Old video of Nikhil Kamath supporting inheritance tax goes viral

Zerodha's co-founder Nikhil Kamath's old video in which he has backed inheritace tax and has emphasised on the need for wealth redistribution when assets are passed down from one generation to the next has gone viral. In a conversation with Mint in January 2022, he said that when there is wealth transfer a filter has to be applied so that a part of it can be redistributed.

"When predicated wealth transfers from one generation to another, there has to be a filter so that a part of it can be redistributed. There is plenty of precedence to inheritance tax," Kamath said in a conversation with Mint

Controversy over inheritance Tax

This comes after Chairman of the Indian Overseas Congress, Sam Pitroda's remark on the inheritance tax in the US stirred controversy. Pitroda, speaking from Chicago, highlighted the absence of an inheritance tax in India and advocated for policies that promote wealth redistribution. He further gave US inheritance tax, where a significant portion of an individual's wealth is taxed upon inheritance as an example.

"In America, there is an inheritance tax...It says you in your generation made wealth and you are leaving now, you must leave your wealth for the public," Pitroda said. He also emphasised the importance of policies that benefit the public rather than solely benefiting the super-rich.

Meanwhile, Prime Minister Narendra Modi criticised the Congress party over Pitroda's comments, accusing them of having "dangerous intentions" to seize assets and rights from the people.

Inheritance Tax

Inheritance Tax is a levy imposed on the transfer of assets from deceased persons to their beneficiaries. This has been implemented in various countries as a means to redistribute wealth and promote economic equality.

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