36 crore with HDFC Bank, dwarfing his equity exposure of just ₹63 lakh. The figure, revealed in his election affidavit, adds up to a total asset base of nearly ₹198 crore, encompassing both movable and immovable properties. While the amount is modest compared to his overall wealth, the concentration in low‑risk deposits has drawn attention from tax experts and retail investors alike. In India, interest earned on fixed deposits is taxed as ordinary income, subject to the investor’s marginal tax slab.
For a high‑net‑worth individual like Kishor, the effective tax rate could climb to 30 percent, plus applicable surcharge and cess, potentially eroding a sizable chunk of the interest earnings. This scenario underscores a broader issue for salaried professionals who park large sums in FDs: the tax bite can significantly reduce net returns, especially when rates hover around 6‑7 percent. For the broader market, a surge in FD allocations can signal a risk‑averse sentiment among affluent savers, potentially diverting funds away from equities and corporate bonds. Such a shift may temper demand for higher‑yielding assets, subtly influencing Nifty and Sensex dynamics.
Retail investors should therefore weigh the trade‑off between safety and after‑tax returns, considering diversified instruments like tax‑efficient debt funds or ELSS schemes to optimise wealth growth. Ultimately, Kishor’s FD concentration serves as a reminder that even seemingly safe havens are not tax‑free, and prudent portfolio construction must factor in the real‑world impact of taxation on long‑term wealth creation.