Surendra Hiranandani, who is co-founder of the Hiranandani Group, has renounced his Indian citizenship, joining the growing list of people who have given up their Indian passport to acquire foreign nationality. Surendra Hiranandani has got the citizenship of Cyprus, which is an island country in the Eastern Mediterranean and the third largest island in the Mediterranean. Cyprus is also considered one of the tax-haven countries in European Union.
Hiranandani confirmed to Mumbai Mirror about getting the citizenship of India and has said that his decision was not influenced by taxation. Hiranandani was quoted as saying in Mumbai Mirror, “The primary reason is difficulty in getting work visas on Indian passport. I have absolutely no issues with tax rates and other such things. My son Harsh continues to be an Indian citizen and he looks after our company’s interests in India,”
According to a report from Morgan Stanley Investment Management, around 23,000 rich Indians have renounced their citizenship since 2014. The numbers have recently increased sharply with 7000 rich Indians leaving in 2017.
Surendra Hiranandani is known for building Powaii township in Mumbai. Later, Surendra and Niranjan Hiranandani sold their assets in Powaii to Canada based Brookfield Asset management for $1 Billion. According to Forbes, Surendra Hiranandani’s net worth is, currently, at $1.29 billion.
He also said that developers end up paying more as interest than what they are earning as profit from the business. He added that profit margins are not more than 10% whereas developers are forced to borrow money at 12% annual interest.
Last year, India jumped 30 positions to become the top 100th country in terms of ease of doing business ranking. The report stated 37 reforms have been adopted by India since 2003. The World Bank said the ranking has improved on sustained business reforms the Modi government implemented during his tenure. In the previous year India had moved just one point, to 130th position among 190 countries.