A transport inspector checks a Uber taxi in Ho Chi Minh City. Photo: TN
More than a year after entering Vietnam and constantly facing authorities' scrutiny and protests from taxi companies, US-headquartered cab-hailing service Uber is in the hot seat for failing to pay taxes.
Speaking to Tuoi Tre newspaper Saturday, a Ho Chi Minh City tax official said the "next steps" would be taken to deal with Uber if the company continues to be unresponsive to tax demands.
Though it is unclear what the "next steps" entail, in their recent dealings with tax defaulters, authorities have been employing a name-and-shame policy before freezing their bank accounts.
Tax authorities have sent letters and met with Uber executives to tell them all their revenues are subject to tax, but have received no response, the unnamed official was quoted as saying.
Licensed to consult Uber's Dutch subsidiary in Vietnam, Uber Vietnam’s only revenues come supposedly from consulting fees, according to the official.
But the transport department recently reported that around 4,000 taxis operate in partnership with Uber, estimating the company repatriates around VND1 billion (US$43,900) in profits every day.
But since the Dutch company carries out all its dealings with drivers online, it is difficult for authorities to keep track of all its transactions, according to the official.