The Indian government's 20% tax on overseas credit card usage above INR7 lakh ($9,500) annually is designed to appear as though it is taxing those with the greatest ability to pay. Historically, this type of measure has been used to extract funds from the rich and wealthy, such as the levying of a hat tax in 18th-century Britain. However, it is unclear if consumption patterns indicate preferences and affluence. Tactically, such taxes have raised the ire of taxpayers, leading to evasion schemes or alternative avenues of spending outside the tax authority's reach.