The Congress on Monday (September 9) urged the government to clarify its stance on Brazil’s proposal for a two per cent wealth tax on dollar billionaires, which is set to be discussed at the upcoming G20 Summit in November.
Jairam Ramesh, Congress General Secretary in charge of communications, highlighted India’s silence on the issue, noting its relevance given that the country reportedly has 334 dollar billionaires, each worth over USD one billion.
“Exactly a year ago, the annual G20 Summit began in New Delhi. The Presidency of the G20 rotates among its member countries every year. Two months from now the next G20 Summit will take place in Brazil, which has chosen to not create the hype and self-glorifying publicity like the non-biological PM did,” Jairam Ramesh wrote in a post on X (formerly Twitter).
Reflecting on the political landscape, Ramesh remarked, “And what a difference a year has made. In September 2023 He was riding super high. Now he is still reeling from his personal, political, and moral defeat of June 4 2024.”
Ramesh pointed out that Brazil has proposed a two per cent wealth tax on billionaires, a move already supported by countries like France, Spain, South Africa, and Germany. “India, however, has remained silent. What will our stance be when this proposal is debated?” he asked, emphasizing that the matter is relevant to India, given its high number of billionaires.
The proposal, backed by Brazil’s G20 presidency, was outlined in a report titled “A Blueprint for a Coordinated Minimum Effective Taxation Standard for Ultra-High-Net-Worth Individuals”. Prepared by French economist Gabriel Zucman, the report estimates that a two per cent wealth tax on billionaires could raise USD 200-250 billion annually from around 3,000 taxpayers worldwide. The report notes that these revenues would come from individuals who are significantly wealthy yet undertaxed.
