'Prime Minister Narendra Modi is panicked & rattled by Congress's revolutionary manifesto', said Rahul Gandhi while speaking at a Social Justice conclave organised by the grand old party in New Delhi. Rahul Gandhi promised the voters that if Congress-led I.N.D.I.A alliance comes to power it will do 'an X-ray of India' (caste census) and income inequality created by Modi ji & will return a small amount of money to 90 percent of the people of the country from the Rs 16 lakh crore given to the 22 people by the Prime Minister.' Just like that Rahul Gandhi hinted at the idea of an Inheritance tax ahead of Lok Sabha Elections 2024. On the other hand, Prime Minister Narendra Modi cautioned Indians saying that under inheritance tax, 55 percent of people's inherited wealth would be seized and distributed to 'others' if Congress comes to power. In one of his major rallies, PM Modi quoted former Indian PM Manmohan Singh saying that Muslim Minorities have the first rights to India's resources. PM Modi outlined the Congress' Inheritance Tax idea and sparked the infamous "Mangalsutra debate". Keeping the accusations and counter-accusations aside, the question arises what is Inheritance Tax, and what Congress is planning to do with it? Below is everything you need to know-
What is Inheritance Tax?
Inheritance Tax is the policy of taxing the assets and properties that individuals inherit from their deceased ancestors. In layman's language, Inheritance tax is a percentage amount of tax that a person must pay for inheriting a property or asset. Depending on the country, the inheritance tax rate can be as high as 55%. The inheritance tax became the topic of discussion after Congress leader Sam Pitroda cited the example of the United States where the government takes 55 percent of the deceased’s wealth as an Inheritance Tax, while the remaining 45 percent is distributed among the legal heirs or children.
