New Delhi, August 08: A viral claim circulating online alleges that Reliance Industries Chairman Mukesh Ambani has not paid any income tax for five consecutive financial years, including FY25, because he draws no salary from the company. The claim suggests that Ambani, one of India’s richest individuals, is entirely exempt from income tax. However, this is misleading and factually incorrect.

It is true that Mukesh Ambani has voluntarily drawn INR 0 as salary, allowances, or perquisites from Reliance Industries for five straight years, beginning in FY21 amid the COVID-19 pandemic. However, this does not mean he has no income, nor does it mean he pays no tax. In fact, Ambani continues to earn significant income through dividends from his shareholding in Reliance and other entities, which is taxable under Indian law. Fact Check: Did Donald Trump Slam PM Narendra Modi Over US-India Trade Deal? Viral Post Attributed to US President Is Fake.

False Claim Says Mukesh Ambani Paid No Tax Without Salary

Mukesh Ambani Has Drawn No Salary From Reliance Industries Since 2020

For five consecutive financial years, Mukesh Ambani has chosen to take INR 0 in salary from Reliance Industries. This move, initiated during the pandemic as a gesture of austerity, has continued through FY25. Fact Check: Will Registered Post End From September 1, 2025? India Post Reveals the Truth.

Dividend Income Is His Main Source of Personal Earnings

Despite not drawing a salary, Ambani remains one of the largest individual shareholders in Reliance Industries. He directly holds around 1.61 crore shares, which earned him approximately INR 9 crore in dividends in FY25. Additionally, the Ambani family and promoter group received around INR 3,655 crore in dividends from Reliance, all of which are taxed at individual slab rates (30–42%).

Salary vs Income

Salary is only one form of income. Tax is levied on total taxable income, which includes dividends, capital gains, rental income, etc. Hence, the absence of salary does not imply zero income or zero tax liability.

The claim that Mukesh Ambani has not paid any income tax because he doesn’t take a salary is false and misleading. While he takes no salary, he earns heavily from dividends, which are fully taxable. Thus, it is highly likely that he pays substantial income tax each year.

Fact check

Does Mukesh Ambani Pay Zero Tax Because He Doesn't Take Salary? Fact Check Debunks Fake Claim About Reliance Industries Chairman
Claim :

Mukesh Ambani has not paid any income tax for five years because he draws no salary from Reliance Industries.

Conclusion :

This claim is False. While Mukesh Ambani takes no salary, he earns significant taxable income from dividends and likely pays substantial income tax each year.

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(The above story first appeared on LatestLY on Aug 08, 2025 08:30 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).