Samsung under scrutiny in India, Ordered to pay more than Rs 5,140 crush in back taxes, Penalty, Reliance Jio

Samsung, one of large electronics companies, has found it expensive to save tariffs on the import of telecom equipment in India. The company has been ordered to repay the previous tax and penalty of more than $ 60.1 million (about Rs 5,140 crore). It is one of the largest such tax demands in recent years.

Samsung, who has a large stake in the country’s consumer electronics and smartphone markets, was more than $ 95 million in India last year. It also imports telecom equipment through its network division. Samsung was also given a warning about two years ago about the wrong classification of Import to avoid tariffs. The company imported the telecom equipment and sold it to Reliance Jio, providing it to Billionaire Mukesh Ambani. Samsung also tried to stop the scrutiny of the case. The company had said that the equipment imported does not take tariffs.

However, the Customs Authorities had denied this argument of Samsung and issued an order regarding it. This order has not been made public but Reuters have seen it. This Order It has been said that Samsung has violated the laws of the country and deliberately presented wrong documents to the Customs Authorities for clearance. In this order, the Commissioner of Customs, Sonal Bajaj said that the investigation found that Samsung had broken all the moral values ​​related to the business and the industry’s standard to maximize its profits.

In this order, seven Samsung executives in the country have also been fined $ 8.1 million. These executives include Vice President of Network Division, Sung Beam Hong, Chief Financial Officer, Dong Won Chu, General Manager (Finance), Sheetal Jain and General Manager (Indirect Taxes), Nikhil Aggarwal. In this regard, Samsung said in a statement that the issue is related to the interpretation of the classification of Goods by Customs. Along with this, the company has said that it follows the laws of the country.

(This news has not been edited by the NDTV team. It has been published directly from the syndicate feed.)