News Brief
Congress In Panic Mode As Rahul Gandhi's Close Aide Sam Pitroda Pitches For 'US-Like Inheritance Tax' In India
- Pitroda also defended Congress's wealth redistribution promise.
Congress leader Rahul Gandhi with Sam Pitroda.
Amid the row over Congress's "wealth redistribution" poll promise, Sam Pitroda, the Indian Overseas Congress president and close aide to Rahul Gandhi, has advocated for a US-like inheritance tax in India.
In an interview with news agency ANI, Pitroda defended Congress's poll promise, saying the policy of redistribution of wealth was in the interest of the people and not in the interest of the super-rich only.
"...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 per cent to his children, 55 per cent is grabbed by the government," Pitroda said.
"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. In India, you don't have that. If somebody is worth 10 billion and he dies, his children get 10 billion and the public gets nothing...So these are the kind of issues people will have to debate and discuss," he said.
"I don't know what the conclusion would be at the end of the day but 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 super-rich only," Pitroda added.
It should be noted that there is no federal inheritance tax in the US.
Inheritance taxes are collected by only six of the fifty US states: Iowa, Kentucky, Maryland, Nebraska, New Jersey, and Pennsylvania.
An inheritance tax, if due, is applied only to the portion of an inheritance that exceeds an exemption amount. Above those thresholds, tax is usually assessed on a sliding basis. Rates typically begin in the single digits and rise to between 15 per cent and 18 per cent.
Pitroda's remark drew a sharp criticism from the BJP, which warned people of "property snatchers".
"Voting for Congress = Losing your Money + Property + Belongings! Voters be aware, property snatchers are here!" BJP spokesperson Jaiveer Shergill tweeted.
BJP's Shehzad Poonawalla said the Congress wanted to "grab your hard-earned tax-paid resources".
"Ironically, the Gandhis built a huge treasury for their own children and son-in-law, but they want to grab your hard-earned tax-paid resources," he tweeted.
In a panic mode, the Congress clarified that Pitroda's views do not always reflect the position of the party.
"Mr Pitroda expresses his opinions freely on issues he feels strongly about. Surely, in a democracy an individual is at liberty to discuss, express, and debate his personal views. This does not mean that Mr. Pitroda's views always reflect the position of the Indian National Congress. Many times they do not," Congress leader Jairam Ramesh said in a post on X.
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