Oppo India May Have Dodged Rs 4389 Crore Worth of Custom Duty
Jul. 13, 2022India’s the Directorate of Revenue Intelligence (DRI) has revealed that Oppo India has evaded paying custom duty worth Rs 4,389 crore, as per a recent investigation. This comes after similar investigations into Chinese brands like Vivo andXiaomi. Here are the details.
Oppo Wrongfully Avoided Custom Duty?
Oppo handles its (and even OnePlus and Realme’s) manufacturing, assembling, wholesale trading, and distribution of mobile phones and accessories.
The investigation also revealed that Oppo India has paid ‘Royalty’ and ‘Licence Fee’ worth Rs 1408 crore to various multinational companies. This amount wasn’t added to the transaction value of the imported goods, thus, violating, Section 14 of the Customs Act, 1962.
Oppo, in a statement toTechCrunch, said, “We believe it’s an industry-wide issue many corporates are working on. OPPO India is reviewing the SCN received from DRI, and we are going to reply to the notice, presenting our side, and will be working further with the related government departments. OPPO India is a responsible corporate and believes in a prudent corporate governance framework. OPPO India will take appropriate steps as may be needed in this regard including any remedies provided under the law.“
We need to wait for a proper conclusion to this. We will keep you updated on this. So, stay tuned and do share your thoughts on this in the comments below.
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