India has been subject to estate duty as well as wealth tax in the past. In 1985, the estate duty law was abolished on the grounds of high implementation cost and administrative problems versus meagre estate duty collection. Most countries levy estate duty on global assets owned by their citizens/domiciles but they levy estate duty on non-residents/non-domiciles only on assets located in that country. If India tries to levy estate duty on non-residents on assets located in India, it will result in non-residents moving their assets outside India. Resistance from the populace and difficult implementation should deter the government to reintroduce estate taxes in India anytime soon.

Source: Mint July 01, 2019 10:30 UTC