TO WHOM WEALTH TAX IS APPLICABLE

APPLICABILITY OF WEALTH TAX

 Wealth Tax is applicable in the following cases if the net wealth on valuation date (i.e. 31^st March ) exceeds Rs. 30,00,000/-  -:

1.  An Individual,
2.  Hindu Undivided Family (HUF) and
3.  A Company

Wealth Tax and Residential Status

A resident  and ordinarily resident individual who is an Indian citizen, a resident or ordinarily  resident huf and every resident company is liable to wealth tax in respect of world assets ( i.e. assets located in India as well as outside India). however , an individual who is not a citizen of India(may be resident or ordinarily resident or not), a resident but not ordinarily resident  individual/huf and every  non- resident ( may be individual  or huf or company ) is liable to wealth tax only in respect of assets located in India.  Residential status of every person  will be ascertained in the same manner as is determined under income tax act.