Tax experts are advising the government against increasing income tax surcharges on high earners or reintroducing wealth tax in the upcoming 2026-27 Union Budget. They warn that such measures could prompt wealthy individuals to relocate to low-tax jurisdictions, potentially reducing investment and job creation in India. Experts emphasize balancing vertical equity in taxation with the need to retain capital and entrepreneurship, noting that current surcharge structures already apply to incomes above Rs 50 lakh.