Shanghai Securities newspaper came out with an article that claimed that they had a contact that says that tax authorities are investigating Google China for tax evasion. Moreover, they are not just looking at the company's taxes, but individual income taxes as well — including those of Lee Kai-Fu, Google's man in China, who is rumored to owe more than 5 million RMB in unpaid taxes. The report says that there is a several month grace period during which you can pay back the whole thing, but so far, we don't know if Lee or Google are in any serious trouble. Google spokesman say the whole thing is a fabrication and that they have not received any audit notifications from the tax bureau.
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