Swedish authorities to investigate ride-sharing service Uber

The Swedish Economic Crime Authority, Tax Agency and Transport Agency are all looking into if the ride-sharing service Uber, is breaking any Swedish laws, Swedish Radio News reports.

Uber is an American mobile app that can be used to find drivers in your vicinity who you then pay to share a ride with. Swedish law allows ride-sharing if both parts share the cost, but if the driver makes a profit he or she needs to declare and pay taxes on that income to the national Tax Agency. The Tax Agency is currently investigating if the drivers connected to Uber are indeed making money and if they should be paying taxes.

The head of Uber in the Nordic region, Jo Bertram, says to Swedish Radio that their services are all in accordance with Swedish law and adds that the profit that the drivers make is too low to be taxable.

"The way we see it, we are not breaking any laws. The price barely covers what it costs to drive the car," Bertram says.

The company has been banned from several cities in Canada, France, Belgium and Germany for running an unlicensed taxi service.