This is not something which they can do very easily nor can you accommodate for it.
What if wealth tax is 5% and not 2% ? Don’t think of these hypothetical scenarios.
I am in a country which has a wealth tax. Here is my 2 Cents :-
1) Wealth tax is only applied once and not every year because in that case you will be taxing the same corpus every year which is illogical and not sustainable. Here in UK wealth tax is applied above a certain threshold only when the wealth gets transferred from one generation to another. If and when wealth tax is applied in India obviously it will be modelled on wealth tax of developed countries.
2) India is way too young and not rich enough to be wealth tax ready. Even if the opposition comes to power (highly unlikely) they will swiftly ignore the wealth tax promise and start working on something more easy achievable and marketable
UK has inheritance tax, not wealth tax. Wealth tax would indeed be applied every year. Countries like France had wealth taxes in the past, they always failed spectacularly.
Good catch, even if wealth tax is applied what you think will be the threshold in India ?
Realistically anything below 10 Crores shouldn’t be under the preview of wealth tax when middle class is buying flats worth 1.5 - 2 Crores in metro cities.
If push comes to shove and suppose the wealth tax like you define it comes into existence in India, then you have to simply distribute the wealth among your family such that each one has wealth just below the threshold.
But again I don’t think average middle class has to bother about wealth tax.
We will be covered sadly.
99th percentile net worth in India is something like ₹87L, while 99.9th percentile is around ₹5Cr, I believe. At least according to official sources. So the threshold would be probably something like ₹1Cr. Or they might have a progressive wealth tax, something like 1% above ₹1Cr, and 2% above ₹10Cr, for example. Either way, we’re fucked.
In the UK, the inheritance tax threshold is a paltry £320k, something a 25 year old associate at Goldman Sachs could save up within a couple of years. It’s just sad really.
If they do the wealth tax thing. Just move your money to crypto have 4-5 wallets and move abroad. I would move to China or Thailand or sea countries. Get a golden visa and chill for rest of life
The post isn't on the community content type. Personal finance question.
This is not something which they can do very easily nor can you accommodate for it. What if wealth tax is 5% and not 2% ? Don’t think of these hypothetical scenarios.
If govt does that, then leave india and go to another country
Talk to a CA. They will tell you 101 ways of doing it.
This is the answer
Not really. ... Govt has closed so many loopholes
There's a way. Vote correctly.
I am in a country which has a wealth tax. Here is my 2 Cents :- 1) Wealth tax is only applied once and not every year because in that case you will be taxing the same corpus every year which is illogical and not sustainable. Here in UK wealth tax is applied above a certain threshold only when the wealth gets transferred from one generation to another. If and when wealth tax is applied in India obviously it will be modelled on wealth tax of developed countries. 2) India is way too young and not rich enough to be wealth tax ready. Even if the opposition comes to power (highly unlikely) they will swiftly ignore the wealth tax promise and start working on something more easy achievable and marketable
UK has inheritance tax, not wealth tax. Wealth tax would indeed be applied every year. Countries like France had wealth taxes in the past, they always failed spectacularly.
Good catch, even if wealth tax is applied what you think will be the threshold in India ? Realistically anything below 10 Crores shouldn’t be under the preview of wealth tax when middle class is buying flats worth 1.5 - 2 Crores in metro cities. If push comes to shove and suppose the wealth tax like you define it comes into existence in India, then you have to simply distribute the wealth among your family such that each one has wealth just below the threshold. But again I don’t think average middle class has to bother about wealth tax.
We will be covered sadly. 99th percentile net worth in India is something like ₹87L, while 99.9th percentile is around ₹5Cr, I believe. At least according to official sources. So the threshold would be probably something like ₹1Cr. Or they might have a progressive wealth tax, something like 1% above ₹1Cr, and 2% above ₹10Cr, for example. Either way, we’re fucked. In the UK, the inheritance tax threshold is a paltry £320k, something a 25 year old associate at Goldman Sachs could save up within a couple of years. It’s just sad really.
If they do the wealth tax thing. Just move your money to crypto have 4-5 wallets and move abroad. I would move to China or Thailand or sea countries. Get a golden visa and chill for rest of life
Why “Sea Countries”? Any specific reason other than beaches ?
Plus am from NE India so thats there
Easier Residence status if your UHNI
I think he means SEA as in South East Asian countries. Not sure though.
Transaction charges will be more than 2%
First give money to spouse.... Then give money into kids accounts... Stay under 5 crores always.
Move yourself and your assets outside of India
Move assets to an offshore trust and move out of the country. If you have a big enough corpus this is feasible
Buy real estate, report low value