Prime Minister Modi Accuses Rajiv Gandhi of Abolishing Inheritance Tax to Save Mother's Wealth
Prime Minister Narendra Modi, in a recent election rally, accused former Prime Minister Rajiv Gandhi of abolishing the inheritance tax in 1985 to save his mother Indira Gandhi's wealth from going to the government. This accusation is the latest in a series of attacks by Modi on the Congress party regarding wealth redistribution.
Modi alleged that the Congress wants to bring back the inheritance tax, also known as estate duty, which is a levy imposed on inherited assets. He claimed that Rajiv Gandhi abolished the tax to prevent his mother's wealth from being taxed.
Congress leader Jairam Ramesh responded to Modi's accusations by stating that Indira Gandhi had already given away her ancestral property in 1970. He also shared an excerpt from the then Finance Minister VP Singh's budget speech from 1985, which proposed the abolition of estate duty. Singh had argued that the tax was ineffective in reducing wealth inequality and was costly to administer.
The debate over the inheritance tax is likely to continue as the election campaign progresses. The Congress has defended its record on wealth redistribution, while the BJP has accused the party of favoring the wealthy.