diff --git a/app/test-pmd/csumonly.c b/app/test-pmd/csumonly.c
index 9094967..e874ac5 100644
--- a/app/test-pmd/csumonly.c
+++ b/app/test-pmd/csumonly.c
@@ -189,11 +189,12 @@ process_inner_cksums(void *l3_hdr, uint16_t ethertype, uint16_t l3_len,
 		} else {
 			if (testpmd_ol_flags & TESTPMD_TX_OFFLOAD_IP_CKSUM)
 				ol_flags |= PKT_TX_IP_CKSUM;
-			else
+			else {
 				ipv4_hdr->hdr_checksum =
 					rte_ipv4_cksum(ipv4_hdr);
+				ol_flags |= PKT_TX_IPV4;
+			}
 		}
-		ol_flags |= PKT_TX_IPV4;
 	} else if (ethertype == _htons(ETHER_TYPE_IPv6))
 		ol_flags |= PKT_TX_IPV6;
 	else
@@ -262,22 +263,25 @@ process_outer_cksums(void *outer_l3_hdr, uint16_t outer_ethertype,
 	if (outer_ethertype == _htons(ETHER_TYPE_IPv4)) {
 		ipv4_hdr->hdr_checksum = 0;
 
-		if ((testpmd_ol_flags & TESTPMD_TX_OFFLOAD_VXLAN_CKSUM) == 0)
+		if (testpmd_ol_flags & TESTPMD_TX_OFFLOAD_VXLAN_CKSUM)
+			ol_flags |= PKT_TX_OUTER_IP_CKSUM;
+		else {
+			ol_flags |= PKT_TX_OUTER_IPV4;
 			ipv4_hdr->hdr_checksum = rte_ipv4_cksum(ipv4_hdr);
-	}
+		}
+	} else
+		ol_flags |= PKT_TX_OUTER_IPV6;
 
 	udp_hdr = (struct udp_hdr *)((char *)outer_l3_hdr + outer_l3_len);
 	/* do not recalculate udp cksum if it was 0 */
 	if (udp_hdr->dgram_cksum != 0) {
 		udp_hdr->dgram_cksum = 0;
-		if ((testpmd_ol_flags & TESTPMD_TX_OFFLOAD_VXLAN_CKSUM) == 0) {
-			if (outer_ethertype == _htons(ETHER_TYPE_IPv4))
-				udp_hdr->dgram_cksum =
-					rte_ipv4_udptcp_cksum(ipv4_hdr, udp_hdr);
-			else
-				udp_hdr->dgram_cksum =
-					rte_ipv6_udptcp_cksum(ipv6_hdr, udp_hdr);
-		}
+		if (outer_ethertype == _htons(ETHER_TYPE_IPv4))
+			udp_hdr->dgram_cksum =
+				rte_ipv4_udptcp_cksum(ipv4_hdr, udp_hdr);
+		else
+			udp_hdr->dgram_cksum =
+				rte_ipv6_udptcp_cksum(ipv6_hdr, udp_hdr);
 	}
 
 	return ol_flags;
@@ -303,8 +307,7 @@ process_outer_cksums(void *outer_l3_hdr, uint16_t outer_ethertype,
  * TESTPMD_TX_OFFLOAD_* in ports[tx_port].tx_ol_flags. They control
  * wether a checksum must be calculated in software or in hardware. The
  * IP, UDP, TCP and SCTP flags always concern the inner layer.  The
- * VxLAN flag concerns the outer IP and UDP layer (if packet is
- * recognized as a vxlan packet).
+ * VxLAN flag concerns the outer IP(if packet is recognized as a vxlan packet).
  */
 static void
 pkt_burst_checksum_forward(struct fwd_stream *fs)
@@ -320,7 +323,7 @@ pkt_burst_checksum_forward(struct fwd_stream *fs)
 	uint16_t i;
 	uint64_t ol_flags;
 	uint16_t testpmd_ol_flags;
-	uint8_t l4_proto;
+	uint8_t l4_proto, l4_tun_len = 0;
 	uint16_t ethertype = 0, outer_ethertype = 0;
 	uint16_t l2_len = 0, l3_len = 0, l4_len = 0;
 	uint16_t outer_l2_len = 0, outer_l3_len = 0;
@@ -360,6 +363,7 @@ pkt_burst_checksum_forward(struct fwd_stream *fs)
 
 		ol_flags = 0;
 		tunnel = 0;
+		l4_tun_len = 0;
 		m = pkts_burst[i];
 
