The Organisation for Economic Co-operation and Development has released its latest country report for India and it contains the rather strange idea that India should bring in an inheritance tax. Noting that wealth in India is extremely concentrated, the OECD made a case for introduction of inheritance tax with a high exemption threshold and raising the scope for property tax. However, it's exactly the same point which means that we don't want to have an inheritance tax. And an inheritance tax is indeed a tax upon capital--all too often people have to liquidate investments in order to pay it. The OECD is wrong here, an inheritance tax is not something that India desires or needs at all, the country will be richer in the future without it.

Source: Forbes February 28, 2017 09:15 UTC