Enhancement of the limit for payment of wealth tax, Limit of wealth tax increased

Enhancement of the limit for payment of wealth tax, Limit of wealth tax increased.

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 1% of the amount by which the net wealthexceeds Rs. 15.00 lakhs.

It is tendered to increase the threshold limit for payment of wealth tax from Rs. 15.00. lakhs toRs. 30.00 lakhs because of inflation-adjustment,

The recommended amendment will apply for the value of net wealth as on 31st March, 2010 and will apply in relation to assessment year 2010-11.