diff --git a/dp-core/vr_nexthop.c b/dp-core/vr_nexthop.c
index fe1a57fea..fff09db51 100644
--- a/dp-core/vr_nexthop.c
+++ b/dp-core/vr_nexthop.c
@@ -1266,6 +1266,13 @@ nh_udp_tunnel(struct vr_packet *pkt, struct vr_nexthop *nh,
      */
     pkt_set_inner_network_header(pkt, pkt->vp_data);
 
+    if (pkt->vp_type == VP_TYPE_IP6)
+        pkt->vp_type = VP_TYPE_IP6OIP;
+    else if (pkt->vp_type == VP_TYPE_IP)
+        pkt->vp_type = VP_TYPE_IPOIP;
+    else
+        pkt->vp_type = VP_TYPE_IP;
+
     /*
      * Calculate the partial checksum for udp header
      */
@@ -1338,6 +1345,12 @@ nh_vxlan_tunnel(struct vr_packet *pkt, struct vr_nexthop *nh,
         goto send_fail;
 
     pkt_set_network_header(pkt, pkt->vp_data);
+
+    if (pkt->vp_type == VP_TYPE_IPOIP)
+        pkt->vp_type = VP_TYPE_IP;
+    else if (pkt->vp_type == VP_TYPE_IP6OIP)
+        pkt->vp_type = VP_TYPE_IP6;
+
     /*
      * Change the packet type
      */
@@ -1476,6 +1489,11 @@ nh_mpls_udp_tunnel(struct vr_packet *pkt, struct vr_nexthop *nh,
         pkt->vp_flags |= VP_FLAG_GSO;
 
 
+    if (pkt->vp_type == VP_TYPE_IPOIP)
+        pkt->vp_type = VP_TYPE_IP;
+    else if (pkt->vp_type == VP_TYPE_IP6OIP)
+        pkt->vp_type = VP_TYPE_IP6;
+
     /*
      * Change the packet type
      */
@@ -1624,6 +1642,12 @@ nh_gre_tunnel(struct vr_packet *pkt, struct vr_nexthop *nh,
         goto send_fail;
     }
     pkt_set_network_header(pkt, pkt->vp_data);
+
+    if (pkt->vp_type == VP_TYPE_IPOIP)
+        pkt->vp_type = VP_TYPE_IP;
+    else if (pkt->vp_type == VP_TYPE_IP6OIP)
+        pkt->vp_type = VP_TYPE_IP6;
+
     if (pkt->vp_type == VP_TYPE_IP6)
         pkt->vp_type = VP_TYPE_IP6OIP;
     else  if (pkt->vp_type == VP_TYPE_IP)
diff --git a/include/vr_packet.h b/include/vr_packet.h
index 728b8eed0..f25190d80 100644
--- a/include/vr_packet.h
+++ b/include/vr_packet.h
@@ -493,6 +493,17 @@ vr_pkt_type_is_overlay(unsigned short type)
     return false;
 }
 
+static inline bool
+vr_pkt_needs_csum_gso_update(struct vr_packet *pkt)
+{
+    if (pkt->vp_flags & VP_FLAG_FROM_DP) {
+        if (pkt->vp_flags & (VP_FLAG_CSUM_PARTIAL | VP_FLAG_GSO))
+            return true;
+    }
+
+    return false;
+}
+
 static inline bool
 vr_pkt_is_diag(struct vr_packet *pkt)
 {
diff --git a/linux/vr_host_interface.c b/linux/vr_host_interface.c
index 4dbfd8617..7d7949ba7 100644
--- a/linux/vr_host_interface.c
+++ b/linux/vr_host_interface.c
@@ -782,7 +782,8 @@ linux_if_tx(struct vr_interface *vif, struct vr_packet *pkt)
             skb_set_network_header(skb, (network_off - skb_headroom(skb)));
             skb_reset_mac_len(skb);
         }
-    } else if (vr_pkt_type_is_overlay(pkt->vp_type)) {
+    } else if (vr_pkt_type_is_overlay(pkt->vp_type) ||
+            vr_pkt_needs_csum_gso_update(pkt)) {
         network_off = pkt_get_inner_network_header_off(pkt);
 
         if (network_off) {
diff --git a/linux/vrouter_mod.c b/linux/vrouter_mod.c
index 37fab038d..50e4defea 100644
--- a/linux/vrouter_mod.c
+++ b/linux/vrouter_mod.c
@@ -207,6 +207,7 @@ lh_palloc_head(struct vr_packet *pkt, unsigned int size)
 
     npkt->vp_ttl = pkt->vp_ttl;
     npkt->vp_flags = pkt->vp_flags;
+    npkt->vp_type = pkt->vp_type;
 
     skb_frag_list_init(skb_head);
     skb_frag_add_head(skb_head, skb);