 		/* Update the L3/L4 checksum error packet statistics */
@@ -378,14 +382,16 @@ pkt_burst_checksum_forward(struct fwd_stream *fs)
 		if (l4_proto == IPPROTO_UDP) {
 			udp_hdr = (struct udp_hdr *)((char *)l3_hdr + l3_len);
 
+			/* check udp destination port, 4789 is the default
+			 * vxlan port (rfc7348) */
+			if (udp_hdr->dst_port == _htons(4789)) {
+				l4_tun_len = ETHER_VXLAN_HLEN;
+				tunnel = 1;
+
 			/* currently, this flag is set by i40e only if the
 			 * packet is vxlan */
-			if (((m->ol_flags & PKT_RX_TUNNEL_IPV4_HDR) ||
-					(m->ol_flags & PKT_RX_TUNNEL_IPV6_HDR)))
-				tunnel = 1;
-			/* else check udp destination port, 4789 is the default
-			 * vxlan port (rfc7348) */
-			else if (udp_hdr->dst_port == _htons(4789))
+			} else if (m->ol_flags & (PKT_RX_TUNNEL_IPV4_HDR |
+					PKT_RX_TUNNEL_IPV6_HDR))
 				tunnel = 1;
 
 			if (tunnel == 1) {
@@ -432,10 +438,10 @@ pkt_burst_checksum_forward(struct fwd_stream *fs)
 
 		if (tunnel == 1) {
 			if (testpmd_ol_flags & TESTPMD_TX_OFFLOAD_VXLAN_CKSUM) {
-				m->l2_len = outer_l2_len;
-				m->l3_len = outer_l3_len;
-				m->inner_l2_len = l2_len;
-				m->inner_l3_len = l3_len;
+				m->outer_l2_len = outer_l2_len;
+				m->outer_l3_len = outer_l3_len;
+				m->l2_len = l4_tun_len + l2_len;
+				m->l3_len = l3_len;
 			}
 			else {
 				/* if we don't do vxlan cksum in hw,
@@ -503,8 +509,8 @@ pkt_burst_checksum_forward(struct fwd_stream *fs)
 					m->l2_len, m->l3_len, m->l4_len);
 			if ((tunnel == 1) &&
 				(testpmd_ol_flags & TESTPMD_TX_OFFLOAD_VXLAN_CKSUM))
-				printf("tx: m->inner_l2_len=%d m->inner_l3_len=%d\n",
-					m->inner_l2_len, m->inner_l3_len);
+				printf("tx: m->outer_l2_len=%d m->outer_l3_len=%d\n",
+					m->outer_l2_len, m->outer_l3_len);
 			if (tso_segsz != 0)
 				printf("tx: m->tso_segsz=%d\n", m->tso_segsz);
 			printf("tx: flags=");
diff --git a/lib/librte_mbuf/rte_mbuf.h b/lib/librte_mbuf/rte_mbuf.h
index 6eb898f..0404261 100644
--- a/lib/librte_mbuf/rte_mbuf.h
+++ b/lib/librte_mbuf/rte_mbuf.h
@@ -276,8 +276,8 @@ struct rte_mbuf {
 			uint64_t tso_segsz:16; /**< TCP TSO segment size */
 
 			/* fields for TX offloading of tunnels */
-			uint64_t inner_l3_len:9; /**< inner L3 (IP) Hdr Length. */
-			uint64_t inner_l2_len:7; /**< inner L2 (MAC) Hdr Length. */
+			uint64_t outer_l3_len:9; /**< Outer L3 (IP) Hdr Length. */
+			uint64_t outer_l2_len:7; /**< Outer L2 (MAC) Hdr Length. */
 
