The Forum of Free Enterprise is a non-political organization founded in 1956 by A. D. Shroff, and has been established to educate public opinion in India on free enterprise and a democratic way of life. The Forum publishes booklets to further its objects. The following booklet titled “Wealth Tax” was published on January 1, 1970. The author discusses the broad concept of government taxation, with a specific focus on the Wealth Tax Bill in this essay. He argues that this bill is not consistent with democratic ideals. The author explains this by examining the wealth tax of Scandinavian countries and argues that in the case of India, such a tax does more harm than good. The author also points out the various inherent problems in the bill and its implementation. The author concludes by summarising all the reasons why the wealth tax is harmful for India’s development.