Super-rich tax: FM Sitharaman shrugs off pleas by FPIs, suggests a way out19 Jul 2019
Finance Minister Nirmala Sitharaman's decision, in Budget 2019, to impose higher surcharge on income tax of high net worth individuals, has spooked Foreign Portfolio Investors. Despite appeals, she clarified in the Parliament that the government will not go back on its decision, and FPIs registered as trusts will have to pay the same tax as individuals. However, she did suggest a way out, stating that FPIs can structure their undertakings as companies instead of trusts to avoid the higher tax. She also spelled out other moves to benefit startups and non-banking finance companies. Watch the full video to find out.