 			/* uint64_t unused:8; */
 		};
diff --git a/lib/librte_pmd_i40e/i40e_rxtx.c b/lib/librte_pmd_i40e/i40e_rxtx.c
index 078e973..9f0d1eb 100644
--- a/lib/librte_pmd_i40e/i40e_rxtx.c
+++ b/lib/librte_pmd_i40e/i40e_rxtx.c
@@ -462,41 +462,43 @@ i40e_txd_enable_checksum(uint64_t ol_flags,
 			uint32_t *td_offset,
 			uint8_t l2_len,
 			uint16_t l3_len,
-			uint8_t inner_l2_len,
-			uint16_t inner_l3_len,
+			uint8_t outer_l2_len,
+			uint16_t outer_l3_len,
 			uint32_t *cd_tunneling)
 {
 	if (!l2_len) {
 		PMD_DRV_LOG(DEBUG, "L2 length set to 0");
 		return;
 	}
-	*td_offset |= (l2_len >> 1) << I40E_TX_DESC_LENGTH_MACLEN_SHIFT;
 
 	if (!l3_len) {
 		PMD_DRV_LOG(DEBUG, "L3 length set to 0");
 		return;
 	}
 
-	/* VXLAN packet TX checksum offload */
+	/* UDP tunneling packet TX checksum offload */
 	if (unlikely(ol_flags & PKT_TX_UDP_TUNNEL_PKT)) {
-		uint8_t l4tun_len;
 
-		l4tun_len = ETHER_VXLAN_HLEN + inner_l2_len;
+		*td_offset |= (outer_l2_len >> 1)
+				<< I40E_TX_DESC_LENGTH_MACLEN_SHIFT;
 
-		if (ol_flags & PKT_TX_IPV4_CSUM)
+		if (ol_flags & PKT_TX_OUTER_IP_CKSUM)
 			*cd_tunneling |= I40E_TX_CTX_EXT_IP_IPV4;
-		else if (ol_flags & PKT_TX_IPV6)
+		else if (ol_flags & PKT_TX_OUTER_IPV4)
+			*cd_tunneling |= I40E_TX_CTX_EXT_IP_IPV4_NO_CSUM;
+		else if (ol_flags & PKT_TX_OUTER_IPV6)
 			*cd_tunneling |= I40E_TX_CTX_EXT_IP_IPV6;
 
 		/* Now set the ctx descriptor fields */
-		*cd_tunneling |= (l3_len >> 2) <<
+		*cd_tunneling |= (outer_l3_len >> 2) <<
 				I40E_TXD_CTX_QW0_EXT_IPLEN_SHIFT |
 				I40E_TXD_CTX_UDP_TUNNELING |
-				(l4tun_len >> 1) <<
+				(l2_len >> 1) <<
 				I40E_TXD_CTX_QW0_NATLEN_SHIFT;
 
-		l3_len = inner_l3_len;
-	}
+	} else
+		*td_offset |= (l2_len >> 1)
+			<< I40E_TX_DESC_LENGTH_MACLEN_SHIFT;
 
 	/* Enable L3 checksum offloads */
 	if (ol_flags & PKT_TX_IPV4_CSUM) {
@@ -1190,8 +1192,8 @@ i40e_xmit_pkts(void *tx_queue, struct rte_mbuf **tx_pkts, uint16_t nb_pkts)
 	uint64_t ol_flags;
 	uint8_t l2_len;
 	uint16_t l3_len;
-	uint8_t inner_l2_len;
-	uint16_t inner_l3_len;
+	uint8_t outer_l2_len;
+	uint16_t outer_l3_len;
 	uint16_t nb_used;
 	uint16_t nb_ctx;
 	uint16_t tx_last;
@@ -1219,9 +1221,9 @@ i40e_xmit_pkts(void *tx_queue, struct rte_mbuf **tx_pkts, uint16_t nb_pkts)
 
 		ol_flags = tx_pkt->ol_flags;
 		l2_len = tx_pkt->l2_len;
-		inner_l2_len = tx_pkt->inner_l2_len;
 		l3_len = tx_pkt->l3_len;
-		inner_l3_len = tx_pkt->inner_l3_len;
+		outer_l2_len = tx_pkt->outer_l2_len;
+		outer_l3_len = tx_pkt->outer_l3_len;
 
 		/* Calculate the number of context descriptors needed. */
 		nb_ctx = i40e_calc_context_desc(ol_flags);
@@ -1271,8 +1273,8 @@ i40e_xmit_pkts(void *tx_queue, struct rte_mbuf **tx_pkts, uint16_t nb_pkts)
 		/* Enable checksum offloading */
 		cd_tunneling_params = 0;
 		i40e_txd_enable_checksum(ol_flags, &td_cmd, &td_offset,
-						l2_len, l3_len, inner_l2_len,
-						inner_l3_len,
+						l2_len, l3_len, outer_l2_len,
+						outer_l3_len,
 						&cd_tunneling_params);
 
 		if (unlikely(nb_ctx)) {
