Here in India, you are not only asked your previous salary, you have to provide your last (sometimes three) payslip while joining. Some companies have a policy of NOT giving more than a 30% hike from your previous salary - you need top management approval for such a hike.
At the time of joining - is usually for background verification. Most companies don't even care what your last pay was. Even if you are paid higher, they are going to play in their range.
However, during negotiation, if you lied about your previous pay just to get a better hike - you would get flagged, may get fired and get yourself listed into an unofficial blacklist. Its more of an ethics issue than just a pay mismatch.
> Some companies have a policy of NOT giving more than a 30% hike from your previous salary
These companies are telling you "loud and clear" - "we don't care about talent".
There are other companies that would pay "fairly" as per their bands - even if that means a 100-200% hike
I have been through job searching recently in India and I have applied for 10s of companies most of them are statups.
> At the time of joining - is usually for background verification.
Not just during joining, many companies asked my previous salary and expected salary during the first talk. Some companies did not even contact back when I refused to disclose my previous salary.
Salary discrimination is everywhere in startups, not just by gender also by number of years of experience, University, Degree, previous company...
My opinion is "every employee doing the same job should be paid the same."