Ho Chi Minh City traffic inspectors have fined a total of 106 cars managed by ride-hailing services Uber and GrabTaxi so far this year, saying the vehicles were not licensed for transport business.
Le Hong Viet, deputy chief-inspector of the HCMC Transport Department, told Tuoi Tre newspaper the fines are worth VND388 million (US$17,328).
He said the cars had evaded taxed and created unhealthy competition with other taxi companies in the city.
Traffic inspectors have sought the city government’s permission to increase the fines for unlicensed transport services by five to six times as they believed the current fines, ranging from VND3-4 million ($133-178), are not enough.
The HCMC Tax Department said Uber had not paid taxes since it started operation in the city August last year.
Representatives of Uber Singapore told Vietnamese officials in a meeting with the HCMC Transport Department recently that revenues from its operation in HCMC were transferred to the parent company and taxes were paid in the Netherlands.