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Enhancement of the limit for payment of wealth tax under the existing provisions of section 3 of the Wealth-tax Act, wealth tax is charged every year in respect of net wealth, on the valuation date, of every individual, Hindu undivided family and company at the rate of one per cent. of the amount by which the net wealth exceeds Rs.15.00 lakhs. This limit was fixed in 1992.

With a view to providing for inflation-adjustment, it is proposed to raise the threshold limit for payment of wealth tax from Rs.15.00 lakhs to Rs. 30.00 lakhs.

The proposed amendment will apply for the valuation of net wealth as on 31st March, 2010 and will, accordingly, apply in relation to assessment year 2010-11 and subsequent years.

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12 Comments

  1. Surinder pal jain says:

    1, Please inform me the limit of wealth tax from 2003 to 2015.
    2, jewellery gifts from anybody in marriage are exempted or not since 2003

  2. mukherjee says:

    If a person inherits a property , and also lives in it ( not putting it on rent any part of the property)will wealth Tax be applicable.

    Also if he owns a Car in his name & not in company/ organisatio’s name, will wealth tax be applicable

  3. utsav jain says:

    when a wealth is created on loan basis whether the wealth tax is countable from the date of sell deed
    agreement or on the completion of loan?

  4. premnath divakaran says:

    Please advise the wealth tax limit proposed in the budget for 2010-2011 presented in february 2010.

    The earlier upper limit is known to be Rs.30 lakhs.

    Please clarify by e mail

    prem nath divakaran
    indian overseas bank
    trivandrum

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