Probes

New Delhi, Dec 26: Two Chinese chambers of commerce in India urged New Delhi to change its "irregular" tax probe practice and treat foreign investors equally, actively for an open, fair, and non-discriminatory business environment for Chinese enterprises operating in India, as confidence by a business group that invested $3 billion and created 500,000 local jobs is shaken, Global Times reported.

The Chinese Chamber of Commerce in India and the India China Mobile Phone Enterprise Association, in a statement sent to the Global Times on Sunday, said that Chinese mobile phone companies in India have now encountered unprecedented difficulties, and as a result of sudden inspection and fines by the Indian authorities, the companies are unable to carry out normal production and operations. South Korea to Impose 20% Tax on Capital Gains From Cryptocurrency Transactions Next Year.

The statement came as the Indian tax authorities recently launched a large-scale investigation on Chinese-run companies in India. Leading Chinese mobile companies including Oppo, Xiaomi and OnePlus, with broad exposure in the country, were reportedly involved.

"Their confidence in developing in India is shaken. These practices are not conducive to India's initiative on investment promotion and international economic and trade cooperation," the statement said, as per the report.

Chinese-funded mobile phone enterprises have been investing significantly in India since 2015, data shows, the report said.

There are more than 200 manufacturers and more than 500 trading companies in India as of 2021, with a total investment of more than $3 billion, with these enterprises having created more than 500,000 local jobs, according to the statement.

(The above story first appeared on LatestLY on Dec 26, 2021 08:55 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).