Xiaomi was one of several internet firms named in the annual inspection by China's Ministry of Finance. Other firms include e-commerce giant Suning.com and online game developer Wuhu Shunrong Sanqi Interactive Entertainment Network Technology.
Xiaomi's stock was down 4 percent on Tuesday morning.
The ministry in its report said Xiaomi had made tax errors on corporate gifts and had incorrectly recorded some corporate costs. The document noted that the firm has already rectified the errors.
It also noted that other companies had made efforts to evade taxes by shifting their profits overseas.
A Xiaomi spokeswoman declined to comment on the report.