Bangalore: The Finnish mobile manufacturer on Tuesday protested against a tax investigation in India, it’s crucial market, in a latest dispute involving a foreign company's tax, according to Reuters.

Nokia said the actions of the tax authorities were "unacceptable and inconsistent with Indian standards of fair play and governance."

India is one of the major markets for phone manufacturers like Nokia. The company has stated that it will be expanding its budget range Smartphones like Nokia Asha in the Indian market. It is very crucial that the company steers clear of such allegations as its market share is currently slipping away to big hits like Samsung and Apple.

The company objected to officials entering its factory in Chennai, southern India, which is one of its biggest facilities. Nokia said it has invested over $330 million in Chennai since setting up the factory in 2006.

A senior Indian tax official said in January that the investigation related to allegations that Nokia may have evaded around 30 billion rupees ($558 million) in taxes.

Nokia said on Tuesday it was in full compliance with local laws as well as a bilateral tax treaty between India and Finland related to withholding tax.

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