Assets Assets for wealth tax purpose are defined in Section 2(ea) as follows. Guest house, residential house or commercial building – The following are treated as “assets” – (a) Any building or land appurtenant thereto whether used for commercial or residential purposes or for the purpose of guest house (b) A farm house situated within
The following assets are exempt from wealth-tax, as per section 5. Property held under a trust – Any property held by an assessee under a trust or other legal obligation for any public purpose of charitable or religious nature in India is totally exempt from tax. [Section 5(i)]. Business assets held in trust, which are
The value of an asset as per the Wealth Tax Act, other than cash, shall be its value as on the valuation date determined in the manner laid down in Schedule III. Valuation of a building – Value of any building or land appurtenant thereto, or part thereof, is to be made in accordance with
Every person is required to file with the Wealth-tax Officer a return of net wealth in Form BA, if his net wealth or net wealth of any other person in respect of which he is assessable under the Act on the valuation date is of such an amount as to render him liable to wealth-tax.
Government of India framed the Wealth tax act in 1957 which was mandatory for every individual/HUF/company to disclose all the assets which they own in their name and are required to pay a tax of 1% of the amount by which their wealth exceeds ₹30 lakhs. Due to involvement of complexities Wealth Tax Act 1957