D Gukesh made history on Thursday by becoming the youngest World Chess Champion at just 18 years old, triumphing over China’s reigning champion, Ding Liren. As the nation rejoices in his victory—marked by heartwarming moments of him embracing his father and earlier clips where he expressed his dream of becoming the youngest World Chess Champion—there’s a surprising group offering congratulations: the Income Tax Department!
How much prize money will D Gukesh take home after winning the World Chess Championship?
After winning the World Chess Championship in Singapore, D. Gukesh is set to earn over Rs 11 crore. The total prize pool for the 2024 championship was $2.5 million (around Rs 20.75 crore).
Following FIDE’s rules, players receive $200,000 (approximately Rs 1.68 crore) for each win, with the remaining amount split between the two finalists.
Gukesh won three games-Games 3, 11, and 14-earning $600,000 (around Rs 5.04 crore), while Ding Liren won Games 1 and 2, earning $400,000 (approximately Rs 3.36 crore).
Before the tournament, Gukesh’s net worth was Rs 8.26 crore, and now, with his championship victory, it has nearly tripled to Rs 21 crore.
However, in India, the highest tax rate for top earners can go up to 30%.
Assuming this rate applies, Gukesh will be taxed around $405,000, which means the Income Tax Department is set to receive over Rs 3 crore.
Some are suggesting that with the surcharge included, Gukesh’s total tax liability could exceed Rs 4.67 crore.
And that’s why many are now congratulating the Income Tax Department.
As one person rightly put it, “That’s called TDS: Tax Deducted by Sitharaman!”
