New Delhi, April 24, 2024: In a recent series of interviews, Sam Pitroda, a prominent Congress leader, stirred controversy by proposing the implementation of an inheritance tax in India, akin to the system in the United States.
Pitroda, known for his stance on social and economic issues, emphasized the need for policies promoting wealth redistribution. He highlighted the inheritance tax in the US, where a portion of an individual's wealth is taxed upon their death, with the remainder passed on to their heirs.
"In America, there is an inheritance tax. If one has $100 million worth of wealth and when he dies he can only transfer probably 45% to his children, 55% is grabbed by the government. That's an interesting law. It says you in your generation, made wealth and you are leaving now, you must leave your wealth for the public, not all of it, half of it, which to me sounds fair," Pitroda explained.
He stressed that such a system ensures a fair distribution of wealth and benefits society as a whole. Pitroda argued that India lacks such a mechanism, allowing individuals to pass on their entire wealth to their heirs without any redistribution to the public.
"This is an issue that we need to debate and discuss. When we talk about redistributing wealth, we are talking about new policies and new programs that are in the interest of the people and not in the interest of the super-rich only," Pitroda added.
However, Pitroda's proposal received strong criticism from Shehzad Poonawalla, a leader of the Bharatiya Janata Party (BJP), who took to social media to express his views.
Poonawalla's post on social media reads, "Congress, through Sam Pitroda the closest aide of Gandhi Vadra family, is essentially saying that 55% of what you earn will be taken away on your death. If you are a farmer- 55% of your land will be taken. If you are a businessman - 55% of your business will be taken. 55% of your savings you kept for your children."
The exchange between Pitroda and Poonawalla underscores the ideological differences between the Congress and BJP regarding taxation and wealth redistribution policies.
The proposal for an inheritance tax in India has reignited discussions about economic policies and social justice in the country. As debates continue, the question of whether India should adopt a similar tax system to promote wealth redistribution remains a topic of significant contention.
